FX.co ★ Simplified wave analysis of the pair EUR / JPY for February 8

Large-scale graphics

The downward vector that set the entire last year to the movement of the cross price wave ended a month ago. In the wake of the global trend, it has become a correction.

Medium scale graphics:

From January 3, the price began to form the basis for a new trend wave. Considering the large scale of the completed wave, the lateral flat that is flowing in recent weeks will continue until the wave level is equalized to the required level.

Small-scale graphics:

The direction of intraday trends is set by the downward wave from February 2. In a larger wave structure, it forms the corrective part of wave (B).

Forecast and recommendations:

This week, the most likely continuation of the flat "side" in the price corridor between the nearest zones. At its lower boundary, it is recommended to track reversal signals to search for entry into long positions.

Resistance zones:

- 125.90 / 126.40

Support areas:

- 123.80 / 123.30

Explanations for the figures: The simplified wave analysis uses waves consisting of 3 parts (A – B – C). The analysis uses 3 consecutive scale graph. Each of them analyzes the last, incomplete wave. Zones show calculated areas with the highest probability of reversal. The arrows indicate the wave marking by the method used by the author. The solid background shows the formed structure, the dotted - the expected movement.

Note: The wave algorithm does not take into account the duration of tool movements over time. To conduct a trade transaction, you need confirmation signals from the trading systems you use!