FX.co ★ Simplified wave analysis. Overview of EUR / GBP for the week of March 5

Large TF:

The wave construction relevant at the time of analysis has the form of an expanding triangle. In classical VA, the shape is called the "stretched plane".

Small TF:

The main wave is descending, leading from December 10th. Within its framework, from January 25, a complex correction of the wrong type is being formed. A week ago, the final part started.

Forecast and recommendations:

The corrective rise in the price of the cross will last at least in the nearest weekly period. The most likely level of completion is the nearest resistance zone. However, elongation to the next zone cannot be excluded. Purchases are possible, but high risk, while it is wiser to reduce the lot.

Resistance zones:

- 0.8800 / 0.8850

- 0.8650 / 0.8700

Support areas:

- 0.8540 / 0.8490

Explanations for the figures: The simplified wave analysis uses waves consisting of 3 parts (A – B – C). On each of the considered scales of the graph, the last, incomplete wave is analyzed. 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!