Wave pattern on the H4 chart:
The wave pattern formed on the pound chart from mid-August has become a correction for a larger trend. The wave develops mainly in the lateral plane. Most likely, its form will be the "pennant".
Wave pattern on the H1 chart:
On October 30, the upward wave zigzag started. The design completes the bull model of the older TF.
Wave pattern on the M15 chart:
From November 15, the pair began to form an upward zigzag on the chart. He will complete a complex correctional model on a larger scale.
Recommended trading strategy:
Purchases are quite risky and can only be recommended for trading on small TFs. For long-term investments, you need to wait for the completion of the entire current wave of correction.
Resistance zones:
- 1.3020 / 1.3070
Support areas:
- 1.2750 / 1.2700
Explanations of the figures:
The simplified wave analysis uses waves consisting of 3 parts (A – B – C). For the analysis, three main TFs are used. On every last part, the 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 while the dotted shows the expected movement.
Note: The wave algorithm doesn't take into account the duration of tool movements over time. To trade a trade transaction, you need to confirm your trading systems!
The material has been provided by InstaForex Company -
www.instaforex.com