18.01.201808:27 Forex Analysis & Reviews: Trade review for January 18 by simplified wave analysis

Overview and forecast for AUD / USD

At the end of the corrective bullish wave of the chart of the major "Aussie" pair, a counter wave structure has been formed since September of last year. Its potential allows us to assume the development of a larger wave in this direction. By now, the middle part (B) is nearing completion in the structure of the model. Next, you should wait for the turn and the price move down to the final part (C).

In the coming trading sessions, a common flute movement is expected. In the morning, the upward movement vector is more likely. The short-term puncture of the upper limit of resistance is not excluded. A new round of price reduction can be expected by the end of the day.

The boundaries of the resistance zones:

- 0.7980 / 0.8010

The boundaries of the support zones:

- 0.7890 / 60

Overview and forecast for USD / JPY

Since the beginning of last year, the quotations of the main pair of the Japanese yen continue to move in the flat lateral channel, formed by price extremes. The direction of price movement within the designated corridor is specified by smaller wave designs. The last, incomplete for today, the bull wave started on September 8 last year. During the last 2 months, the price is adjusted. In the long term, the downward movement may advance until the beginning of the 110th price figure.

Today, a general upward movement in the pair's exchange rate is expected. At the next session, a short-term decline is not excluded. The active phase of growth is more likely in the afternoon. The target portion of the rise coincides with the calculated zone of resistance.

The boundaries of the resistance zones:

- 111.80 / 112.10

The boundaries of the support zones:

- 111.00 / 110.70

Explanations to the figures: For simplified wave analysis, the simplest type of wave is used in the form of a zigzag, combining 3 parts (A; B; C). Of these waves, all kinds of correction are composed and most of the impulses. At each time frame, the last, incomplete wave is analyzed.

The areas marked on the graphs are indicated by the calculation areas, where the probability of a change in the direction of motion is significantly increased. Arrows indicate the wave counting according to the technique used by the author. The solid background of the arrows indicates the structure formed, the dotted one indicates the expected wave motion.

Attention: The wave algorithm does not take into account the duration of the tool movements in time. The forecast is not a trading signal! To conduct a trade transaction, you need to confirm the signals of your trading systems.