08.02.201808:16 Forex Analysis & Reviews: Trade review for February 8 by simplified wave analysis

Review and forecast for USD / CHF pair

Analyzing the daily scale of the major Swiss franc pair chart, the last incomplete wave clearly looms for today. This is a bearish zigzag of December 21, 2016.

The price in the beginning of the current month reached the upper limit of the potential reversal zone. The subsequent growth of quotations began to form a corrective movement. The preliminary calculation of the upside potential is estimated within the limits of two price figures.

Today, the price fluctuations of the pair with a high probability will occur in the lateral plane, between the counter computed zones. The descending vector is expected closer to the end of the day and the return to the upward movement can be expected tomorrow.

Boundaries of resistance zones:

- 0.9450 / 80

Boundaries of support zones:

- 0.9390 / 60

EUR / JPY pair outlook and outlook

After a year and a half since the beginning of the upward trend wave, the quotes of the EUR/JPY cross currency pair reached the lower boundary of the calculated target section of the chart. The width of the entire potential reversal zone corresponds to the scale of the previous upward movement, amounting to approximately 6 price figures.

A week ago, the price dramatically changed the direction of movement after contact with the reference level. At the time of analysis referring on the structure of the movement, it indicates the starting point of the last wave on January 10. he descending section of February 2 took the place of the final segment of the hidden correction (B). Furthermore, according to the wave logic, it is necessary to wait for the turn and the beginning of the ascending phase (C).

The course is expected to change at the next sessions, within the framework of settlement support.

Boundaries of resistance zones:

- 134.90 / 135.20

Boundaries of support zones:

- 134.00 / 133.70

Explanations of the figures:

For simplified wave analysis, a simple waveform is used that combines 3 parts namely A, B, and C. All types of correction are created and most of the impulses can be found in these waves. Every time frame is considered and the last incomplete wave is analyzed.

The areas marked on the graphs indicate the probability of a change in the direction of motion has significantly increased as calculated in the areas. Arrows indicate the wave counting following the technique used by the author. A solid background of the arrows signifying the structure has been formed while the dotted one means the expected wave motion.

Attention: The wave algorithm does not take into account the duration of the movement of tools in time. The forecast is not a trading signal! To conduct a bargain, you need to confirm the signals used by your trading systems.