At the end of last week, there was a strong growth of the pair which led to the implementation of the priority upward model. Any decrease at the beginning of the current week is corrective which allows you to search for favorable prices for the purchase of an instrument.
Today, the pair is trading within the NKZ 1/2 0.795-0.7189, which is an important support. It is a long-term impulse. If you are a woman of the week, it will be transferred to break even. Favorable prices for the purchase are within the NKZ 1/2. Stop must be made at least Friday. In this case, the ratio of risk to return will be greater than 1: 3.
It is important to note that it is not a problem. This is a reduction to a weekly short circuit.
The American session below shows the NKZ 1/2 0.7195-0.7189. If this happens, the goal will be the CP 0.7133-0.7120, where it will be determined. Weekly short circuit. It is a short-term profit.
Daily CZ - daily control zone. The area formed by the market, which change several times a year.
Weekly fault - weekly control zone. The zone is formed by the market of the futures market, which change several times a year.
Monthly fault - monthly control zone. The zone, which is a volatility over the past year.
The material has been provided by InstaForex Company - www.instaforex.com