For the second week, the pair is trading outside the monthly short-term of January. This allows you to use any reduction to search for favorable purchase prices, since the probability of returning to the zone is 90%.
Today, the pair has once again returned to the monthly short-term of January. On the path of growth, NKZ 1/2 1.3290-1.3279 acts as resistance, which buyers cannot overcome. It is important to understand that sales from the current levels are an extremely risky investment, since the probability of the price returning to the level of 1.3288 is 90%. This statistic allows you to consider buying patterns as soon as the pair moves away from the specified mark.
You should not buy the instrument from the current marks. It is necessary to wait for the test of a significant extremum. To date, this level is the low of yesterday.
An alternative model of decline, which will be updated at least in January, has a low probability and it is not profitable to consider it for trading. The further the pair moves away from the monthly short-circuit, the greater the expectation can be obtained at the entrance to the reversal pattern in the buy-in. The January fall is a medium-term impulse, but going beyond the monthly short-term suggests that the pair has exhausted the course, which is usually supported by major players.
Day short - daily control area. The zone formed by important data from the futures market, which change several times a year.
Weekly KZ - week control area. The zone formed by the important marks of the futures market, which change several times a year.
Monthly KZ - monthly control zone. The zone, which is a reflection of the average volatility over the past year.
The material has been provided by InstaForex Company - www.instaforex.com