The current priority is to decrease, since the pair is trading below the WCZ 1/4 1.3470-1.3465. The first target of the corrective downward movement will be the WCZ 1/2 1.3418-1.3407. Reaching this zone will make it possible for you to partially close a short position and consider purchasing when forming the "false breakdown" pattern. Since growth is still a priority, working to buy from a level of 1.3418 is the main plan for today.
It is better to not make any trading decisions at current levels, since a local accumulation zone is being formed and the price can go in an extreme range from the last three days.
To break the upward momentum, it will be necessary to close today's US session below 1.3407. This will cancel the option to buy the instrument and force you to look for entry points into a short position tomorrow. The probability of implementing this model is at 30%, so it should be considered as an auxiliary.
Daily CZ - daily control zone. The area formed by important data from the futures market, which change several times a year.
Weekly CZ - weekly control zone. The zone formed by important marks of the futures market, which change several times a year.
Monthly CZ - 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