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Control zones USDCHF 05/20/19

The pair's downward movement is still a medium-term impulse. As long as the pair is trading below the WCZ 1/2 1.0154-1.0145, any upward movement will fit into the correction frame. The higher the price growth, the more favorable prices can be obtained for selling the tool. The first goal of the fall is the weekly short-term low of 1.0024-1.0004, the test of which will determine further priority for the next month.

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Upward movements of the last four days fit into the frame of the fall, which occurred on May 3. This indicates the corrective nature of the upward movement and suggests the need to search for a pattern to sell.

An alternative model will be a fall from current levels without growth to the WCZ 1/2. In this case, you need to enter on the "false breakdown" pattern, which must be formed during the European session on Monday. Strengthening the Swiss franc from current levels will provide a favorable risk-to-profit ratio for a short position.

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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