Yesterday, the pair fell a lot of times, exceeding four average daily moves. This indicates the strength of the downward movement. In similar situations, the probability of retest weekly minimum exceeds 90%, which happened this morning. It is also important to understand that making sales outside the average weekly move is no longer profitable.
Today, the pair is trading in an important support area. Now, there is a move beyond the minimum of the last month. If there is a price hold in this range, a further decline will become a priority for the current month.
An alternative model will be developed in case the growth starts from the current rates. To enter the purchase will require the formation of a "false breakdown" pattern at yesterday's minimum. The main goal of growth will be the level of 108.09, which is the lower limit of the weekly average move.
Daily CZ - daily control zone. The area formed by important data from the futures market, which changes several times a year.
Weekly CZ - weekly control zone. The area formed by marks from the important futures market, which changes several times a year.
Monthly CZ - monthly control zone. The area is a reflection of the average volatility over the past year.
The material has been provided by InstaForex Company - www.instaforex.com