Yesterday, there was a continuation of the growth of the pair, which led to going beyond the monthly control zone of October and the average course of the week. In addition, this indicates an increase in the probability of the formation of corrective movement up to 70%. To enter the sale, the formation of the pattern "false breakdown" of yesterday's maximum is necessary. If this happens, then the first goal of the return will be the upper boundary of monthly control zone 1.2681.
Purchases from current levels are not profitable, since the probability of continued growth without the formation of a correction model is 30%.
An alternative growth model will be developed if today's trading closes above yesterday. This will indicate the strength of buyers and the correctional model will be postponed to higher prices. Purchasing outside the upper boundary of the monthly average move is not recommended due to the high probability of a depreciation and return to the monthly range.
Daily CZ - daily control zone. The zone formed by important data from the futures market that changes several times a year.
Weekly CZ - weekly control zone. The zone formed by the important marks of the futures market, which change several times a year.
Monthly CZ - monthly control zone. The zone that reflects the average volatility over the past year.
The material has been provided by InstaForex Company - www.instaforex.com