At the beginning of this week, the pair experienced solid growth, which indicates the strength of market buyers. It is important to note that in one day the pair overcame the weekly move. This makes it possible to close all positions for the purchase, since the likelihood of further growth decreased to 30%. Now you need to find a significant level of resistance and track the reaction to it during the test.
It is important to understand that stopping growth will not indicate a change in the upward momentum while the pair is trading within the correction range.
Purchases from current marks become unprofitable, since the rate is outside the weekly average move, and the monthly control zone of August is within the daily move. This indicates an increase in the likelihood of a stop and the appearance of a strong offer with the formation of a market maker level.
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