Today's trading plan should take into account the test of the average weekly move that occurred yesterday. The probability of keeping the price within the range is 70%. Thus, it is necessary to consider the pattern of "false breakdown" and look for an opportunity to sell the instrument. The transaction is corrective in nature, so partial consolidation is necessary in the Weekly Control Zone 1/4 0.9964-0.9958. The rest should be transferred to breakeven and left in case of decline to Weekly Control Zone 1/2 0.9904-0.9892.
Work within the framework of the flat formed by the extremes of the current week is the main one and consists in the search for purchases from the lower border and sales from the upper one.
An alternative model will be the breakdown and closing of trading above the level of 1.0024. This will allow us to talk about the continuation of the upward movement next week. However, the probability of returning to the limits to the average weekly rate will increase to 90%.
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