Control zones for USD/CAD on August 13, 2020

The quote closed below the WCZ 1/2 1.3279-1.3266 yesterday, which indicates a significant change in the direction of trading. Sell transactions came to the fore, with which any price increase can be used as a basis to sell the pair. The absorption pattern towards the rise of the Canadian dollar will serve as an entry point, the target of which is the WCZ 1.3160-1.3137.

analytics5f34d5b5da48f.jpg

The decline of prices observed for the last three days has canceled the rally that occurred at the end of last week. Such made holding sell transactions possible today, and until the end of the week.

But if the quote closes today near yesterday's high, an alternative scenario will develop, with which sell transactions will be profitable only after the quote tested the WKZ 1/2 1.3359-1.3346, where the most favorable price levels will be obtained.

analytics5f34d5c795a54.jpg

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 the important marks of the futures market, which changes several times a year.

Monthly CZ - monthly control zone. The area that reflects the average volatility over the past year.

The material has been provided by InstaForex Company - www.instaforex.com