Control zones NZD/USD 04.09.20

Yesterday's fall led to the formation of the "absorption" pattern of the daily level. The close of trading occurred below the WCZ 1/2 0.6711-0.6704. This gives you the opportunity to search for the pattern on sale at today's auction. The nearest resistance is the WCZ 1/4 0.6731-0.6727.

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The downward movement will aim to return to the upper limit of the average move of the previous week, located at the level of 0.6659.

If the fall continues from the current levels, the target of the decline will be the weekly short-term price of 0.6636-0.6621. A test of this zone will cause the price to go beyond the weekly average move zone. This will allow you to fix part of the sales and consider corrective purchases in the event of the formation of the "absorption" pattern on TF H1.

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DCZ - Daily Control Zone. A zone formed by important data from the futures market that changes several times a year.

WCZ - Weekly Control Zone. The zone formed by important marks of the futures market, which change several times a year.

MCZ - Monthly Control Zone. A zone that reflects the average volatility over the past year.

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