The priority direction of trade at the beginning of this week is a decline. This was made possible by fixing the price below the WCZ 1/2 1.3256-1.3247 last Thursday. The target for the downward movement is the weekly CZ 1.3168-1.3151. The test of this zone will close the first part of sales.
The first resistance will be the WCZ 1/4 1.3242-1.3239. When testing this zone, it is necessary to consider the pattern "false breakdown". In the event of a takeover, entry into the transaction will give the necessary risk to profit ratio.
The alternative model will be developed if the pair continues to grow to the WCZ 1/2 1.3291-1.3283. This zone is the determining resistance. As long as the price is below it, the downward movement will remain an impulse. Within this zone, the best selling prices are located, however, it may take more than two days to reach it.
Daily CZ - daily control zone. An area 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. An area that reflects the average volatility over the past year.
The material has been provided by InstaForex Company - www.instaforex.com