Yesterday, the pair reached 1/2 WCZ of 105.73-105.64, which allowed to stop the fall. Purchases opened from this zone must be kept up to the upper border of the flat, which is formed by the maximum of last week. Further growth will allow us to leave part of the purchases to the range of the average weekly move.
Working in the flat implies the search for entry points at the upper or lower limits of the range, however, we must bear in mind that the probability of continuing the upward impulse is higher.
An alternative model will be developed if the closure of today's American session occurs below the 1/2 WCZ. This will open the way for a decline in the average course of the week. The probability of implementing this model is 30%, which makes it an auxiliary.
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 marks from the important futures market, which changes several times a year.
Monthly CZ - monthly control zone. The area is a reflection of the average volatility over the past year.
The material has been provided by InstaForex Company - www.instaforex.com