This week, the pair is trading between two significant zones of the average weekly move. There was a test of the upper zone yesterday, and a large offer appeared. This makes it possible to consider sales to the lower bound of the flat.
Trading movement within the zones of the average for the past 12 weeks allows you to cover some of the positions during their test and open opposing positions. It is important to understand that the probability of going beyond these zones is unlikely. This requires partial or complete fixation at the time of their test. Today, the decline is a priority model. Holding a short position is possible to the bottom.
From a short-term perspective, a decline to yesterday's low can be used to fix a short position. If growth resumes, it will be necessary to transfer the position to breakeven.
An alternative model will be developed in case the pair can consolidate above the a CZ of 0.9952-0.9942. The closure of the American session will confirm the change of priority to ascending. Working under this model will allow you to look for purchases tomorrow and moving positions to January is possible if the distance from your open position is more than 50pp.
Daily CZ - daily control zone. The area formed by important data from the futures market that change several times a year.
Weekly fault - weekly control zone. The area formed by marks from important futures market which change several times a year.
Monthly fault - 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