On Friday, the pair formed a reversal pattern, which speaks in favor of continuing the downward movement. This happened after several tests of the monthly KZ of January. It is important to understand that the fall is corrective in the medium term.
The close of the US Friday session was below the NCB 1/2 0.7174-0.7168. This allows you to use any growth to find favorable prices for the sale of the instrument. Sales from current grades are not profitable, as you will have to set a large stop loss. The target of the downward movement is the weekly CP 0.7111-0.7099. Achievement of this zone will allow closing sales or their part. In order to obtain favorable prices, it may be necessary to increase to one of the lower control zones.
An important point when working in a downward direction is that the pair decreases after the test of a monthly short circuit. This provides the potential for a weaker Australian dollar over the medium term.
The formation of an alternative model will require the absorption of Friday’s fall and the close of trading on Monday above the extremum. This will result in a return to the monthly CP limit. Shopping at current levels does not look profitable, since the probability of closing the month at the limit of the monthly average move is 70%. Until the month closes, you can search for purchases only at prices at the level of 0.7111 or lower.
Day short – daily control zone. The zone formed by important data from the futures market, which change several times a year.
Weekly KZ – weekly control zone. The zone formed by the important marks of the futures market, which change several times a year.
Monthly KZ – monthly control zone. The zone, which is a reflection of the average volatility over the past year.
The material has been provided by InstaForex Company – www.instaforex.com
On Friday, the pair formed a reversal pattern, which speaks in favor of continuing the downward movement. This happened after several tests of the monthly KZ of January. It is important to understand that the fall is corrective in the medium term.
The close of the US Friday session was below the NCB 1/2 0.7174-0.7168. This allows you to use any growth to find favorable prices for the sale of the instrument. Sales from current grades are not profitable, as you will have to set a large stop loss. The target of the downward movement is the weekly CP 0.7111-0.7099. Achievement of this zone will allow closing sales or their part. In order to obtain favorable prices, it may be necessary to increase to one of the lower control zones.
An important point when working in a downward direction is that the pair decreases after the test of a monthly short circuit. This provides the potential for a weaker Australian dollar over the medium term.
The formation of an alternative model will require the absorption of Friday’s fall and the close of trading on Monday above the extremum. This will result in a return to the monthly CP limit. Shopping at current levels does not look profitable, since the probability of closing the month at the limit of the monthly average move is 70%. Until the month closes, you can search for purchases only at prices at the level of 0.7111 or lower.
Day short – daily control zone. The zone formed by important data from the futures market, which change several times a year.
Weekly KZ – weekly control zone. The zone formed by the important marks of the futures market, which change several times a year.
Monthly KZ – monthly control zone. The zone, which is a reflection of the average volatility over the past year.
The material has been provided by InstaForex Company – www.instaforex.com
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