Last week, the downward movement resumed, which allowed to observe the formation of a reversal pattern. Today, the pair tested the weekly short-term CP 1.1316-1.1198. This will determine the further priority for the week.
Today’s trading plan should take into account the fall of last week, which indicates a downward priority. Any growth should be considered for the appearance of a sell pattern. The most favorable prices are located within the NKZ 1/2 1.1417-1.1407. This zone is outside the middle course, so today it does not make sense to consider. Closer resistance will perform NKZ 1/4 1.1366-1.1361. The closing of today’s trading below the level of 1.1298 will indicate the strength of the downward movement and will determine the further goals of the decline.
It is important to understand that the update of the November low may lead to a sharp increase in the rate. In this case, it is better to refuse limit orders near this extreme.
An alternative growth model will be developed if the pair can absorb the fall of Fridays, and today’s US session ends above the close of last Thursday. This will allow us to consider the formation of a local accumulation zone and prepare for sales from NKZ 1/2. It is too early to talk about the reversal model, as it requires a strong growth that exceeds the fall, which is not yet.
The material has been provided by InstaForex Company – www.instaforex.com
Last week, the downward movement resumed, which allowed to observe the formation of a reversal pattern. Today, the pair tested the weekly short-term CP 1.1316-1.1198. This will determine the further priority for the week.
Today’s trading plan should take into account the fall of last week, which indicates a downward priority. Any growth should be considered for the appearance of a sell pattern. The most favorable prices are located within the NKZ 1/2 1.1417-1.1407. This zone is outside the middle course, so today it does not make sense to consider. Closer resistance will perform NKZ 1/4 1.1366-1.1361. The closing of today’s trading below the level of 1.1298 will indicate the strength of the downward movement and will determine the further goals of the decline.
It is important to understand that the update of the November low may lead to a sharp increase in the rate. In this case, it is better to refuse limit orders near this extreme.
An alternative growth model will be developed if the pair can absorb the fall of Fridays, and today’s US session ends above the close of last Thursday. This will allow us to consider the formation of a local accumulation zone and prepare for sales from NKZ 1/2. It is too early to talk about the reversal model, as it requires a strong growth that exceeds the fall, which is not yet.
The material has been provided by InstaForex Company – www.instaforex.com
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