The closing of today’s trading will allow entering the position. If the close occurs above the WCZ 1/2 0.6880-0.6874, then purchases will remain a priority. The first growth target will be the December high. The upward movement is still momentum.
Friday’s fall of the pair may become a reversal, however, this will require continued decline and consolidation below the WCZ 1/2.
An alternative model to continue Friday’s movement will develop if there is a consolidation below the WCZ 1/2. This will open the way for the pair to decline to the weekly control zone of 0.6820-0.6808. This range will be overcome fairly quickly due to the lack of strong support zones on the way down.
Daily CZ – daily control zone. A zone 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. A zone that reflects the average volatility over the past year.
The material has been provided by InstaForex Company – www.instaforex.com
Source:: Control zones AUDUSD 12/16/19