05.10.202005:28 Forex Analysis & Reviews: Growth prospects of the EUR/USD pair this week

Purchases of the EUR/USD pair came to the forefront at the end of last week. The formation of the absorption pattern of the daily level makes it possible to repeat purchases and hold already open positions. The growth target is the Weekly Control Zone of 1.1832-1.1812. The probability of achieving this goal is 75%. This makes purchases profitable in the medium term.

Work in the upward direction is the main movement today. It is important to note that the weekly control zone coincides with the market maker level formed in September. For a long time, the opening and closing of weekly candles occurred at 1.1840. This indicates the significance of this level for the Central European Bank. This mark should be considered as a key price. As long as the pair is trading below 1.1840, the probability of resuming the downward movement remains high. In order for the annual maximum to be updated, it will be necessary to consolidate above the key mark this week.

The long position must be divided into two parts. One part will need to be fixed when testing the 1.1840 level, and the second part will need to be moved to breakeven. If it is fixed above the key level, holding the second part of purchases will become the main strategy until the annual maximum is updated.

The movement of the EUR/USD pair by 50% determines the prospects of the US Dollar index, so the test of the 1.1840 level on the pair will be decisive for all majors.