US 100 Cash CFD
Short

Technical Breakdown on US100 Cash CFD | 1H Timeframe

29
1. Key Observations (Volume, Gann & CVD + ADX Focused)

a) Volume Profile Insights:

Value Area High (VAH): 18,758.52

Value Area Low (VAL): Approx. 18,259.03

Point of Control (POC):

Recent Session POC: 18,758.52

Previous Session POC: 18,259.03

High-volume nodes: Clustered around 18,600–18,750 – area of high interest and possible re-accumulation.

Low-volume gaps: Below 18,300 – could act as fast-move zones on breakdown.

b) Liquidity Zones:

Stop Clusters:

Above 18,800 (recent swing high).

Below 18,250 (previous swing low).

Absorption Zones (Delta Volume Focus):

Strong absorption around 18,580–18,600; price has consolidated here indicating order filling.

c) Volume-Based Swing Highs/Lows:

High-volume swing low: 18,259.03 (POC) – strong buying response seen post drop.

High-volume swing high: 18,758.52 – rejection seen here on low follow-through.

d) CVD + ADX Indicator Analysis:

Trend Direction: Currently Range-bound (CVD not showing clear accumulation/distribution trend).

ADX Strength:

ADX ≈ 18–20: Suggests weakening trend; possible sideways movement.

DI+ ≈ DI-: Confirms indecision.

CVD Confirmation:

CVD flattening at resistance suggests equal pressure from buyers and sellers.

No strong rising or falling trend in CVD; supports ranging bias.

2. Support & Resistance Levels

a) Volume-Based Levels:

Support:

VAL: 18,259.03

Previous swing low/absorption: 18,300

Resistance:

VAH: 18,758.52

Rejection level: 18,800

b) Gann-Based Levels:

Confirmed Gann Lows: 18,259

Key Retracement Levels:

1/3 retrace from recent high: ~18,430

1/2 retrace: ~18,500

2/3 retrace: ~18,580

3. Chart Patterns & Market Structure

a) Trend:

Range-bound (confirmed by ADX near 20 and mixed CVD).

b) Notable Patterns:

Bearish rejection at VAH zone.

Potential descending channel forming from highs.

Fake-out above 18,750 followed by rejection – possible liquidity grab.

4. Trade Setup & Risk Management

a) Bullish Entry (If CVD + ADX confirm uptrend):

Entry Zone: Near 18,300–18,350 (absorption + VAL zone)

Targets:

T1: 18,580

T2: 18,750

Stop-Loss: Below 18,250

RR: Minimum 1:2

b) Bearish Entry (If CVD + ADX confirm downtrend):

Entry Zone: Near 18,750–18,800 (rejection area)

Target:

T1: 18,300

Stop-Loss: Above 18,850

RR: Minimum 1:2

c) Position Sizing:

Risk 1–2% of total capital per trade for optimal drawdown management.

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