Strong Bearish Signal:
The price tested the support level, but failed to break it out and then corrected upwards. However, the pair has already resumed falling and now is trading nigh this level once again. It means that buyers are weak and unable to push the price farther up. Besides it, we need to allocate the recent sharp drop of the price.
Volume Zones:
We need to point out a strong level of support 1282.00, which contains the large volume.
Sentiment:
This indicator shows that 63% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://imagizer.imageshack.com/img923/4363/M6nkwN.png
Consider Short Positions:
Given all these factors, we may consider a breakdown of the support level, which will allow us to open short positions. The sink of the price must be confident, keen and supported by the large volume, which will be a more reliable signal for entering the market. A stop loss may be placed above the breakdown volume bar.
Profit Potential:
More than 150 pips.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
The price tested the support level, but failed to break it out and then corrected upwards. However, the pair has already resumed falling and now is trading nigh this level once again. It means that buyers are weak and unable to push the price farther up. Besides it, we need to allocate the recent sharp drop of the price.
Volume Zones:
We need to point out a strong level of support 1282.00, which contains the large volume.
Sentiment:
This indicator shows that 63% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://imagizer.imageshack.com/img923/4363/M6nkwN.png
Consider Short Positions:
Given all these factors, we may consider a breakdown of the support level, which will allow us to open short positions. The sink of the price must be confident, keen and supported by the large volume, which will be a more reliable signal for entering the market. A stop loss may be placed above the breakdown volume bar.
Profit Potential:
More than 150 pips.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.