Strong Bullish Signal:
The price corrected down after the formation of the new resistance level, but the drop was smooth and on the small volume, so we may reckon it as a technical correction. Moreover, given the presence of the strong uptrend, we still may give preference to long positions.
Volume Zones:
It is necessary to point out the new volume level of resistance/local maximum 1322.80.
Sentiment:
This indicator shows that 67% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd").
https://imagizer.imageshack.com/img922/6762/UV7FBX.png
Consider Short Positions:
Given all these factors, we still may prefer a scenario of opening long positions. We can enter the market after a resumption of the sharp growth and confident breakout of the new resistance. The rise must be supported by the large volume, which will be a more accurate signal for entering the market. A stop loss may be placed below the breakout 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 corrected down after the formation of the new resistance level, but the drop was smooth and on the small volume, so we may reckon it as a technical correction. Moreover, given the presence of the strong uptrend, we still may give preference to long positions.
Volume Zones:
It is necessary to point out the new volume level of resistance/local maximum 1322.80.
Sentiment:
This indicator shows that 67% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd").
https://imagizer.imageshack.com/img922/6762/UV7FBX.png
Consider Short Positions:
Given all these factors, we still may prefer a scenario of opening long positions. We can enter the market after a resumption of the sharp growth and confident breakout of the new resistance. The rise must be supported by the large volume, which will be a more accurate signal for entering the market. A stop loss may be placed below the breakout 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.