USDCAD SHORT on Order Flow - Follow the smart money!
Strong Bearish Signal:
The price tested the support level, but could not break it down. However, the price is currently trading near this mark, which means that buyers don't have enough power to push the pair upwards. Moreover, there is a strong downtrend.
Volume Zones:
It is necessary to point out the new support level/local minimum 1.2710 - 1.2725.
Sentiment:
This indicator shows that 81% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://b.radikal.ru/b08/2012/05/1f3943c4278f.png
Consider Short Positions:
Given all these factors, we should consider exceptionally short positions. We may enter the market after a keen breakdown of the support level. The movement must be supported by the large volume, which will be a more precise signal for entering the market. A stop loss may be placed above the breakdown volume bar.
Profit Potential:
More than 100 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 could not break it down. However, the price is currently trading near this mark, which means that buyers don't have enough power to push the pair upwards. Moreover, there is a strong downtrend.
Volume Zones:
It is necessary to point out the new support level/local minimum 1.2710 - 1.2725.
Sentiment:
This indicator shows that 81% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://b.radikal.ru/b08/2012/05/1f3943c4278f.png
Consider Short Positions:
Given all these factors, we should consider exceptionally short positions. We may enter the market after a keen breakdown of the support level. The movement must be supported by the large volume, which will be a more precise signal for entering the market. A stop loss may be placed above the breakdown volume bar.
Profit Potential:
More than 100 pips.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
