Strong Bearish Signal:
The price continued rising and totally absorbed the previous sharp fall, which shows that sellers don't have enough power to propel the price further down. Moreover, it means that the downward correction has already ended.
Volume Zones:
The price is trading near the resistance level 105.68, which is also a local maximum.
Sentiment:
This indicator shows that 75% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://b.radikal.ru/b12/2102/9a/5d7ff943f240.png
Consider Short Positions:
Given all these factors, we may regard a scenario of the breakout of the resistance level, which will be a great bullish signal. The growth must be sharp and supported by the large volume, which will be a more reliable signal for entering the market. A stop loss may be placed below the breakout 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 continued rising and totally absorbed the previous sharp fall, which shows that sellers don't have enough power to propel the price further down. Moreover, it means that the downward correction has already ended.
Volume Zones:
The price is trading near the resistance level 105.68, which is also a local maximum.
Sentiment:
This indicator shows that 75% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://b.radikal.ru/b12/2102/9a/5d7ff943f240.png
Consider Short Positions:
Given all these factors, we may regard a scenario of the breakout of the resistance level, which will be a great bullish signal. The growth must be sharp and supported by the large volume, which will be a more reliable signal for entering the market. A stop loss may be placed below the breakout 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 -
