Strong Bearish Signal: The price demonstrated a huge drop supported by large institutional volume, which is a great bearish signal. The large negative delta only increases its role. Volume Zones: We need to point out the level of support 60.60, which contains the large volume. Sentiment: This indicator shows that 67% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd"). https://b.radikal.ru/b40/1905/fa/2ec49d50963a.png Consider Short Positions: Given all these factors, we may regard a scenario of a breakdown of the support level, which will consent us to open short positions. The drop 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 150 points.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -