Strong Bearish Signal:
The price showed an abrupt sink after the strong bullish momentum and totally swallowed it, which means that sellers are prevailing the market at the moment. Moreover, the move was supported by the large volume, which only enhances its importance.
Volume Zones:
It is necessary to point out the level of support/local minimum 1.1145.
Sentiment:
This indicator shows that 82% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://c.radikal.ru/c42/1905/ca/3fddaaa60d73.png
Consider Short Positions:
Given all these factors, we may reckon a scenario of the breakdown of the support, which will allow us to open sales. The breakdown movement must be keen and supported by the large volume, which will be a more secure signal. 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 showed an abrupt sink after the strong bullish momentum and totally swallowed it, which means that sellers are prevailing the market at the moment. Moreover, the move was supported by the large volume, which only enhances its importance.
Volume Zones:
It is necessary to point out the level of support/local minimum 1.1145.
Sentiment:
This indicator shows that 82% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://c.radikal.ru/c42/1905/ca/3fddaaa60d73.png
Consider Short Positions:
Given all these factors, we may reckon a scenario of the breakdown of the support, which will allow us to open sales. The breakdown movement must be keen and supported by the large volume, which will be a more secure signal. 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 -
