Strong Bearish Signal:
The price demonstrated a huge drop supported by large institutional volume and broke through the previous support level. Besides it, the huge negative delta indicates that sellers are dominating the market now.
Volume Zones:
This formed a new zone of resistance, which contains huge market participants volume and was created during this move from 1486.00 – 1490.30.
Sentiment:
This indicator shows that 68% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://c.radikal.ru/c23/1911/00/035d714027b8.png
Consider Short Positions:
Given all these factors, we should consider exceptionally short positions. We may enter the market after the continuation of the sharp drop (rebound from the volume zone), which will be a more secure signal. A stop loss may be placed above the level 1490.30.
Profit Potential:
Around 250 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 demonstrated a huge drop supported by large institutional volume and broke through the previous support level. Besides it, the huge negative delta indicates that sellers are dominating the market now.
Volume Zones:
This formed a new zone of resistance, which contains huge market participants volume and was created during this move from 1486.00 – 1490.30.
Sentiment:
This indicator shows that 68% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://c.radikal.ru/c23/1911/00/035d714027b8.png
Consider Short Positions:
Given all these factors, we should consider exceptionally short positions. We may enter the market after the continuation of the sharp drop (rebound from the volume zone), which will be a more secure signal. A stop loss may be placed above the level 1490.30.
Profit Potential:
Around 250 pips.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
