Strong Bearish Signal:
The price demonstrated a huge drop supported by the large institutional volume and broke through the previous support level. This move shows that sellers are currently dominating the market.
Volume Zones:
This formed a new level of resistance, which contains large market participants volume and was created during this move from 1.2123 – 1.2130.
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://a.radikal.ru/a22/2106/34/0171af3d6aed.png
Consider Short Positions:
Given all these factors, we should consider exceptionally short positions. We may enter the market after a smooth upward correction, in order to get a more profitable entry point. A stop loss may be placed above the new resistance level with a little margin.
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 demonstrated a huge drop supported by the large institutional volume and broke through the previous support level. This move shows that sellers are currently dominating the market.
Volume Zones:
This formed a new level of resistance, which contains large market participants volume and was created during this move from 1.2123 – 1.2130.
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://a.radikal.ru/a22/2106/34/0171af3d6aed.png
Consider Short Positions:
Given all these factors, we should consider exceptionally short positions. We may enter the market after a smooth upward correction, in order to get a more profitable entry point. A stop loss may be placed above the new resistance level with a little margin.
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 -
