Strong Bullish Signal:
The price demonstrated an abrupt growth on the large volume. However, the volume was accumulated at the top of this move and the price corrected downwards after that. We should also point out the presence of the local uptrend.
Volume Zones:
We need to allocated a new level of resistance 1.1393 - 1.1415.
Sentiment:
This indicator shows that 80% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd").
https://d.radikal.ru/d13/2006/09/759b2b1036c7.png
Consider Long Positions:
Given all these factors, we may regard a scenario of the breakout of the resistance, 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 demonstrated an abrupt growth on the large volume. However, the volume was accumulated at the top of this move and the price corrected downwards after that. We should also point out the presence of the local uptrend.
Volume Zones:
We need to allocated a new level of resistance 1.1393 - 1.1415.
Sentiment:
This indicator shows that 80% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd").
https://d.radikal.ru/d13/2006/09/759b2b1036c7.png
Consider Long Positions:
Given all these factors, we may regard a scenario of the breakout of the resistance, 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 -
