Strong Bearish Signal:
The price demonstrated a huge drop supported by large institutional volume and broke through the previous support level. Moreover, the movement was supported by the huge volume and negative delta, which means that the major part of institutional players are sellers.
Volume Zones:
This formed a new level of resistance, which contains large market participants volume and was created during this move from 1.1065 - 1.1071.
Sentiment:
This indicator shows that 81% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://a.radikal.ru/a39/2001/75/5be0006e2ce4.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 beginning of the breakdown movement.
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 large institutional volume and broke through the previous support level. Moreover, the movement was supported by the huge volume and negative delta, which means that the major part of institutional players are sellers.
Volume Zones:
This formed a new level of resistance, which contains large market participants volume and was created during this move from 1.1065 - 1.1071.
Sentiment:
This indicator shows that 81% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://a.radikal.ru/a39/2001/75/5be0006e2ce4.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 beginning of the breakdown movement.
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 -
