Strong Bullish Signal:
The pair showed a sharp growth supported by the large volume and broke out the previous level of resistance.
Volume Zones:
We need to allocated the new level of resistance 1.2342, which stopped the further growth of the pair. However, the price is still trading near it, so sellers don't have enough power to push the pair further down.
Sentiment:
This indicator shows that 60% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd").
https://b.radikal.ru/b42/1909/35/fa341ec3599c.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 120 pips.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
The pair showed a sharp growth supported by the large volume and broke out the previous level of resistance.
Volume Zones:
We need to allocated the new level of resistance 1.2342, which stopped the further growth of the pair. However, the price is still trading near it, so sellers don't have enough power to push the pair further down.
Sentiment:
This indicator shows that 60% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd").
https://b.radikal.ru/b42/1909/35/fa341ec3599c.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 120 pips.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
