Strong Bearish Signal:
The price demonstrated an abrupt sink supported by the large volume, which means that the smart money were pushing the price down. The large negative delta only enhances this signal.
Volume Zones:
We need to point out the strong level of support 1.2980, which contains the large volume. It means that institutional players have positions in this area.
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://imagizer.imageshack.com/img921/143/cdNMxc.png
Consider Short Positions:
Given all these factors, we may consider a scenario of a breakdown of the support level, which will allow us to open short positions. The drop must be keen and supported by the large volume, which will be a more reliable signal for entering the market. A stop loss may be placed above the breakdown 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 price demonstrated an abrupt sink supported by the large volume, which means that the smart money were pushing the price down. The large negative delta only enhances this signal.
Volume Zones:
We need to point out the strong level of support 1.2980, which contains the large volume. It means that institutional players have positions in this area.
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://imagizer.imageshack.com/img921/143/cdNMxc.png
Consider Short Positions:
Given all these factors, we may consider a scenario of a breakdown of the support level, which will allow us to open short positions. The drop must be keen and supported by the large volume, which will be a more reliable signal for entering the market. A stop loss may be placed above the breakdown 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 -
