Strong Bullish Signal:
The pair corrected downwards after the creation of the resistance level. Nevertheless, the correction was on the small volume, hence, it is just a technical correction. Moreover, there is a strong uptrend, which was supported by the large positive delta, which means that buyers are prevailing the market now.
Volume Zones:
We need to allocate the new level of resistance 0.7365 - 0.7370, which contains the large volume.
Sentiment:
This indicator shows that 74% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd").
https://b.radikal.ru/b30/2110/72/692831ab3b32.png
Consider Long Positions:
Given all these factors, we may regard a scenario of the breakout of the resistance, which will allow us to open purchases. The rise must be keen and supported by the large volume, which will be a more secure signal for entering the market. A stop loss may be placed below the breakout volume bar.
Profit Potential:
More than 80 points.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
The pair corrected downwards after the creation of the resistance level. Nevertheless, the correction was on the small volume, hence, it is just a technical correction. Moreover, there is a strong uptrend, which was supported by the large positive delta, which means that buyers are prevailing the market now.
Volume Zones:
We need to allocate the new level of resistance 0.7365 - 0.7370, which contains the large volume.
Sentiment:
This indicator shows that 74% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd").
https://b.radikal.ru/b30/2110/72/692831ab3b32.png
Consider Long Positions:
Given all these factors, we may regard a scenario of the breakout of the resistance, which will allow us to open purchases. The rise must be keen and supported by the large volume, which will be a more secure signal for entering the market. A stop loss may be placed below the breakout volume bar.
Profit Potential:
More than 80 points.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
