Strong Bearish Signal:
The price demonstrated a huge drop supported by large institutional volume and broke through the previous support level. Moreover, the large negative delta means that sellers are prevailing the market now.
Volume Zones:
This formed a new level of resistance, which contains large market participants volume and was created during this move from 1.2015 – 1.2025.
Sentiment:
This indicator shows that 70% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://a.radikal.ru/a32/2106/9c/b933f5498288.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 new resistance with a little margin.
Profit Potential:
Around 100 points.
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 large negative delta means that sellers are prevailing the market now.
Volume Zones:
This formed a new level of resistance, which contains large market participants volume and was created during this move from 1.2015 – 1.2025.
Sentiment:
This indicator shows that 70% retails traders are in long positions, which is a good additional signal for us (trading against the "crowd").
https://a.radikal.ru/a32/2106/9c/b933f5498288.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 new resistance with a little margin.
Profit Potential:
Around 100 points.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
