Technical outlook:
The price of gold continues trading within the local range between 2 volume levels. Besides it, we must point out that the large volume accumulation is located inside this zone, which means that the smart money are gaining new positions.
Volume Zones:
We have to highlight 2 volume levels: support 1770.00 and resistance 1798.20.
Sentiment:
This indicator shows that 72% retails traders are in long positions, which is a bearish signal for us (trading against the "crowd").
https://d.radikal.ru/d16/2112/53/d2c84197b219.png
Consider New Positions:
Given all these factors, we should ponder new positions only after a sharp and confident exit of the price from this range, which will be a good signal for a start of the new trend. A stop loss may be placed below/above the breakout volume bar.
Profit Potential:
For short positions - more than 250 points, for long - >200 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 of gold continues trading within the local range between 2 volume levels. Besides it, we must point out that the large volume accumulation is located inside this zone, which means that the smart money are gaining new positions.
Volume Zones:
We have to highlight 2 volume levels: support 1770.00 and resistance 1798.20.
Sentiment:
This indicator shows that 72% retails traders are in long positions, which is a bearish signal for us (trading against the "crowd").
https://d.radikal.ru/d16/2112/53/d2c84197b219.png
Consider New Positions:
Given all these factors, we should ponder new positions only after a sharp and confident exit of the price from this range, which will be a good signal for a start of the new trend. A stop loss may be placed below/above the breakout volume bar.
Profit Potential:
For short positions - more than 250 points, for long - >200 pips.
To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
