continued its growth and is now testing the resistance/local high of 1.1106. The movement, though on a small volume, but confident and rapid. Moreover, the pair completely absorbed the previous sharp price correction. This means that bulls still dominate the market. Given all these factors, we should give preference to long positions.

volume euro

Purchases can be opened after a sharp and confident breakdown of this mark, which will be an excellent bullish signal. The breakout movement should be supported by a large volume, which will be a more reliable signal for entry into the market. Stop-loss should be put just below the breakout volume bar. The potential of the transaction is more than 100 points.

buy euro

The sentiment, or market mood, fully confirms our trading scenario of opening long positions on this currency pair, as the majority (83%) of the market retail traders are in short positions (trading against the “crowd”).


Review prepared

Andrey Olshanetsky

especially for ICMarkets

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