EURUSD’s Market Top – Analysis with Prices and Volumes
Dynamic trend: Turned up
Background: W1 – weak; D1 – weak
In point 1 there was an up bar with a very wide range and high volume. The next bar was a down-bar, which indicates the predominance of sales over buying on the previous bar. VSA also identified selling in this area.
In point 2 and 3 – a series of “Up-Thrusts”; in point 3 the bar with a very wide spread and high volume, which emphasizes bearish interest from the smart money.
In point 4 there was a combination of reversal bars. The first bar was up-bar with a very high volume and wide spread, but close price was in the middle of the bar, which indicates supply. The second bar had a very high volume also, and it confirmed the sales on the first bar as it closes below the minimum. Subsequent downward movement was on low volume, that showed a lack of demand. Analytical Trader also identified selling in this area.
In point 5 these was a confirmed “No Demand” – a great point for a short.
In the mid of the range it’s not recommended to trade. Consider a short if the price approaches the level of 1.13 and «No Demand» bar appears.
You can search «No Demand» and «No Supply» on the lower TF.