EURUSD Markdown
Dynamic trend: Turned down
Background: W1 – weak; D1 – weak
Phase: Mark down
In point 1 the bearish signal is a top reversal. Volume is very high. VSA showed major supply.
In point 2 – «No Demand», which confirms the weakness in point 1.
In point 3 – «Up‐thrust » with normal volume and wide spread. In this case such volume and spread means that supply has overcome demand.
In point 4 – breakout. The next bar confirmed the breakout.
If prices get back to area 1.10 and no demand appears (such as low volume up bars, or VSA no demand signal), I’ll consider taking a short in this area of previous weakness.