End of Week Analyses using Sentiment and Market Structure in Forex
The Dollar is currently in a range between 99.63 and 100.30.
We want to see a clean break up or down as shown by the arrows before we get too excited for either direction here.
Structurally, DXY is more likely to make higher highs and take out stops above. However, when looking at other pairs there is cause for concern.
Sentiment Readings using Basket Analysis shows that all of the pairs are clustered in the center of the quadrants. This is a clear sign of indecision of directional bias for the Dollar as far as Sentiment is Concerned.
EU responded at structure and took out stops below marked X. But then Price pushed up and made a New Structure High.
Since sentiment is mixed at this time, I would follow the clues from Market Structure.
NZDUSD had a clear Structural Break to the upside as well and has also made a Higher High.
The expectation is for NU to at least fill the Liquidity Gap above.
UJ has made a short term New Structure Low here. I would expect price to bounce around at that value area near the red line and then continue to push lower to take out stops
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We want to trade against retail as we know retail lose over the long term. This is the best way to win more trades and make more profit.
Where to get the Sentiment Edge?
The MT4 Sentiment Indicator and the MT4 Relative Sentiment Indicator provide you with an incredible directional bias that you can use to trade against the retail sheep. Use these week after week to extract money from the Forex market.
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