Good Day traders,
Last week institutions started to reduce some of the open interest , They took some profits on their longs with 29 344 contracts getting closed. On the short side we didn’t see an increase in their shorts. Therefore net positions reduced by 16 247. On the 13th of December they started reducing their exposure. Although we see that the open interest is long, we should shift our focus to retail traders sentiment. Currently 65% of the open interest for retail traders are short. Therefore my short position on EURUSD will be closed. As I expect market makers to hit their stop losses( Liquidity) in coming weeks. We can see from last week that retail traders reduced their longs by 33% and increased shorts by 18%. Where would you place your stop loss? Just above the highs.
We can see on the volume analysis that the weekly Point of control was respected. Should we see H4 supply zone being removed this week we could see EURUSD pop higher. Especially with CPI coming out on Tuesday if we are see price coming back to the weekly POC I’ll be a buyer.
Last week institutions started to reduce some of the open interest , They took some profits on their longs with 29 344 contracts getting closed. On the short side we didn’t see an increase in their shorts. Therefore net positions reduced by 16 247. On the 13th of December they started reducing their exposure. Although we see that the open interest is long, we should shift our focus to retail traders sentiment. Currently 65% of the open interest for retail traders are short. Therefore my short position on EURUSD will be closed. As I expect market makers to hit their stop losses( Liquidity) in coming weeks. We can see from last week that retail traders reduced their longs by 33% and increased shorts by 18%. Where would you place your stop loss? Just above the highs.
We can see on the volume analysis that the weekly Point of control was respected. Should we see H4 supply zone being removed this week we could see EURUSD pop higher. Especially with CPI coming out on Tuesday if we are see price coming back to the weekly POC I’ll be a buyer.
评论:
High of last week acted a support this week, up we go
