Hi guys. Let me share some thoughts on the prospects of the EURUSD pair
Retail's been building up long positions and cutting short ones, which suggests a strong bearish sentiment (think "sell when everyone's buying").
The same bearish mood is lurking in the options market, where folks are aggressively trading "naked shorts" and combinations. However, we should note that volatility has spiked to this year's max—these bursts often trigger "stoppies" or short-term corrections, instead of following the main trend.
Visually, the "longs" have been punished, and now the market's favoring the bears. Interestingly, the highest concentration of bears is after the close of a bearish candle—remember your tech analysis books, that's a "candle with a big body and almost no shadows"—a 100% trigger!
I hope this summary increase your trading edge!