Get started

Sentimentalanalysis

Recent Trends in Crypto Options MarketWell, he crypto options market is experiencing a surge in growth, driven by increasing adoption and maturation. Key trends include short-term turbulence versus long-term growth, with a focus on short volatility on elections and long positions on new all-time highs by the end of the year. Whale Activity Whales are taking a protectionist approach, with a focus on long-term optimism: Puts: $40K is the most popular strike price, with 2562.5 contracts Focus: November 8, 2024, and March 28, 2025 Calls: Bets on FWB:65K -$100K by the end of the year Currently: Selling volatility at 60K-65K (November 8) Retail Activity Retail traders are taking an aggressive approach, with a focus on optimism: Puts: Weak protection $60K-$61K (October 2024) Calls: Focus on $95K-$100K (December 2024) Summary Short-term Turbulence vs Long-term Growth: The crypto options market is experiencing short-term turbulence, but long-term growth is expected. Long on New ATH: Whales are taking long positions on new all-time highs by the end of the year. Data Source for Analysis: Deribit
COINBASE:BTCUSDLong
by ClashChartsTeam
Harnessing the Power of Artificial Swarm Intelligence in TradingI) Introduction Artificial swarm intelligence (ASI) has come in as the latest disruptor in trading and other industries in this world. This advanced technology, inspired by the sociobiology of social organisms like bees, birds, and fish, leads to the latest innovations and efficiencies found in the financial markets. Herein lies an informative overview of ASI, underscoring its principles and its utilities and advantages in trading. II) What is Artificial Swarm Intelligence? Artificial swarm intelligence makes one mimic the decision-making behavior of natural swarms. Swarms of bees, schools of fish, or flocks of birds in nature make group decisions that are often superior to those made by individuals in the same field. It exploits this relationship through algorithms and dynamic sharing of data to allow collaborative decision-making in artificial systems. III) How Does ASI Work? ASI has three basic components : 1) Agents: These are members of the swarm, often represented by single algorithms or software programs that take part, such as trading bots or software applications that analyze the market for many different data sources. 2) Communication Protocols: These protocols enable agents to relay information and together make decisions. Thus, good communication will enable all agents to receive the most current data and thus be aware of market trends. 3) Decision Rules: These are predetermined rules that guide agents regarding how to interpret data and make decisions. These rules usually imitate the simple behavioral rules present within the natural swarms-for example, either to align with neighboring swarming agents or to strive for consensus. IV) Applications of ASI in Trading 1) Market Prediction: ASI systems can process enormous market datasets, recognize historical patterns, and analyze real-time news to make informed market predictions. By providing agents with a common perspective, this system is capable of forecasting stock prices, commodities, or any other financial instruments much more effectively compared with conventional techniques. 2) Risk Management: In trading, effective management of risk is a very important aspect. ASI facilitates the comprehensive examination of the volatility of the market and how individual investors behave to identify possible risks. In this way, the risk assessment will benefit from the wisdom of the crowds and its falling human error rate. 3) Algorithmic Trading: ASI controls technological trading as it is in constant evolution by the market and the traders. This evolution is beneficial in the aspect of lowering the costs of the trading algorithms concerning the costs of the transactions carried out. 4) Sentiment Analysis: ASI technologies monitor and examine the social networks, news, and traders’ discussions within trader communities to analyze these markets. Such up-to-date information avails the traders of the present atmosphere of the markets which is useful in making forecasts at the right time. V) Merits of ASI in Trading 1) Increased accuracy: The inherent ASI decision-making characteristics increase the accuracy of market forecasts and trading decisions. 2) Greater efficiency: ASI digests material far more rapidly than older methodologies – enabling quicker actionable measures and therefore earning better trades by the traders. 3) Ongoing learning: ASI systems can learn and refresh their knowledge of the markets on an ongoing basis further increasing their adaptability. 4) Lower subjectivity: The incorporation of crowds helps to curb individual limitations and therefore results in a more objective analysis of the market that is devoid of personal bias. VI) The Future of ASI With the development of artificial swarm intelligence, its application in trading will surely diversify. More sophisticated agent communication systems will probably be necessary, faster information processing systems in real-time and systems with more capacity. All these will see the integration of ASI more into trading. VII) In conclusion Artificial swarm intelligence is a revolutionary method for making decisions in trading. The collective intelligence of the system allows traders to form better predictions accurately, increase their efficiency, and manage their risks. With future technological advancement, the role of ASI in trading will continuously see increased emphasis, leading the financial market into the future. - Ely
CRYPTO:BTCUSDEducation
by Elysian_Mind
Sentiment: Option Traders Take Bearish Bets on Silver and CopperNegative option flows were found for two metals at the same time: silver and copper. Portfolios that want prices to fall appeared at the same time as the market is growing, which is interesting. The positions are quite large, but they cannot be called "Insider positions", so we will be careful with forecasts. Of course, we need chart confirmation that agrees with the sentiment in options. Option traders like to flip trends too, so we need more signals. If you're long right now, though, that's something to consider. Like I said, option trades in Silver and Copper are significant.
FOREXCOM:XAGUSDShort
by ClashChartsTeam
Option market predicting a drop in AUD Hey everyone! We've got some data from the CME Exchange for August 13th. We're looking at option sentiment, which is meant to fall quotes in the 0.63 area within 30-40 days (the option portfolio's shown in the screenshot). It makes sense because there's a lot of bearish liquidity in that area, as confirmed by the price action there.But keep in mind that retail activity's contrarian indicator is still showing market bullish sentiment. You need to wait for the graphics to confirm it's time to lower the prices.
Short
by ClashChartsTeam
1
Unlocking the Power of Option Analysis for Forex TradingFiltering Options by Sentiment: A Key to Profitable Trading As traders, we're constantly on the lookout for ways to gain an edge in the markets. Option portfolios analysis is not a magic solution for success itself, but it can and should be a great tool to add to your trading strategy. Learning how to analyze the option portfolios of big and successful players on one of the world's biggest exchanges can really improve your market awareness and give you more confidence when reading the current market trends. The Power of Option Analysis Option analysis is not just about identifying bullish or bearish sentiment. It's about understanding the nuances of market psychology and identifying opportunities that others may be missing. By filtering options by sentiment, we can identify portfolios that are more likely to result in profitable trades. Key Factors to Consider When filtering options by sentiment, there are several key factors to consider: 1. Size and value of the option portfolio 2. Distance from the central strike (Delta) 3. Time to expiration 4.Appearance on the rise/fall of the underlying asset By considering these factors, we can identify option portfolios that are more likely to result in profitable trades. As mentioned above, option portfolios with names such as vertical spread, butterfly, and condor (in English - VERTICAL SPREAD, IRON FLY/FLY, CONDOR/IRON CONDOR) have predictive sentiment regarding the direction of the asset's price movement. However, it is critically important to be able to filter out such sentiment, since similar portfolios are widely used and appear almost daily in CME exchange reports, but only a small percentage of them have predictive value. Portfolios that are traded during a price movement with an obvious trend have low value. On the other hand, if a portfolio appears in a sideways market before the start of a trend and meets other conditions, which will be discussed later, it is reasonable to fix such a portfolio on the chart and subsequently track its correction (closure/partial closure/re-sale). If you "caught" such a portfolio that is already generating profit for its owner, i.e., the price is moving in the desired direction, you get an additional bonus: by tracking changes in this portfolio, you can understand whether the price movement will continue in the chosen direction or whether the movement is fading or has exhausted its potential and it's time to close your position. It is necessary to track changes daily using QuickStrike and GlobexTradeBrowser by CME GROUP. If you track less frequently, you can lose the thread of sentiment. I recommend performing analysis on a regular basis. Some examples: On July 17th, there was a really big beat on the Japanese yen in the options market for October. The bed was based on the idea that the yen futures would go up (or the dollar/yen forex rate would fall). As we saw, the bat started to pay off almost immediately, and the yen came really close to the target in just a few days! Could we have used this information for forex trading? Absolutely. The risk-reward ratio on this trade was about 1 : 3, but importantly , when we made this trade, we had real insider information. Insiders are required by the exchange to disclose their trades, just like other market participants. Not using this free information in your trades would be a big mistake for a serious trader who doesn't want to gamble in market. Another example: In April this year, we saw a strong bullish option sentiment for Silver prices rising between $32 and $35, based on a large options portfolio stated at around $27.5. We released our forecast for Silver, and you can find a copy of it with our reasoning at the link Cooper example: The forecast was made after analyzing option activity on the CME exchange on April 2. You can check the results yourself and see if the time we spent studying option sentiment and analyzing was worth it. In conclusion, as you can see, incorporating option analysis into your toolkit can really help you make more informed trading decisions. To all serious traders, I wish you patience and dedication on your journey to trading success. Remember that mastering the art of trading takes time, effort, and perseverance. Don't be discouraged by setbacks or losses, but instead, use them as opportunities to learn and improve. Stay focused, stay disciplined, and stay committed to your goals.
Education
by ClashChartsTeam
4
Gold Hit Liquidity Zone: Bullish Sentiment Ahead?So, gold quotes have hit the 'liquidity zone', where buyers trading the 'Engulfing' pattern are lurking, and we're seeing a breakout of the local high (on lower timeframes). You know the mantra: the market is always hunting for liquidity. Here's a textbook example. These zones have a solid predictive sentiment. If the quotes continue to 'chop' within a narrow range, having reached such a zone, then there's a higher probability of further upside movement, in other words, the market is kinda benevolent towards stuck bulls and doesn't want to see their blood spilled anymore."
OANDA:XAUUSD
by ClashChartsTeam
BTC/USDT - Time to Quietly Look for Buy SetupsThe kNN (k-Nearest Neighbors) indicator is starting to exhibit encouraging signals for initiating buy positions in the BTC/USD market. The kNN Sentiment Anomaly Detector, a form of supervised learning, processes historical price data to pinpoint anomalies in investor sentiment. It focuses on the divergences between normalized investor satisfaction and actual asset prices, offering a data-driven method to spot potential market inflection points. Historically, this indicator has demonstrated over 80-90% reliability on the 4H timeframe, though it's crucial to remember that past performance doesn't guarantee future results. As the market sentiment shifts towards fear, this indicator's signal has prompted me to scout for additional buy opportunities. I've started building small spot positions for swing or long-term trading. My strategy includes pyramiding these positions up to a defined size, adapting to market conditions as they evolve. Additionally, I'm keeping an eye on the ISPD pro indicator for parallel buy signals, which would bolster the case for entry. Should the price unexpectedly plummet below the 38k mark, I plan to adopt a more aggressive stance in my position openings, aiming to expand my Bitcoin holdings while diligently managing risks. It's also interesting to note that various buy signals are cropping up on shorter timeframes, particularly the 1H and 2H charts. This observation suggests a potential shift towards bullish sentiment in the short term, adding another layer to my multi-timeframe market analysis.
Long
by Ox_kali
The chart is a battleground, revealing who got crushed!In the early days of exchange trading, there was no technical possibility to visualize market quote movements, and traders analyzed ticker tapes. The real hype and massive interest in exchange speculation owe it to the technical possibility of displaying exchange information in the form of charts with ticks, bars, candles, and other more exotic ways of displaying price movements (Renko, Kagi). This led to a rapid growth of various schools of technical and graphical analysis. Just Google it, and you'll be overwhelmed by the sheer amount of info out there. It's like, every chart can be interpreted in a million ways, and three analysts will give you four different opinions on the same chart. It's crazy! But after 15+ years of trading, I've come to realize that the essence of graphical analysis is all about finding the "suffering" market participants. Classic patterns make it easy to spot areas of market activity and where traders are piling in. I'll give you some examples, backed by data from open sources, that'll show you just how predictable retail traders can be. Now, I know some experienced traders might say, "Patterns don't work, and this knowledge isn't enough." But I call BS - patterns do work, and the real question is who's extracting the most value from them? Of course, interpreting market patterns is just one piece of the puzzle. Here's an analogy: think of experienced hunters preparing for a hunt. They don't just wander around looking for prey; they identify the habitats, study the location, and track the animal's migration paths. They have a plan, limited time, and the right gear to get the job done. It's the same with pro traders with really big money. They plan and execute their strategy, using the behavior of less-informed participants in certain "hotspots" that attract retail traders like magnets. It's simple: a a newbie sees a market situation that looks just like one from a technical analysis book, and they're like, "Ah, I've got this!" Alright, let's take a look at the current situation with the Euro. I've got a screenshot with the average long and short positions of retail traders marked on the chart. It's a 1-hour time frame, which is probably the most popular one, right? Think about it, why is this time frame so popular? The data is from an open source, as of Friday evening. Take a minute to study this chart. What catches your eye? Let's zoom in and add some lines and arrows. Voilà! What do we see? The average long and short positions of participants (from the open source) almost perfectly match the breakouts of local highs and lows. This is what's called "trading the breakout" in the books. We can make an intermediate conclusion: the "bulls" were encouraged to open positions and got stuck in a losing zone, while the "bears" are celebrating their victory, as the market is favoring them and they're in a small profit. In other words, the market sentiment is bearish. Woohoo, case closed, let's go to short the Euro now! And yes, and no! The Euro quotes have been below the average short position of traders since June 14th, for two whole weeks, inviting everyone to start shorting. Even a blind "bull" can see it's time to switch sides). Here are some more numbers from the open source: short positions on the Euro decreased by 11.55% last week , while bearish positions grew by 8.55% . These are broker-aggregated data, no insider info here. You can find them yourself if you put in some time and effort. These numbers, as you understand, confirm our hypothesis that this "shorting invitation" didn't go unnoticed. Now, in the context of this article, think about it: "Will the 'Hunters' take advantage of this situation?" Or will the market take us all for a profitable ride? Oh boy... Let's look at the current situation with the Yen. It's a 1-hour chart with opened buys and sell levels marked. What can we conclude: a massive bearish candle clearly encouraged a lot of short positions to open, while the "bulls" opened at the upper range boundary during its test, and the market is favoring them, while the bears are suffering. But what's even more important, they're not just suffering, but also reversing the market. According to open data, the number of open short positions grew by 14.09% last week . Good luck to them in this tough business! However we should remember that short positions are closed at a stop-loss by "market buy" orders, which gives an impulse for further growth. What do I want to convey with this article, what do I want to share with you, mates? Evaluate market sentiment through the prism of "suffering" participants - that's, in my opinion, the best indicator! Usefully utilize information from open sources about retail positioning, there's a lot of value in it. Try to look at the chart with the eyes of a "hunter", search for traps set. Make such analysis a necessary part of your strategy to gain an edge, without which trading on markets is like playing "roulette". It's a journey, folks. Some get it earlier, some later, but eventually, most traders come to realize they need to "dig deeper", learn more about market mechanics, and improve their strategies. It's a painful process, but it's worth it. So, don't give up! Get back on your feet, and try again. As 50 Cent said: Get rich or die trying!
Education
by ClashChartsTeam
Forex Market Sentiment StrategiesForex Market Sentiment Strategies In forex trading, high performance often hinges not only on fundamental knowledge and technical analysis skills but also on the collective psychology of market participants. Leveraging market sentiment can thus be effective. This article discusses forex market sentiment, unravelling its nuances, exploring key indicators and sources, and offering strategies you may use to integrate sentiment analysis with technical indicators. Understanding Forex Market Sentiment Market sentiment in forex encompasses the collective mood and attitude of traders towards a particular currency pair. Traders often categorise market sentiment into various types, primarily: Bullish Sentiment: Indicates an optimistic outlook, where traders expect the price of a currency to rise. Bearish Sentiment: Reflects a pessimistic outlook, suggesting that participants expect a currency's value to decline. Market Sentiment Indicators and Sources Sentiment analysis in trading requires research into specific indicators and data sources, allowing for the integration of market psychology with objective market data. News Sentiment News data can be a powerful catalyst. Positive or negative surprises in economic indicators can trigger significant market reactions. Geopolitical events and trade negotiations also introduce uncertainty, prompting traders to reassess their positions. Breaking news related to economic policies and political issues can additionally trigger rapid market movements. Traders typically utilise an online Economic Calendar and follow reputable media sources to stay organised and informed about upcoming events. Social Media Sentiment The rise of social media has given traders a new avenue to express and gather sentiment. Platforms like X (formerly Twitter), Reddit, and Discord can provide valuable insights. However, filtering through the noise becomes imperative to distil relevant insights. You may consider relying on information from multiple social media platforms to cross-verify sentiments and distinguish informed analysis from speculative chatter. Retail Trader Sentiment Retail traders, often considered the "crowd", collectively shape sentiment through their actions and reactions. However, monitoring retail trader sentiment can provide contradictory signals, as both excessive bullishness and bearishness may indicate a potential reversal. It may be useful to look for divergence between retail sentiment and prevailing market trends, as a significant misalignment might indicate a potential reversal. Institutional Sentiment Institutional investors, comprising hedge funds, investment banks, and large financial institutions, often operate on a scale that dwarfs individual and retail traders, executing large trades that can significantly impact market prices. Traders may enhance their forex sentiment analysis tools by accessing reports, such as the Commitments of Traders (COT) report, to gauge sentiment by checking whether institutions are accumulating long or short positions. You can visit FXOpen and explore the impact of sentiment on the markets at the free TickTrader trading platform. Forex Sentiment Strategies Among the technical indicators that can be used to evaluate the prevailing mood are the Advance/Decline Line, the On Balance Volume (OBV), and the Average True Range (ATR). Below we show three strategies implementing each of them. 1. The Contrarian Strategy The contrarian strategy involves taking positions against the prevailing market sentiment, aiming to take advantage of potential reversals. Three key technical indicators employed in this strategy are the Relative Strength Index (RSI), the Moving Average Convergence Divergence (MACD), and the Advance/Decline Line. Entry The theory states that traders enter a contrarian long/short position when both RSI and MACD provide signals opposing the prevailing sentiment: bearish/bullish crossover for MACD and a cross below the overbought area and above the oversold area for RSI. Entry points are confirmed with signals through a divergence of the Advance/Decline Line: this should decline when the asset price rises and climb when the asset price falls. Stop Loss A stop-loss order may be placed above the recent swing high in a bearish contrarian trade or below the recent swing low in a bullish contrarian trade. Take Profit A take-profit order may be placed near a significant resistance/support level for a long/short trade. 2. Trend-Following Strategy The trend-following strategy involves aligning positions with the prevailing market sentiment, anticipating that established trends will continue. The two technical indicators employed in this strategy are the On-Balance Volume (OBV) and the Moving Average Convergence Divergence (MACD). Entry Traders may enter a trend-following long/short position when both OBV and MACD provide signals aligning with the prevailing trend. If the market sentiment is bullish/bearish, a rising/falling OBV and a bullish/bearish MACD crossover may imply the trend is about to continue. Stop Loss A stop-loss order might be placed below the recent swing low in a bullish trade or above the recent swing high in a bearish trade. Take Profit An opposite MACD crossover combined with signs of an OBV reversal could indicate a potential take-profit level. 3. Volatility-Based Strategy Traders utilising a volatility-based trading strategy seek to capitalise on heightened market volatility triggered by a sudden surge in bullish or bearish sentiment. This strategy utilises the Average True Range (ATR) indicator in conjunction with the Relative Strength Index (RSI) as a confirmation tool and a Moving Average crossover for directional guidance. Entry Traders would wait for a noticeable spike in the ATR as an indication of heightened market activity and potential significant moves. Then, a Moving Average crossover helps determine the likely direction of the trade: a bullish/bearish crossover reflects a potential upward/downward move, implying a long/short trade. The RSI is observed for confirmation, with a sharp rise/decline above/below 50 confirming a bullish/bearish sentiment for a short/long trade. Stop Loss Traders might place stop-loss orders just beyond recent swing highs or lows, aligning with the direction of the trade to manage risk effectively. Take Profit A long/short trade may be exited when there's a bearish/bullish MA crossover combined with RSI falling/rising below/above 50. Final Thoughts Implementing sentiment analysis in forex trading strategies acts as a bridge, seamlessly integrating human psychology with dry statistical data, allowing traders to decipher the emotional undercurrents that influence market movements. Ready to start trading on market sentiment? Consider opening an FXOpen account and trying out CFD trading in over 600 assets! This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Education
by FXOpen
2
GBPCAD-BEARISH-4H-CONTINUATION GBP/CAD Analysis 1. **Bearish/Bullish Analysis:** - **Scorecard 3:** Indicates a bearish sentiment for GBP, bullish for CAD, resulting in a bearish outlook for GBPCAD. This could suggest weakness in the Pound against the Canadian Dollar. - **COT-Flip:** The Commitment of Traders (COT) report suggests a shift in sentiment from bullish to bearish for GBP and from bearish to bullish for CAD, aligning with the Scorecard's conclusion of a bearish GBPCAD outlook. - **Seasonal Analysis:** Seasonal trends show a bearish bias for GBP, and neutral for CAD, further supporting the bearish outlook for GBPCAD. 2. **Commodity Analysis:** - Commodity analysis indicates a bearish sentiment, which could imply that macroeconomic factors or global commodity trends influence the GBP/CAD pair negatively. 3. **Conditional Analysis:** - Conditional factors show a mix, with a bullish bias for both GBP and CAD, resulting in a neutral stance on GBPCAD. This suggests that certain conditional factors may not strongly influence the pair's direction. 4. **Fundamentals:** - Leading Economic Index (LEI), Endogenous (ENDO), and Exogenous (EXO) fundamental analyses collectively point towards a bearish sentiment for GBP and a bullish sentiment for CAD. This reinforces the overall bearish outlook for GBPCAD. ### Technical Analysis: 1. **Trend:** - The overall trend analysis indicates a bearish trend for GBP/CAD, suggesting that the pair is experiencing downward price movement. 2. **Continuation Patterns:** - Continuation patterns are bearish, implying that the current downtrend in GBP/CAD is likely to persist. Overall Interpretation: The analysis of the scorecard and technical indicators suggests a predominantly bearish outlook for GBP/CAD for the second week of May. Fundamental factors such as the leading economic index and market sentiment indicators align with technical indicators, reinforcing the bearish sentiment. Traders and investors may consider this information when making decisions regarding GBP/CAD positions, keeping in mind both short-term and long-term trading strategies.
by AamirZahirali
1 Week Later and Oil is down 3.66%1 Week after the beggining of conflict between Israel and Iran in the middle east, Crude Oil is down 3.66%. Price began trending down all week and then on Thursday there was news of a bombing by Israel which caused a spike in Oil(3.5). This whole move was corrected and we are back to being down on the week. This opposes what I believed may play out this week as my thoughts were 1. Oil is a precious commodity and needed in War 2. The trend thus far this year is Bullish (we are up 13.82%) The market is instead going down and retraced this week. We are currently sitting on the Daily support level 81.23. Price action looks bearish on the Daily as we have a large top wick on the current candle.. moving into the next few weeks we will have a bearish weekly candle behind us that may aid in a descent towards the next Daily level 80.65 and beyond to the next weekly level 77.82. Also, this is in line with current risk-off market sentiment as Oil (Risk-on) is a commodity after all Daily timeframe : The Daily timeframe retested Daily resistance (85.65) and we rejected.
TVC:USOILShort
by ShrewdCatfx
Dive into the world of options with our latest Silver analysis!In the next two options, with expiration dates on May 28 and June 25, bullish sentiment appeared on silver. Starting on April 19, the participant collected bullish spreads with construction sites 31/31.5 and 32.5/35 in his portfolio. Based on the delta values of these strikes, these spreads can be classified as aggressive. The following is noteworthy: The position set has a systemic character, even in a negative scenario. But We cannot claim that the participant holds these portfolios without hedging. Further monitoring of the outflow/inflow of open interest will give a hint about the participant's actions and a sentiment for further price movement.
COMEX:SIN2024Long
by ClashChartsTeam
Vix Gaps up 18% with Israel/Iran Conflict The Markets are moving money into buying Puts and this signals Fear. This is what war does I suppose and is the logical scenario that we would anticipate. Put Options are being bought as market participants anticpate lower prices on the Indices overall in the Short term at least here. We gapped up to a Daily level on the Vix where we consequently observed a decrease. The Size of the gap coupled with the Daily level and the not-too-far off Weekly level provided a strong place to reverse to fill the gap. The market is up 3% on the day after being up much more. Since the beginning of the Israel/Iran Conflict (Monday April 15th) the Vix is up 9% . As we move further into Q2, I'm anticpating a continued pullback in the broader stock market or even range. Vix may go sideways or range
TVC:VIXLong
by ShrewdCatfx
BTC Analysis: Downtrend Channel, Sharp Dip DROP Potential The price is currently trading within a descending channel. A strong weekly resistance level lies ahead. Increasing volume suggests buyers are waiting for lower prices to enter. A sharp drop in price is a possible scenario. Elaboration: The current market situation presents a bearish outlook with the price confined within a descending channel. This pattern indicates a downward trend, suggesting that sellers are in control. Moreover, the presence of a strong weekly resistance level ahead further reinforces the bearish sentiment. This resistance level acts as a barrier that the price has struggled to surpass in the past. Interestingly, despite the bearish trend, there is an increase in trading volume. This could be interpreted in two ways: Buyers' Accumulation: Buyers might be accumulating positions at lower prices, anticipating a potential reversal in the trend. Increased Selling Pressure: The rising volume could also indicate increased selling pressure, pushing the price further down. Given these factors, the possibility of a sharp downward movement, or a "sharp dip," cannot be ruled out. This sudden price drop could occur as buyers exhaust their strength and sellers regain control. Considerations: Market Sentiment: Pay close attention to overall market sentiment and news events that could influence price direction. Technical Indicators: Utilize technical indicators like RSI and MACD to identify potential trend reversals or continuations. Risk Management: Employ sound risk management strategies, including setting stop-loss orders and positioning sizing appropriately. This analysis is for educational purposes only and should not be construed as financial advice. Always conduct your own research and employ sound risk management practices before trading. IF DROPS: pay attention to the SELL trigger line and the first target might be the bottom of the channel. it will be also the breaking of the accumulation zone too which means strong momentum is needed in the market. IF RISES: pay attention to the BUY trigger and break out of the channel too and it could still the force of the weekly resistance and nearing the HALVING time too.
INDEX:SATSUSDShort
by solinash1
Macro Monday 38 - German Zew Sentiment Index (extra chart)Macro Monday 38 - Please review the full report shared prior to this. This is only the German chart in Isolation. GERMAN ZEW INDEX The German ZEW Index data is not derived from all the countries in Europe, it is derived from the views of collection of 350 economists and analysts that operate from and represent the German economy. As Germany is the largest economy within the Euro Area, its performance significantly impacts the overall region and this this metric could be considered the economic sentiment spearhead of Europe. Germany is also the 4th largest economy in the world by nominal GDP. As of 2023, its nominal GDP stands at approximately $4.43 trillion. This index could be monitored as a measure of not only European sentiment but as an important global sentiment gauge. How to read the chart The index ranges from -100 (pessimism) to +100 (optimism). 0 is neutral however the historical average reading for the German ZEW chart is 20.79 which is the point where the red area meets the green area on the chart. We show on the chart if we are above or below the average levels of optimism. The current reading of 19.9 indicates current optimism among analysts for the next 6 months, however we are below the historical average of 20.79 thus a definitive move above this level this coming Tuesday could be a confirmation step into potential sustained optimism. The Trend Sentiment made a recovery from -61 in Sept 2022 to +19.9 in Feb 2024. We have moved from deep in negative sentiment territory into positive numbers but we are not above the historic average of 20.79 yet. Lets see how both perform this coming Tuesday. The beauty of these charts is that you can review both on my Trading View at any stage, press play and it will update with the most recent release. This way you will have a full explainer of what this dataset is and can keep yourself up to date on its direction with the color coded map, the average line and the neutral line, all of which will at a glance give you a good indication of where we stand in terms of trend and sentiment. I'll keep you informed here too Thanks for coming along PUKA
ECONOMICS:DEESI
by PukaCharts
Wti 90 Strike is On Sale!There is something insightable happening with WTI oil. 90 strike and trade volume are attracting attention. Check out Monday's trading data below. But to properly interpret it, we need to look at the data in the context of how the price of the asset has moved. Comparing when the highest option trading activity was at the 90 strike and how the asset moved, the question becomes why the 90 option strike is being handoffed as prices move higher. It's critical to note that open interest at the 90 strike did not increase, but the option flow from previous owners to new owners did (the amount of open interest did not increase, it actually decreased slightly). Someone started buying at the 90 strike about 3 weeks ago and is now taking profits by selling their portfolio into the market, taking advantage of the rising price of call options. Our statistics show that such a scenario indicates a strong resistance level around the 90 strike and a likely bounce.
NYMEX:CLK2024
by ClashChartsTeam
Gold! Will the rally continue..?As expected, gold futures were pretty much flat before the expiry of the March 24 option series, with the only notable exception being a spike in volatility after the Fed news. And what's going on in the options market right now? At the moment, there aren't really any interesting portfolios that show signs of insider trading in the option market. Yes, yesterday there were some pretty significant portfolios opened in growth with an underlying asset value of around $3,000 for the May series, but the logic behind their opening was pretty standard and, in our opinion, doesn't have a lot of predictive power.
OANDA:XAUUSD
by ClashChartsTeam
Macro Monday 39 (Part B) - Predictive Power (EU ZEW Vs EU ESI)Macro Monday 39 (Part B) This chart is a summary of the past two weeks of work in Macro Mondays on the EU Sentiment The Chart illustrates the forward looking Euro Area ZEW Sentiment Index (red line) and the current sentiment outlook via the Euro Area Economic Sentiment Index (the "ESI", the blue line). In the chart I have used thick orange lines to illustrate when the forward looking ZEW Index moved negative ahead of the ESI Index. I have used thick green lines to inform of us of when the ZEW Index moved into optimism ahead of the ESI Index. The Chart demonstrates that the ZEW Index is actually a moderately decent forward looking indicator. Hats off to those 350 economists that complete the surveys in the ZEW Index. Whilst it has been great at providing some leads, the ZEW Index is not always accurate and does not always offer the correct lead direction however historically we can see that it certainly has had predictive power at certain junctures and thus its a useful data set to monitor for EU sentiment. ▫️ At present the forward looking ZEW Index has moved into optimism whilst the current outlook via the ESI is in pessimism. ▫️ If the ZEW Index gets above the 38-42 level, it would really help concrete the sentiment shift to optimism. This is not disregarding the fact we are firmly in positive forward looking sentiment territory already. Historically there have been many rejections lower from this 38 -42 level, thus getting above it would be a real conclusive move. Furthermore, the ESI is at 95.4, if the above were to occur with a move above 38 - 42 on the ZEW Index and the ESI was to move above 100 into positive territory, we could really start to lean firmly positive for the present and into the future. The beauty of this chart is that you can go onto my TradingView Page and press update, and the chart will update you with both metrics, informing you at a glance with how these metrics are performing collectively with a nice visual guide. Thanks again for coming along and I hope this chart helps you in your current and future understandings of EU Economic Sentiment, which is an important global economic lead. Bottom line is, economic sentiment appears to be leaning optimistic for the immediate future, however we await more readings for a conclusive trend direction. PUKA
ECONOMICS:EUESI
by PukaCharts