Volumetric analysis on September 4
It does not look like the situation has changed. Although, of course, it is worth waiting for any serious movement one hour before the opening of the American session and especially at its opening. Today we will assume that the structure is preserved, and the movement down towards to 1.1565 is the main one. However, if someone took advantage of yesterday's idea and executed some transactions, the Stop loss placement to the breakeven point will be the right decision, as well as the search of the sellers' initiative in the resistance zone 1,1625-1,1655. Those actions are necessary, since the trend down does not seem stable.
Negative events cause the pair moving downwards, not giving the opportunity to go on sale at favourable prices. The target at 1.2860 was achieved without special volumes. Today you can also count on further price depreciation, and set the next target at 1.2830. However, the absence of a zone with good volumes does not exclude a deep correction. Technically, the price before going down can be adjusted to 1.2960. Therefore, we accept a more or less formed zone of 1.2900-1.2935 as a probable resistance. We are waiting for the seller’s initiative there, and only after that we are working to lower the rate.
Positive data published in Australia today, led the course to grow. However, there is no need to talk about changing the trend for ascending. The maximum volume lies between 0.7275 and 0.7315 price levels. And only the appearance of a price above the 0.7315 in the current situation will speak of a trend upward. Until then, the search for entry points for sale is the main scenario. I would also like to draw attention to the accumulation of pending market orders below the low of September 3. On their availability can be judged from the data of a number of forex brokers. Therefore, the appearance of a price at around 0.7162 with a high degree of probability will lead to a downward momentum up to 0.7147 and possibly more. This impulse will appear due to the emergence of a large number of market applications for sale. We draw our attention to the fact that we do not claim that the price will be 0.7162, we are talking about what will happen next if this become valid.
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