Volumetric analysis on October 11


The growth of quotations, which took place yesterday, was generally expected, and today at the Asian session, we saw growth in both EURUSD and GBPUSD currency pairs. This growth is definitely caused by some news, and most likely Brexit situation. Note, that in Europe and England these events were positively met by the market, which gives us reason to believe that the Brexit theme can again be expected in the market, the fact that the news works in the direction of the current trend adds confidence. Today, in general, you can try to implement the second part of yesterday's trading idea. The breakdown we were waiting for took place on the described news, and now we are waiting for the corrective movement down to the range of 1.1540-1.1515, where we are looking for entry points to the purchase and count on growth towards to 1.1580. The appearance of prices below 1.1515 will indicate that the trend is weak, but it still persists.


It moves in the same direction with the European Currency. And unlike EURUSD, the volumes traded yesterday look quite clear. We can immediately identify support at 1.3160-1.3125. And in the event that a corrective rollback to this support takes place, you should count on going up to 1.3220. We would not count on a serious update of the highs today. The fact is that yesterday, closer to the closure of the American session, the prevailing number of market orders for sale passed through the exchange. This may be closing purchases or opening sales. Both the first and the second indirectly indicate that the force that should push up seems to have died out.


This pair implemented the best scenario we had been waiting for yesterday, the breakdown of support, a small pullback, which gave the opportunity to go on sale and move towards to the goal at 112.30. This scenario is good because it is in the direction of the main trend. Now we see that the likely open interest of sellers is in the price range 113.40-112.60. And only the appearance of prices above 113.40 will speak about a change in trend. But we will try to work with a more local volume. In the price range of 112.95-112.60 it is worth waiting for the price reaction and hang up down to 111.60.



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