Volumetric analysis on November 29
Mr. Powell add volatility on the US dollar yesterday with his speech. Although he did not say any important details. Today you can watch the publication of FOMC protocols in economic calendars. However, no special movements should be expected. Today are published events that have already been announced two weeks ago. But after Powell’s speech yesterday, it can be assumed that the weakening of the US dollar is temporary. For us, the return of the EURUSD pair to the downward movement is more profitable, since the potential resistance below is less, which means there is more potential in the deal. For example, in the price range of 1.1395-1.1435 a large volume is concentrated, which may interfere with the growth of quotations. It will be difficult to say whether it will interfere or not, but it is better to speak about serious purchases after the breakdown of the 1.1435 mark. Even after the breakdown of 1.1435, we consider purchases only next day. On the other hand, volume is also concentrated in the price range of 1.1345-1.1320. Which appeared yesterday after the speech of the Fed Chairman. And it makes sense to short an asset after the price breaks through 1.1320. In general, today it is mainly to observe and hope that the price will go along the path of least resistance, that is.
The quotes of this pair also began to decline as the Fed chairman’s speech started amid a general weakening of the US dollar. It is noteworthy that the decline stopped in the place where yesterday we considered the possibility of trading. And if there are those who have long positions, then in principle the best action is to stick to yesterday's ideas. Select the level of 1.3290. At this level, there are also large volumes that appeared at the moment of Powell's speech. And if the price passes this level, then we can say that there is an initiative of buyers in the market. Then those who are already in the deal can relax and expect the goal of 1.3320, those who do not have a position can try to buy from the rollback with the same goals. For us, the level of 1.3225 is still the control. The decrease of prices below this level will indicate that we were wrong, and that there is no upward trend.