The 80/20 rule governs our lives and this rule is up to 95/5 in the forex market. That means 95% of traders lose in this market ,
only the remaining 5% of traders are profitable and the loss of other traders.
The fact is that the market is always against the majority of traders so when you decide to enter the forex market,
you need to have data to know what the majority of traders are doing and do opposite.
Forex sentiment will give the data to help traders make the right decision to invest as the examples below:
Analysis sentiment of market:
- Sell volume increase
- Buy volume decrease
Market is down before but market is weak because traders exit long position and go short position and market against sellers
- Short position still increase
- Long positions continue to decrease
The market continues to rise because buyer trying to take profit but seller still increase go short and market against sellers
- Net volume still down that mean seller still increase short volume
When seller and buyer increase volume so net volume line or net position line will show which one is stronger or weaker
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