What a week! Continual weakening on the TVC:DXY which caused my gold trade to fly through the roof at 320 Pips profit! Ive been thinking a massive economic reversal will be approaching since the lows in March due to the start of the UK's lockdown. My GBPUSD long positions have been consistently benefitting of this as I've been picking up long positions in the...
eurjpy has been in a downtrend recently and we can now see consolidation happening.
Once price has broken the purple box we can then see which way the market wants to go and can get in for a buy or sell order next week.
I will post a update of price oce this has happend
We are seeing the same theme across the USDXXX pairs which is lots of consolidation and indecision. Although we saw price break out of that strong descending trend line, we have seen nothing but a range ever since. I will be waiting patiently for a break either way followed by a re-test and rejection before considering a position.
IG Client Sentiment - 71%...
Anyone with open eyes can see that this pair is caught within a range, don't try and fight the markets, let the setups come to you. Be patient, wait for a break of the consolidation phase either way before considering a position, there are plenty more pairs to trade.
This pair is the devil pair, trade with caution!
COT Data - 73% Long
Price has been consolidating in a very tight range after breaking a channel illustrated clearly on the chart, arguably forming a bearish flag which may break down to entirely break structure offering profitable short positions. Furthermore, the 200EMA on the hourly chart (and daily) is showing bearish momentum. Alternatively, price is rejecting this lower...
Nothing but consolidation all of last week, this is highly visible on the daily timeframe, all that can be seen is side by side candles followed by wicks. If the market wants to continue like this we will simply work with other pairs, however, if we see a clear break below of the structure marked followed by a re-test and rejection, this could open up the...
XAUUSD remains indecisive, price fails to hold above the key level we are interested in and continues to play around on the significant trendline, although I know many of you are keen on trading gold, I would say avoid it until a clear market direction becomes apparent because at the moment you would be diving into the unknown.
COT Data - 53% Long
We discussed this market in the weekly trade ideas last week and how price was strangled within a tight range and box pattern.
Price has finally broken out of this consolidation and exploded higher.
The breakout traders who made this trade would not be sitting on handy profits whilst others could be looking for a second chance entry.
If price rotates lower back...
Price has finally snapped higher out of the consolidation box pattern it had been stuck in over the three weeks.
The last time price tried to breakout it quickly reversed and created a false break.
The old breakout resistance level looks key. For the breakout to remain a breakout and not a fakeout the old resistance will need to hold as a new support.
This is a market we have been discussing heavily in recent times. Price has been holding at the intraday price flip support level and consolidating.
As discussed yesterday, for price to make any sustained moves back higher it would need to bust through the intraday resistance.
Whilst price attempted to make a move back higher in the previous session, it ended...
After forming some explosive price action in both directions recently, price has cooled off and is in consolidation mode.
As the 4 hour chart shows; price has formed a bullish pin bar at the recent price flip support level, followed by an inside bar.
This intraday support level looks key for this market and an important level to watch in the coming sessions.
Price has finally broken out of the consolidation and sideways box that had been building in this pair.
Now price has broken out, all the traders not already long can look for quick pullback trades into the old resistance breakout area. This area could hold as a new support and a solid area to get long with the momentum higher.
After price made a break higher and through the multi-year resistance level price action on the daily chart of Gold has stalled.
Price has formed multiple inside bars and has not been able to break the high of the daily candle from 8 sessions ago.
This market looks bullish whilst the support continues to hold, but the near term support does look important.
GBP/USD consolidating within a pennant (4 hour chart). RSI halfway through. The breakout will depend purely on fundamentals, such as USD strength and overall market sentiment/optimism around the COVID-19 and the global economy. Also pay attention earnings releases this week and any geopolitical tensions, will have an effect on the USD. Will have to wait and see...