Hi Traders! Arvinth here from the Home Trader Club team. The weekly summary and, review of November 10th 2023 is here. It is now time to recap and summarize the trade setups that we had during this week. Below you will find a short explanation of all the trade setups we had this week and how it has currently developed now.

Trading Ideas (Blog Posts)

Dax – My idea here was “On the H1 chart, the price which was moving higher has created a bullish trend pattern in the form of three higher highs, higher lows, we may consider this as evidence of bullish pressure. Generally, after a bullish trend pattern, we may expect corrections and then potential continuation higher. Currently, it looks like a correction is happening. Also, based on the Stochastic Oscillator we could see that the price has reached its extreme which we may consider as yet another evidence of bullish pressure. In addition to this, currently there are no signs opposing this short term bullish view. So everything looks good here as well for the bulls and until the strong support zone (marked in green) shown in the image below holds my short-term view remains bullish here and I expect the price to move higher further after pullbacks”.

Current Scenario – In Dax, after the bullish trend pattern, I was expecting the price to move higher further after pullbacks until the strong support zone holds. The price action followed my analysis exactly as I expected it to here. The pullback that I was looking for happened and then the price moved higher further and has delivered a nice move to the upside!

GBPAUD – My idea here was “On the H1 chart, the price which is moving higher has created a bullish trend pattern in the form of three higher highs, higher lows, we may consider this as evidence of bullish pressure. Generally, after a bullish trend pattern, we may expect corrections and then potential continuation higher. Currently it looks like a correction is happening and also there are no signs opposing this short term bullish view at the moment. In addition to this, the ADX indicator gave a bullish signal here at the cross of +DI (green line) versus -DI (red line) and the main signal line (silver line) reads value over 25, we may consider this as yet another evidence of bullish pressure. Also, we had two strong resistance zones that has formed and the price which was moving higher has broken above these zones and is holding above them. After the breakout these strong resistance zones are acting as two strong support zones for us. Until both these strong support zones shown in the image below (marked in green) holds my short term view remains bullish here and I expect the price to move higher further after pullbacks”.

Current Scenario – Based on the above-mentioned analysis my short term view was bullish in GBPAUD and I was expecting the price to move higher further until the two strong support zones hold. The price action followed my analysis exactly as I expected it to here. The price respected the first strong support zone and then it moved higher further and has delivered around 200 pips move to the upside so far.

USDCAD – My idea here was “On the H1 chart, the price which was moving lower has created a bearish trend pattern in the form of three lower highs, lower lows which we may consider as evidence of bearish pressure. Generally, after a bearish trend pattern we may expect corrections and then further continuation lower. Currently, it looks like the correction that we are looking for is happening. In addition to this, we also have a bearish divergence (supporting the H4 bearish hidden divergence) between the first high that has formed at 1.37819 and the second high that has formed at 1.38143 based on the  MACD indicator which we may consider as another evidence of bearish pressure. Also, we had two strong support zones that has formed and the price which was moving lower has broken below these zones and is holding below them. Currently, these strong support zones are acting as strong resistance zones for us. Until these two strong resistance zones (marked in red) shown in the image below hold my short term view remains bearish here and I expect the price to move lower further”.

Current Scenario – My plan didn’t change in USDCAD, that is until the two strong resistance zones hold my short term view still remains bearish here and I expect the price to move lower further.

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