Hi Traders! Arvinth here from the Home Trader Club team. The weekly summary and, review of April 8th 2024 is here. It is now time to recap and summarize the trade setups that we had during the last week. Below you will find a short explanation of all the trade setups we had last week and how it has currently developed now.
Ethereum – My idea here was “On the H4 chart, based on the Heikin Ashi candles we can see that currently, we have strong bearish bodies in downward moving market conditions so it basically reflects a bearish environment. In addition to this, the price which is 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. In addition to this, the ADX indicator gave a bearish signal here at the cross of -DI (red line) versus +DI (green line) and the main signal line (silver line) reads value over 25 which we may consider as yet 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, we may consider this as yet another evidence of bearish pressure. 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 after pullbacks”.
Current Scenario – In Ethereum, the price action is following the bearish expectations so far. Currently the price is holding in the first strong resistance zone. My plan still remains the same here, that is, I expect the price to move lower further in the short term after pullbacks until the two strong resistance zones (marked in red) shown in the image below holds.
Dow Jones – My idea here was “On the H1 chart, we have a strong bearish momentum and based on the Heikin Ashi candles we can see that currently, we have strong bearish bodies here as well in downward-moving market conditions so it basically reflects a bearish environment. In addition to this, the ADX indicator gave a bearish signal here as well at the cross of -DI (red line) versus +DI (green line) and the main signal line (silver line) reads a value over 25 which we may consider as yet another evidence of bearish pressure. Also, there are no signs opposing this short term bearish view at the moment. So everything looks good here for the bears and until this strong resistance zone (marked in red) shown in the image below holds my short term view remains bearish here and I expect the price to move lower further after pullbacks”.
Current Scenario – In Dow Jones, until the strong resistance zone holds I was expecting short term bearish moves to happen after pullbacks. The price action followed my analysis exactly as I expected it to here. We had a pullback and then the price moved lower further and delivered an excellent move to the downside so far!
GBPCAD – My idea here was “On the H4 chart, based on the Heikin Ashi candles we can see that currently, we have strong bearish bodies in downward moving market conditions so it basically reflects a bearish environment. In addition to this, the price which is 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 a correction is happening and also based on the Stochastic Oscillator we could see that the price has reached its extreme which we mat consider as another evidence of bearish pressure. Also, we had two strong support zones that has formed and the price which is moving lower has broken below these zones and is holding below them, we may consider this as yet another evidence of bearish pressure. 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 view remains bearish here and I expect the price to move lower further”.
Current Scenario – My plan didn’t change in GBPCAD, 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 after pullbacks.
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Happy Trading!
Arvinth Akash
Home Trader Club Team.
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