Hi Traders! Arvinth here from Traders Academy Club team. Weekly summary and review April 8th, 2022 is here. It is now time to recap and summarize the trade setups that we had during this week. Below you will find the short explanation of all the trade setups we had this week and how it has currently developed now.

Trading Ideas (Blog Posts)

US Dollar Index – My idea here was “On the H4 chart, based on the Heikin Ashi candles we can see that currently, we have strong bullish bodies in upward moving market conditions so it basically reflects a bullish environment. Also, 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 another evidence of bullish pressure. Generally, after a bullish trend pattern, we may expect corrections and then potential continuation higher. Currently, it looks like a flat correction is happening in the form of a range. This range is formed by the highs and lows reaching parallel support and resistance zones. The price which is moving inside this range has reached the bottom of this range, respected it, and bounced higher from this zone. Currently the price is nearing the top of this range. 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, there are no signs of trend change at the moment. Until the bottom of the range holds my short term view remains bullish here. A valid breakout above the top of the range would be the validation for this short term bullish view, we may then expect the price to move higher further”.

Current Scenario – The validation for the short term bullish view which is a valid breakout above the top of the range happened here as per the plan. We then had a pullback and then the price moved higher further delivering 90+ pips move so far.

EURJPY – My idea here was “On the H1 chart, currently, it looks like a flat correction is happening in the form of a range. This range is formed by the highs and lows reaching parallel support and resistance zones. The price which is moving inside this range has reached the bottom of this range, respected it, and bounced higher from this zone. Also, we had a bullish divergence that has formed between the first low that has formed at 134.514 and the second low that has formed at 134.300 based on the MACD indicator which we may consider as evidence of bullish pressure. In addition to this, based on the Parabolic Sar we could see that the dots are below the price which we may consider as yet another evidence of bullish pressure. Until the bottom of the range holds my view remains bullish here. A valid breakout above the top of the range would be the validation for this bullish view, we may then expect the price to move higher further”.

Current Scenario – In this pair, the validation for the bullish view which is a valid breakout above the top of the range didn’t happen yet. My plan still remains the same here, that is “if we get a valid breakout above the top of the range we may then consider it as a validation for this bullish view and may expect the price to move higher further.

AUDCAD – My idea here was “On the H1 chart, we could see that 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. Also, 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. Until this key resistance zone (marked in blue) shown in the image below holds my short term view remains bearish here and I expect the price to continue lower further after pullbacks”.

Current Scenario – On the H1 chart, my view was bearish and I was expecting the price to move lower further until the key resistance zone holds. The price action followed my analysis exactly as I expected it to here. After the bearish trend pattern the pullback that I was looking for happened and then the price which is moving lower has delivered 60+ pips move so far.

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