Hi Traders! Arvinth here from the Home Trader Club team. The weekly summary and review of February 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)

Silver – My idea here was “On the H1 chart, 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 price which is moving lower has created a bearish trend pattern in the form of three lower highs, and lower lows which we may consider as evidence of bearish pressure. Generally, after a bearish trend pattern, we may expect corrections and then a further continuation lower. Currently, it looks like a correction is happening. Also, we had two strong support zones that have formed, the price moved lower broke 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”.

Current Scenario – Based on the above-mentioned analysis my short-term view was bearish here and I was expecting the price to move lower further until the two strong resistance zones hold. After the bearish trend pattern, the price didn’t provide the deeper pullback that I was looking for and it continued the rally after a smaller pullback and has delivered a nice move to the downside so far.

AUDUSD – My idea here was “On the H1 chart, 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 a further continuation lower. Currently, it looks like a correction is happening. Also, we have a bearish divergence that has formed between the first high which formed at 0.69509 and the second high which formed at 0.69957 based on the MACD indicator, which we may consider as evidence of bearish pressure. In addition to this, based on the Stochastic Oscillator we could see that the price has reached its extreme here as well which we may consider as yet another evidence of bearish pressure. Until the 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 – In AUDUSD the short-term bearish move happened as per the plan. The price which was moving higher reached the first strong resistance zone, respected it and bounced lower from this zone, delivering around 100 pips move to the downside so far!

Dollar Index – My idea here was “On the H4 chart, the price which was moving lower reached a strong support zone, 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 101.377 and the second low that has formed at 100.492 based on the MACD indicator which we may consider as evidence of bullish pressure. The price then moved higher and broke above the high at 102.253 thus creating higher highs. Also, the price has broken above the most recent downtrend line and is currently holding above it, we may consider these as other evidence of bullish pressure. So based on all this, my short-term view remains bullish here and I expect the price to move higher further after pullbacks until the strong support zone (marked in green) shown in the image below holds”.

Current Scenario – In Dollar Index, the price action is following the bullish expectations so far, My plan still remains the same here.

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