Hi Traders! Arvinth here from Traders Academy Club team. Weekly summary and review June 10th 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)

EURCHF – 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. In addition to this, we could see that the price which was moving lower created a bullish divergence that has formed between the first low that has formed at 1.02291 and the second low that has formed at 1.02181 based on the MACD indicator. The price then moved higher and broke above the last high at 1.03503 creating higher highs, thus forming a classical setup of bullish divergence followed by bullish convergence. Hence as per the book scenario, after a bullish convergence, we may look for corrections to happen and then further continuation to the upside. Also, 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. 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. Until the strong support zone holds my short term view remains bullish here and I expect the price to move higher further after pullbacks in the short term”.
Current Scenario – Based on the above mentioned analysis my short term view was bullish here and I was expecting the price to move higher further until the strong support zone holds. The price action followed my analysis exactly as I expected it to here. After the bullish convergence we had a pullback and then the price moved higher further and delivered 120+ pips move before it moved lower.

EURCAD – My idea here was “Looking at the H1 chart, we could see that the price which was moving lower has created a bullish divergence here as well, which has formed between the first low that has formed at 1.34217 and the second low that has formed at 1.33893 based on the MACD indicator, which we may consider as evidence of bullish pressure. 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. So everything looks good here for the bulls and until the H4 key support zone holds my short term view remains bullish here. If we get a valid breakout above the high at 1.34760 we may then consider it as a validation for this short term bullish view and may expect the price to move higher further”.

Current Scenario – In this pair based on the above-mentioned analysis, my short term view was bullish here and I was expecting the price to move higher further until the key support zone holds. Also, I mentioned that “If we get a valid breakout above the high at 1.34760 we may then consider it as a validation for the bullish view and may expect the price to move higher further”. The price action followed my analysis exactly as I expected it to here. The validation for the bullish view which is a valid breakout above the high at 1.34760 happened as I expected it to, we then had a pullback and then the price moved higher further and delivered 120+ pips move to the upside before it moved lower.

You can see this move clearly on the M15 chart below.

GBPCHF – 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, 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 view remains bullish here and I expect the price to move higher further”.

Current Scenario – My plan didn’t change here that is until the two strong support zones hold my view remains bullish here and I expect the price to move higher further.
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