Weekly Trades Summary January 29th 2021

Hi Traders! Weekly Trades Summary January 29th, 2021 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 in this week and how it has currently developed now.

First, we will see the trade ideas that I shared in my blog:

Trading Ideas (Blog Posts)

AUDUSD – My idea here was “On the H4 chart, we have a bearish channel that has formed which started on 6th January 2021. This channel is formed by the highs and lows reaching parallel support and resistance zones. The price which is moving lower has currently reached below the middle of this channel and is nearing the bottom of it. While measuring the big and small waves we have inside this channel, we have a key support zone that has formed based on the 100% (0.76369)Fibonacci expansion level of the first wave, the 100%(0.76657), and the 161.8% (0.76155) Fibonacci expansion levels of the second wave. Currently, the price which is moving lower has reached this key support zone. We also have a potential bullish divergence that is forming at the moment and also there are no signs opposing this bullish view. Until this key support zone holds my view remains bullish here and I expect the price to move higher further”.

Current Scenario – On the H4 chart, the price reached the key support zone and then provided a short push to the upside delivering 70+ pips move. The price then moved lower and broke below this key support zone but later it moved back inside this channel. Until the key support zone shown in the image below holds my view remains bullish here.

You can see this move clearly on the H1 chart below.

 

 

EURJPY – My idea here was as follows “On the H4 chart, after the strong bearish move currently, it looks like a correction is happening. We had a double wave to the upside with the price creating a bearish divergence between the first high that has formed on 20th January 2020 and the second high that has formed on 22nd January 2020 which we may consider as evidence of bearish pressure. Also based on the Parabolic Sar the dots are above the price here as well which we may consider as another evidence of bearish pressure. In addition to this, we had a strong support zone that had formed and the price which was moving lower had broken below this zone and is holding below it. Currently, this strong support zone is acting as a strong resistance zone for us. We also have the 200 moving averages coinciding in this area which makes this level a key resistance zone for us. Until this key resistance zone holds my view remains bearish here and I expect the price to continue lower further”.

Current Scenario – The price action didn’t follow my analysis here and this idea failed as the price moved higher and broke above the key resistance zone.

 

 

NZDCHF – My idea here was “On the H4 chart, the price has created a bearish divergence between the first high that has formed at 0.64061 and the second high that has formed at 0.64311 based on the MACD indicator. Then the price moved lower and broke below the low at 0.63429 creating lower lows, thus forming a classical setup of bearish divergence followed by bearish convergence. Hence as per the book scenario, after a bearish convergence, we may look for possible corrections and then further continuation to the downside. Currently, it looks like the correction that we were looking for is happening. In addition to this, the ADX indicator gave a bearish signal at the cross of -DI (red line) versus +DI (green line), and the main signal line (silver line) reads value over 25, we may consider this as another evidence of bearish pressure. Until the key resistance zone holds my view remains bearish here and I expect the price to move lower further”.

Current Scenario – On the H4 chart currently the pullback that I was looking for is happening. Until the key resistance zone holds my bearish expectation remains the same here.

 

 

Trading Ideas (Trading View Posts)

GBPUSD – My idea here was as follows:

Current Scenario – On the H1 chart after the bearish trend pattern, I was expecting the price to move lower further until the strong resistance zone holds. The price action didn’t follow my analysis here and this idea failed.

 

 

EURCAD – My idea here was as follows:

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 key support zone holds. The price action followed my analysis and moved higher further delivering 170+ pips move so far.

You can find a detailed explanation regarding this here: EURCAD Forecast Update And Follow Up

 

 

 

EURNZD – My idea here was as follows:

Current Scenario – On the H4 chart after the bullish convergence currently it looks like a deeper pullback is happening. Until the strong support zone holds my bullish view still remains the same here.

Note: You can follow me here on Trading View and also on my blog to get similar ideas on daily basis)

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