COT Market Sentiment

This week’s COT positioning reflects a market in flux after positive U.S. data but lingering global risks. Your forex risk management plan is vital to handle this volatility:

Use a structured forex trading approach and well-defined forex swing entry and exit points while these mixed signals unfold.

Market Analysis

GOLD

Gold is consolidating, providing no clear signal. Traders should avoid premature entries and await a decisive breakout before planning positions. Stick to swing trading risk management to prevent overexposure.

SILVER

Silver is also consolidating with slight bullish divergence on RSI and MACD. A breakout above recent resistance could offer buy setups, but until then, patience and disciplined forex risk management plans are crucial.

DXY

The Dollar strengthened after upbeat U.S. data, but upside is capped by previous weak PPI data. MACD and RSI suggest bullish momentum but warn of underlying weakness. Conservative traders should apply a forex swing trade risk-reward calculator before chasing further Dollar gains.

GBPUSD

GBP/USD remains consolidated. With no directional clarity, it’s prudent to stay sidelined until a structural breakout confirms a new trend.

AUDUSD

AUD/USD remains bearish after a brief bounce. MACD and RSI point to continued downside. Look for optimal risk to reward ratio trades favoring sell setups, especially if price retests previous lows.

NZDUSD

NZD/USD shows conflicting signals—bullish MACD vs. bearish RSI. Broader price structure remains bearish. Wait for retests near EMA200 to confirm fresh entries, ensuring tight stops and swing trading risk management.

EURUSD

EUR/USD remains in a clear bearish continuation, with EMA200 acting as resistance. MACD and RSI confirm downside bias. Short setups favoring trend continuation remain valid, provided risk controls are applied.

USDJPY

USD/JPY continues higher on Yen weakness. MACD and RSI signal bullish momentum, justifying buy setups. Use a forex swing entry and exit strategy to capture pullback entries in line with trend direction.

USDCHF

USD/CHF broke above its previous zone, signaling further upside. Technicals support bullish continuation. Focus on structured forex trading approaches, targeting buy entries on dips.

USDCAD

USD/CAD is grinding higher with muted CAD strength. MACD and RSI show rising buying momentum. Favor long setups while maintaining proper risk to reward ratio to avoid extended consolidation traps.

Final Thoughts

Forex markets are balancing strong U.S. economic data with underlying global risks. This environment rewards disciplined strategies: define forex swing entry and exit points, use a trade journal for forex to track decision-making, and always follow a strict forex risk management plan. Patience and structured setups will protect capital while offering high-probability opportunities.

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