COT Market Sentiment
The latest COT report provides critical positioning data to guide this week’s 10 Smart Forex Setups. Markets continue to digest Fed Chair Powell’s dovish comments, which boosted risk assets and weighed heavily on the U.S. Dollar. Traders relying on reward to risk ratio examples and applying entry and exit timing strategies will find the data useful in structuring disciplined trades.
- AUD – WEAK (5/5)
- GBP – WEAK (2/5)
- CAD – WEAK (5/5)
- EUR – STRONG (5/5)
- JPY – STRONG (5/5)
- CHF – WEAK (3/5)
- USD – WEAK (4/5)
- NZD – WEAK (5/5)
- GOLD – STRONG (3/5)
- SILVER – STRONG (5/5)
Market Overview
Markets reacted sharply to Powell’s remarks on Friday, signaling a high probability of a September rate cut. This sparked significant Dollar weakness and rallies in key asset classes. For traders building 10 Smart Forex Setups, dovish Fed sentiment sets the backdrop for bullish metals and currency pairs aligned against the Dollar. Incorporating risk tolerance in swing trading while maintaining trading psychology and discipline is essential in volatile environments like these.
Market Analysis
GOLD
Gold surged as Powell’s comments lifted bullish sentiment. MACD and RSI confirm rising momentum, positioning it as one of the 10 Smart Forex Setups for the week. Applying reward to risk ratio examples helps ensure balanced trade sizing when chasing extended moves.
SILVER
Silver extended higher with strong MACD and RSI signals, reinforcing bullish momentum. As part of the 10 Smart Forex Setups, traders can use entry and exit timing strategies to capture retracements while avoiding emotional overtrading.
DXY
The Dollar fell sharply, confirming a bearish structure. MACD and RSI highlight growing selling pressure. Among the 10 Smart Forex Setups, DXY weakness is pivotal for counter-currency trades. Properly managing losing streaks in forex ensures traders remain steady when volatility spikes.
GBPUSD
The Pound broke through EMA200, signaling bullish strength. With MACD and RSI supporting the rally, this pair is included in the 10 Smart Forex Setups. Journaling trades in WQFX can help refine setups and reinforce trading psychology and discipline.
AUDUSD
AUDUSD is gaining momentum as USD weakens. Technicals confirm strength, making it one of the clearer buys in the 10 Smart Forex Setups. Traders must align their entries with entry and exit timing strategies and practice strict risk tolerance in swing trading.
NZDUSD
The Kiwi shows buying pressure but remains structurally weak. This pair belongs in the 10 Smart Forex Setups watchlist, with upside contingent on breaking 0.59400. Until then, discipline and reward to risk ratio examples are crucial.
EURUSD
EURUSD failed to break its consolidation low and rebounded higher—a bullish signal. With MACD and RSI confirming strength, this is one of the strongest candidates in the 10 Smart Forex Setups lineup. Traders applying entry and exit timing strategies will find favorable setups here.
USDJPY
USDJPY remains in consolidation despite Dollar weakness. This pair earns its place in the 10 Smart Forex Setups but requires patience. Managing losing streaks in forex is vital here, as false signals are likely within tight ranges.
USDCHF
The Franc is gaining versus the Dollar, with RSI and MACD confirming bearish movement. This setup is included in the 10 Smart Forex Setups as a clear short opportunity. Traders should respect risk tolerance in swing trading to avoid overleveraging.
USDCAD
USDCAD tests EMA200 as support, with bearish momentum building. If broken, a structural shift confirms one of the more compelling shorts in the 10 Smart Forex Setups. Following trading psychology and discipline ensures execution aligns with conviction.
Final Thoughts
This week’s 10 Smart Forex Setups highlight how Powell’s dovish remarks reshaped the forex landscape. From bullish GOLD and SILVER to bearish USDCHF and DXY, opportunities abound. Success hinges on:
- Using reward to risk ratio examples for clear trade planning.
- Applying entry and exit timing strategies to maximize edge.
- Managing losing streaks in forex to preserve capital.
- Aligning with risk tolerance in swing trading for consistency.
- Practicing trading psychology and discipline to remain focused.
Explore resources to refine your setups: