COT Market Sentiment
This week’s COT report reveals compelling momentum shifts across major currencies and metals, offering valuable guidance for traders prioritizing swing trading risk management. A strategic understanding of strength and weakness scores helps refine entry timing and position sizing using your forex swing trade risk-reward calculator.
COT Strength Overview:
- AUD – WEAK (4/5)
- GBP – STRONG (4/5)
- CAD – WEAK (5/5)
- EUR – STRONG (5/5)
- JPY – STRONG (2/5)
- CHF – WEAK (5/5)
- USD – WEAK (4/5)
- NZD – STRONG (3/5)
- GOLD – STRONG (5/5)
- SILVER – STRONG (5/5)
Market Analysis
GOLD
Gold continues to surge after successful trade negotiations, which reduced global economic uncertainty. With monetary easing likely ahead, bullish pressure has returned. MACD and RSI reflect strong volume and momentum, favoring well-timed entries. Swing traders can leverage this structure using an optimal risk to reward ratio and strict swing trading risk management to capitalize on upcoming bullish moves.
SILVER
Silver is testing a newly established support above prior highs. Should it hold, we may see continued bullish movement. With MACD and RSI signaling strong buying volume, this setup provides clear forex swing entry and exit points. Wait for a confirmed bounce to align your forex swing trade risk-reward calculator with high-probability conditions.
DXY
The Dollar continues to weaken following global trade agreements. MACD and RSI show building bearish pressure, confirming a broader shift in sentiment. This development supports short trades in related forex pairs, where managing losses in forex swing trades becomes critical amid rising volatility. Stick to a structured forex swing trading approach until the trend stabilizes.
GBPUSD
GBPUSD shows a bullish push, finding support from the EMA200. MACD and RSI point to growing buyer strength, but resistance remains. A clean breakout could validate bullish continuation. Traders should monitor for confirmation while applying swing trading risk management to protect against false moves.
AUDUSD
AUDUSD is gaining momentum, though still within a wide consolidation range. Until we get a confirmed break above resistance, it’s wise to stay cautious. This is a prime case for using a forex swing trade risk-reward calculator and waiting for precise forex swing entry and exit points aligned with market structure.
NZDUSD
NZDUSD is close to a bullish shift, with RSI and MACD signaling increased buyer strength. A breakout above the current level and a retest of EMA200 could offer long opportunities. Stick to your optimal risk to reward ratio and validate momentum to avoid overexposure.
EURUSD
EURUSD is nearing a resistance zone, with MACD and RSI reflecting strong bullish momentum. If it breaks higher, the market could resume its uptrend. However, traders should prepare for potential consolidation and apply swing trading risk management to prevent drawdown during indecisive moves.
USDJPY
USDJPY continues to slide, with the Yen strengthening post-trade agreements. Both MACD and RSI support the bearish momentum. For sellers, this trend offers clean short setups, ideal for applying a forex swing trade risk-reward calculator and targeting calculated entry and exit points.
USDCHF
USDCHF shows signs of further bearish sentiment for the Swiss Franc. After breaking and retesting support, the pair may continue higher (USD strength). Use swing trading risk management here as buying momentum builds and market structure supports new longs.
USDCAD
USDCAD reflects ongoing CAD strength following the resolution of trade tensions. MACD and RSI indicate rising bearish volume. With continued selling pressure, traders should identify clean forex swing entry and exit points while sticking to a structured forex swing trading approach for risk protection.
Final Thoughts
This week’s swing setups are heavily influenced by global trade resolutions and fresh COT sentiment. As market direction becomes clearer, it’s crucial to apply strict swing trading risk management across all setups. Leverage your forex swing trade risk-reward calculator to ensure trades meet your optimal risk to reward ratio, and always seek clean forex swing entry and exit points. A consistent, structured forex swing trading approach and disciplined mindset will help in managing losses in forex swing trades and increasing long-term profitability. Visit: https://worldquestfx.com