The Week Ahead and Recap of Trades
- stephenjmeli
- Sep 29, 2024
- 4 min read
Forex Markets from the perspective of Harmonic Patterns & Market Cycles.
September was a strong month for our trades.
We had great success by trading the following pairs;
Welcome to the Week Ahead FX Market Analysis
In this newsletter, we focus on identifying high-probability opportunities in the FX market. While we specialise in signals across multiple asset classes, including equities, commodities, indices, and cryptocurrencies, this week’s analysis will focus specifically on the FX market.
Our FX Trading Methodology
At Synergy Signals, we use a combination of harmonic patterns and market cycle analysis to uncover potential turning points in the FX market. This approach enables us to align with prevailing trends on the higher time frames, while capitalising on harmonic swings that suggest when a market shift might occur.
Manual FX Signal Identification: Each FX signal is carefully analysed to ensure precision and responsiveness to evolving market conditions.
Our strategy is guided by Stephen Meli, who combines his background in data analytics with market cycle theory and harmonic analysis, allowing us to identify profitable opportunities in a structured and disciplined way.
The Importance of Timing in FX Trading
Through extensive analysis of past trades, we’ve gained valuable insights into when market conditions tend to be most favourable. We don’t just focus on identifying high-probability trades, but also on understanding the optimal times to enter the market.
While there are windows of opportunity throughout the month, not all weeks are created equal. By aligning our trades with these key moments, we are able to maximise potential gains and minimise risk.
Market Cycles and Economic Events
One of the key contributors to market movement is the release of major economic data, such as the Non-Farm Payroll (NFP) report and other high-impact events. These releases can generate significant volatility, but understanding how the market typically reacts to them can provide a strategic advantage.
Rather than approaching the market blindly, we use our data-driven approach to identify when the market is likely to offer the best opportunities for more extended moves. This allows us to adjust our strategies and expectations accordingly.
Looking Forward
As we approach the upcoming trading week, we will continue to apply our harmonic analysis and market cycle insights to identify profitable opportunities in the FX market. While the market will always present a range of opportunities, understanding when and how to act is critical to success.
We remain committed to helping you navigate these conditions and capitalise on the best opportunities as they arise.
NZD/CAD +150pips
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We can identify this pair as having completed its Market Cycle to the downside
We identified a bottoming formation, and the formation of the first zone of consolidation higher.
We then knew that this pair was primed to make a move.
Within the first zone of consolidation we can identify the HH, HL of which we jumped onto
USD/CAD + 50pips
USDCAD is a high probability setup.
Price is in the 2nd zone of consolidation within the market cycle, we expect price to give a third trend higher on a daily chart and reach the previous peak.
GBP/AUD +100pips
Price sits in the 2nd zone of consolidation heading up.
We are reassured through our understanding of the characteristics of the Market Cycle.
Price is making HH HL within the consolidation zone and repeating the pattern on the HTF.
AUD/CHF +150pips
A risky trade which played out.
We identified price sitting within the peak low of the Market Cycle.
This is where price invalidates many forms of technical analysis. These typically are areas we should avoid, but with correct position sizing you are attempting to get involved with the cycle art a very early stage.
EUR/AUD +80pips
We took a Gartley Harmonic Pattern for entry on this pair.
Price sits within the 2nd consolidation zone higher. Notice the theme going on...
AUD/CAD +150pips
Price is leaving the 2nd consolidaiton zone higher, and moving into hte 3rd trend higher.
We can see that price is at the 78.6% fib and near the harmonic completion.
Price can test the previous peak.
Within the zone we can see HH HL where we entered the market.
Notice the harmonic swings in red.
EUR/NZD -50pips
We took a loss on this one.
We see price sitting within the 2nd consolidation zone higher.
Although we understand the direction of the large trend, our entry was wrong in hindsite.
Price action was also very choppy and this pair has a very high ADR.
EUR/CAD +150pips
Price sits at the top of the 1st consolidation zone higher.
Price is squeezing in a series of HH, HL.
We took an entry on the internal structure HH, HL.
EUR/NZD +50pips
We took this trade as price sits within the 2nd consolidation zone higher.
On the LTF we saw the f1st consolidation zone higher, and a series of HH, HL forming.
We were able to get our 50pips, but as with the trade above, price started to fail at consolidation 2 up.
AUD/CHF -50pips
We identified price sat within the peak formation low of the market cycle.
This are is an opportunity to enter the market at a potentially superior area. However as a trade-off your trade and risk acceptance must be carefully considered.
We saw two pushes up and anticipated a third, however price failed to do this.
As above trades in the Peak formation low can fail to validate your analysis.
Interested in taking your trading strategy to the next level? For those looking to apply harmonic patterns and market cycles in real time, you can explore advanced services provided by our partner. Learn more and see if it aligns with your trading goals.
At Melonstrade, we focus on providing educational insights into harmonic patterns and market cycles. For those ready to take the next step and apply these strategies in real time, our partner, Synergy Markets, offers a free trial of their signal service. You can explore it through the link below:
For more information, visit:www.synergy-markets.com
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