MARKET COLOR FOR THE WEEK 3RD DECEMBER 2023

Dec 03, 2023 10:01 pm

Hi ,


Happy New Month and Happy New Week!


Welcome to the last leg of trading for the year. It's crucial to analyze your trading year from January till date to identify areas for improvement and determine what needs to be adjusted.


Remember, "Success in trading is not about the destination; it's about the journey of continuous improvement. Strive for excellence, evolve with the markets, and enjoy the ride."


Here at Value Flow Trading, this is our analysis for the week:


USD: Last week, the dollar remained bearish as it broke a major low on the daily time frame, heading towards the 78% Fibonacci level.


Going forward this week, we still anticipate a bearish trend for the dollar as it tests the 78% Fibonacci level, as illustrated in the chart below. Therefore, we are considering shorting the dollar this week, implying long positions on its correlated pairs (GBPUSD, EURUSD) when a structure for a dollar short is identified, as illustrated in the markup below.


image


JPY: Last week, the Yen was bullish as analyzed but struggled to break a major resistance. However, it is still expected to break that level.


This week, we anticipate a bullish move for the Yen, as shown in the chart below, suggesting that Yen-correlated pairs might be bearish. However, the overall trend for the Yen remains bearish.


image


GOLD: Last week, the Gold Spot remained bullish as it reached our point of interest (2075 level) due to the major pressure on the dollar and the ongoing Israel-Palestine conflict.


Moving forward this week, we expect the Gold Spot to pull back and forcefully break the all-time resistance, as illustrated in the chart below.


image


Therefore, this week, we are still going long on the Gold Spot as soon as our Value Flow Modelsยฎ align.


Remember to trade cautiously and stick to your risk management plan as liquidity begins to dry up in the market.


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Wishing you a successful trading month ahead!


VFT Team

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