It’s been one of those weeks where the best word to describe price action is… flatlining. Watching paint dry would be giving these markets too much credit. We’re nearing the end of the month and smack in the middle of summer—the famed “dead zone” of trading.
Now, to be clear—markets aren’t dead. Price still moves. But the quality of movement—those high-probability setups where price decisively breaks out from a Consolidation Zone (CZ) and forms a directional trend—that’s been rare. And rare breeds frustration. This is where patience and process get tested. This is where traders either force setups… or stay disciplined and wait.
At Synergy, we wait. That’s what we do.
🎯 Current Setups on Watch
The radar is firmly locked onto two opportunities:
✅ EUR/CAD (Long)
✅ AUD/CHF (Long)
Let’s not mince words here—EUR/CAD is the alpha setup right now. It has all the ingredients we look for.
From the Daily Chart, we can clearly trace the market cycle. We’ve exited the second CZ zone and are now pushing into the L3 phase, which historically delivers the most fluid and impulsive leg. The third trend leg is forming—this is the sweet spot. This is where momentum starts to build, and structure aligns with intent.
On the Lower Timeframe, we saw a confirmed Change of Character (CHoCH) earlier this week, followed by a decisive Break of Structure (BOS) during today’s session. Price is now laying down a familiar pattern of Higher Highs and Higher Lows (HH-HL)—the skeleton of trend continuation. With today’s bullish close, we’re in a prime position to anticipate a third day of upward extension tomorrow.
But—it’s Friday. And it’s end-of-month. That’s a cocktail that often brings with it volatility, fakeouts, and low conviction volume. So while the setup is strong, execution must be precise. We’ll watch the Asian session closely and likely let Europe lead before considering entries.
💡 Final Thoughts
The beauty of markets like this isn’t in the fireworks. It’s in the discipline. These weeks separate traders from tourists. When volume dries up and signals are sparse, the tendency is to force a trade.
But that’s not our style.
We wait for alignment. We wait for confirmation. We don’t chase the market—we let the market come to us.
The coming week could get more interesting as fresh flows enter in August. But for now, we monitor. We observe. We prepare.
Let’s stay sharp.
Risk Warning: Trading forex and CFDs involves significant risk and may not be suitable for all investors. The information provided is for educational purposes only and does not constitute investment advice. Synergy Markets does not hold client funds and acts solely as an FCA-regulated intermediary and education provider. Past performance is not a reliable indicator of future results.
