Daily Market Analysis By FXOpen

[FXOpen Trader]

Mitigation Blocks: Definition, Application, and Limitations


In price action trading, mitigation blocks are a widely used concept for identifying areas where institutional orders may remain unfilled. These zones often act as temporary support or resistance, allowing traders to anticipate potential reversals. Understanding how mitigation blocks form, how they can be applied in strategy development, and what limitations they carry may support traders when developing their own approach. This article explores their definition, practical applications, and the challenges traders should keep in mind when incorporating them into their decision-making.

Definition and Function of a Mitigation Block
A mitigation block in forex trading refers to a specific order block on a chart that indicates where previous movements have stalled and reversed, marking it as a potential area for future market turns. This concept within the Smart Money framework is crucial for traders looking to manage their positions by taking advantage of strategic entry and exit points.

The idea behind these areas is rooted in the dynamics of supply and demand within forex. When a currency pair reaches a level where buyers or sellers have previously entered the market in force, causing a reversal, it suggests a potential repeat of such actions when the price returns to the area.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

The Dollar Consolidates Ahead of Inflation Data


The US dollar is showing cautious dynamics: the USD/JPY pair is holding within a range, reflecting the market's wait-and-see stance, while USD/CAD is gradually approaching August highs. This divergence highlights that investors are carefully allocating positions amid uncertainty over the Federal Reserve's next steps.

The main focus is on a block of US statistics — consumer price indices, jobless claims, and inflation expectations from the University of Michigan. Weak inflation and labour market figures would increase pressure on the dollar, while stronger data could temporarily restore support.

Thus, the market remains in search of fresh momentum: whether levels are broken or consolidation persists will depend on whether macro data confirm the scenario of policy easing or, conversely, postpone its implementation.

USD/JPY


Despite disappointing US employment data released at the end of last week, USD/JPY continues to trade within a six-week range of 146.40–148.60. Early this week, sellers attempted to break through the lower boundary of the corridor but have so far been unsuccessful. Technical analysis of USD/JPY suggests a possible strengthening towards 148.00–148.60, as a hammer candlestick has formed following the rebound. A bounce from current levels could also lead to a retest of support at 146.30–146.60.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

S&P 500 Hits Record High Ahead of CPI Report


Today at 15:30 GMT+3, the Consumer Price Index (CPI) report will be released.

In anticipation of the figures, traders remain optimistic – the S&P 500 index (US SPX 500 mini on FXOpen) reached a new all-time high yesterday, climbing above 6,560 points.

The bullish sentiment is driven by:
→ Expectations of an interest rate cut in September, which is believed to provide a positive boost to the US economy (and increase corporate profits).
→ A sharp rally in Oracle (ORCL) shares. The company announced it had signed four multibillion-dollar contracts with three different clients.



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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

The ICT Silver Bullet Strategy: Mechanics and Application


The ICT Silver Bullet strategy has gained significant attention among professional traders for its ability to identify specific price movements during specific market sessions. Unlike conventional approaches, this method focuses on fair value gaps, liquidity zones, and precise timing. In this article, we break down the core mechanics of the Silver Bullet strategy, discuss how it works in practice, and outline specific steps traders follow to incorporate it into their trading plan.

Understanding the ICT Silver Bullet Strategy
The ICT Silver Bullet trading strategy is a sophisticated trading methodology developed by Michael J. Huddleston, known as the Inner Circle Trader, or ICT. This strategy is designed to take advantage of specific price movements that align with certain times throughout certain sessions, specifically the London and New York sessions.

Central to the ICT Silver Bullet strategy are two concepts: liquidity and fair value gaps. Liquidity in this context refers to places within the market where there is significant trading activity, often indicated by previous highs and lows of a trading session or historical price points that attract significant interest from traders.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

Understanding the ICT Turtle Soup: Key Concepts and Setup


The ICT Turtle Soup is a trading pattern developed within the Inner Circle Trader (ICT) methodology. Built on principles of market psychology and liquidity hunting, this pattern is designed to exploit false breakouts around major support and resistance levels. It offers a way to anticipate reversals. In this article, we'll break down what the Turtle Soup setup is, how it works, and the potential ways to integrate it into trading strategies.

The ICT Turtle Soup Pattern Explained
ICT Turtle Soup is a trading pattern developed by the Inner Circle Trader (ICT) that focuses on exploiting false breakouts in the market. This ICT price action strategy aims to identify and take advantage of situations where the price briefly moves beyond a major support or resistance level, only to reverse direction shortly after. This movement is often seen in ranging markets where prices oscillate between established highs and lows.

The concept behind ICT Turtle Soup trading is rooted in the idea of liquidity hunts and market imbalances. When the price breaks out, it often triggers stop-loss orders set by other traders, creating a temporary imbalance. The ICT Turtle Soup strategy seeks to capitalise on this by entering trades in the opposite direction once the breakout fails and the price returns to its previous range​.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

NIO Share Price Shows Signs of Strength


This week, the media highlighted that the share price of NIO Inc. (NIO), the Chinese smart electric vehicle manufacturer, fell after management announced a $1 billion share offering to raise capital. The funds are intended to finance projects such as the development of EV charging infrastructure.

Indeed, on 10 September, a wide bearish gap appeared on the chart, but by 11 September (yesterday) the bulls had almost entirely recovered the decline. This indicates bullish strength, possibly supported by a solid fundamental backdrop, driven by:
→ the expansion of NIO's model range (which now includes the budget ONVO brand as well as the premium Firefly series);
→ higher delivery volumes – in the latest reporting quarter the company delivered 72,056 vehicles, up 25.6% compared to the previous period.

The NIO Inc. (NIO) price chart points to further bullish signals.



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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

EUR/USD Falls Amid Rapidly Changing News Flow


There was important news yesterday. According to Forex Factory:

→ The ECB kept its main refinancing rate at 2.15% (as expected).
→ US data indicated a rise in inflation – albeit a moderate one. On a year-on-year basis, the CPI increased from 2.7% to 2.9%, in line with analysts' expectations.

At the same time, all incoming news is being assessed by traders in light of the forthcoming Federal Reserve decision – according to media reports, yesterday's data did not have a significant impact on market sentiment, and a 25-basis-point rate cut is still expected.

EUR/USD market movements suggest a balance, although some bearish signs are emerging.



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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

Market Analysis: GBP/USD Retains Gains While EUR/GBP Falls


GBP/USD is showing positive signs above 1.3520. EUR/GBP declined and is now consolidating losses below 0.8660.

Important Takeaways for GBP/USD and EUR/GBP Analysis Today

• The British Pound is attempting a fresh increase above 1.3520.
  
• There is a key bullish trend line forming with support near 1.3555 on the hourly chart of GBP/USD at FXOpen.
  
• EUR/GBP is trading in a bearish zone below the 0.8650 pivot level.
  
• There is a major declining channel forming with resistance near 0.8655 on the hourly chart at FXOpen.
  

GBP/USD Technical Analysis


On the hourly chart of GBP/USD at FXOpen, the pair remained well-bid above 1.3495. The British Pound started a decent increase above 1.3530 against the US Dollar.

The bulls were able to push the pair above the 50-hour simple moving average and 1.3550. The pair even climbed above 1.3580 and traded as high as 1.3582. Recently, there was a pullback below 1.3555 and the 50% Fib retracement level of the upward move from the 1.3495 swing low to the 1.3582 high.

However, the bulls were active near the 1.3530 support since it coincides with the 61.8% Fib retracement. The pair is again rising above 1.3555. There is also a key bullish trend line forming with support near 1.3555.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

Gold Price Stabilises Ahead of Central Bank Decisions


Following the ECB's decision last week to leave interest rates unchanged, traders will closely monitor this week's monetary policy announcements from the US Federal Reserve, the Bank of England, the Bank of Japan, and other central banks from Toronto to Taipei.

As the XAU/USD chart shows today, the gold price has stabilised after its recent record highs, with investors adopting a wait-and-see stance. The ADX indicator is trending lower, suggesting a diminishing directional momentum.

Key Drivers Influencing Gold Prices

Market participants are almost fully convinced that the Federal Reserve will cut rates by a quarter point this week, while also pricing in the likelihood of further reductions next year amid signs of labour market weakness. Lower rates are generally seen as supportive for gold, making it a more attractive asset relative to yield-bearing US Treasuries.

Additional factors underpinning bullish sentiment include:
→ Weakness in the US dollar.
→ Persistent geopolitical tensions.
→ Pressure on the Fed from Donald Trump, who recently attempted to dismiss Board Governor Lisa Cook.
→ Central bank gold purchases.

On the other hand, profit-taking could dampen demand. Nevertheless, gold prices remain elevated.



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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

Oracle (ORCL) Stock Price Pulls Back After Historic Surge


On 10 September 2025, ORCL shares soared by 36% in a single trading session:
→ the price reached an all-time high above $340;
→ Oracle's co-founder and chairman, Larry Ellison, briefly became the world's richest individual.

Why Did ORCL Shares Surge?

The rally was triggered by announcements of several multibillion-dollar deals in cloud infrastructure for artificial intelligence. Oracle revealed contracts worth a total of $300 billion, with clients including OpenAI, Nvidia, SoftBank, Meta, and Elon Musk's xAI.

According to media reports:
→ CEO Safra Catz stated that the company's Remaining Performance Obligations (RPO) could soon exceed $500 billion;
→ analysts and investors began drawing comparisons between Oracle and Nvidia, positioning Oracle as a key player in the AI ecosystem by providing essential cloud infrastructure.

However, by the end of the week, ORCL shares had retreated by roughly 15% from their peak.



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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

Liquidity Zones and Liquidity Voids: Analysing Price Dynamics


Liquidity zones and liquidity voids are important concepts for traders seeking to understand market structure and price dynamics. Price does not move randomly—it gravitates towards areas where liquidity is concentrated and reacts sharply when liquidity is absent. Liquidity zones and liquidity voids reveal the hidden footprints of institutional activity. Understanding them may help traders analyse market movements. This article uncovers how liquidity zones and liquidity voids function in market structure and shows their role on real-time price charts.

Understanding Liquidity in Trading
In trading, liquidity refers to the potential ease with which an asset can be bought or sold in the market without causing significant price changes. High liquidity means that there are enough buyers and sellers at any given price level, facilitating potentially smoother and more consistent transactions. This concept is critical because it affects how quickly and at what price a trader can enter or exit positions.

Assets with high liquidity tend to have tighter spreads between the buy and sell prices, potentially reducing the cost of trading. Conversely, assets with low liquidity can experience abrupt price movements due to the lack of a steady flow of orders. Understanding the liquidity of an asset may help traders make trading decisions and implement risk management.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

Diamond Chart Pattern: Structure and Market Context


The diamond chart pattern is a rare yet important formation that often reflects the end of a prevailing trend. Characterised by an initial broadening phase followed by contraction, it reflects market indecision before momentum shifts decisively. The pattern serves as a reference point for analysing trend exhaustion and the structural changes that often accompany it.

In this article, we consider the structure, market psychology behind the pattern, and its practical application.

Overview of the Diamond Pattern
The diamond is a reversal chart pattern. It typically occurs after an extended trend and indicates a period of consolidation before a potential breakout in the opposite direction.

The diamond pattern can be either bearish or bullish, and it is also known as the diamond top pattern and diamond bottom pattern for trading. A bearish formation typically occurs during an uptrend and signals a potential reversal to the downside, while a bullish diamond pattern in trading forms during a downtrend and signals a potential reversal to the upside.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

What Is a PD Array in ICT, and How Can You Use It in Trading?


In ICT trading methodology, the PD Array—short for Premium and Discount Array—refers to a framework used to interpret how price moves within market structure. It provides a way of analysing price action by categorising reference points such as support, resistance, and liquidity levels. The PD Array is used by traders to place market activity into context rather than relying on isolated signals. This article breaks down what a PD Array is, its components, and how it might be applied within ICT concepts.

What Is a PD Array?

An ICT PD array, short for Premium and Discount array, is a concept developed by Michael J. Huddleston, the mind behind the Inner Circle Trader (ICT) methodology. At its core, the PD array is a framework used to organise price levels and zones on a chart where significant institutional activity is likely to occur. These zones highlight areas of interest such as potential support or resistance, points where liquidity resides, or regions that might attract price movement.

The PD array divides the market into two primary zones: premium and discount. These zones may help traders gauge whether the price is above or below its equilibrium, often calculated using the 50% level of a significant price range. In practical terms, prices in the premium zone are typically considered attractive in a downtrend and unattractive in an uptrend, while prices in the discount zone are more attractive in an uptrend and less attractive in a downtrend.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

GBP/USD Rate at 2-Month High


As the GBP/USD chart shows, the pair is trading this morning above 1.3620 – its highest level since the beginning of July.

The bullish sentiment is driven by the divergence  in central bank policies:

→ United States: Traders are Currency carry trade on an interest rate cut, supported by President Trump. The Federal Reserve will announce its decision tomorrow at 21:00 GMT+3, and the market expects a reduction of at least 0.25%, from 4.25%–4.50% to 4.00%–4.25%.

→ United Kingdom: Traders anticipate the rate will remain at 4.00%. The Bank of England will announce its decision on Thursday at 14:00 GMT+3.

Although the rates of the two central banks are comparable, the situation differs: in the UK, inflation is more persistent and rate cuts are seen as risky, while in the US, President Trump is exerting pressure on the Fed's leadership.

An additional boost for the pound comes from a wave of investment optimism linked to US President Donald Trump's state visit to the UK. According to media reports, agreements worth around $10 billion are expected to be announced during the visit.



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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

[FXOpen Trader]

Tesla (TSLA) Stock Price Rises Above $400


As the chart shows, Tesla (TSLA) stocks are displaying strong market momentum. In particular, the price:
→ is above the psychological level of $400;
→ has reached its highest levels since late January;
→ has gained around 25% since the beginning of September.

Why Is TSLA Rising?

The main news driving the price surge was a media report that Elon Musk had purchased $1 billion worth of Tesla stock. The market interpreted this as commitment and confidence in the company's future from its founder, which sharply increased demand for the shares.

Other factors contributing to TSLA's rise include:

→ Expectations of a Federal Reserve interest rate cut to stimulate the economy. This makes growth stocks such as Tesla more attractive to investors.

→ Reduced tensions between Elon Musk and President Trump's administration. This removes some of the political risks that had weighed on the stock.



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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.