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USD/CAD Forex Signal - 29 October 2015

By Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

USD/CAD Signal Update

Yesterday’s signals were not triggered as there was no bullish price action at 1.3200.

Today’s USD/CAD Signals

Risk 0.75% per trade.

Trades may only be taken between 8am London time and 5pm New York time today.

Long Trade 1

Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.3064.
Put the stop loss 1 pip below the local swing low.
Move the stop loss to break even once the trade is 20 pips in profit.
Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.

Short Trade 1

Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.3305.
Put the stop loss 1 pip above the local swing high.
Move the stop loss to break even once the trade is 20 pips in profit.
Take off 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to ride.

USD/CAD Analysis

The key level of 1.3200 was easily broken yesterday in the sharp rise of CAD that was driven by a very large increase in the price of crude oil over the day: about 5%!

The FOM release then caused a recovery back into the bullish trend, so looking at the big picture, it seems to be still intact.

If the price cannot make a new high within the next few days, it will be very likely to fall to the support at 1.3064.

USDCAD

Regarding the USD, there will be a release of Advance GDP and Unemployment Claims at 12:30pm London time. There is nothing due concerning the CAD.

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

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