USD/CAD Signal Update
Yesterday’s signals were not triggered as there was no bearish price action at 1.4227.
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 reversal upon the next touch of 1.4219.
* Place the stop loss 1 pip below the local swing low.
* Adjust the stop loss to break even once the trade is 20 pips in profit.
* Remove 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 if the price is below 1.4195 at 10am London time.
* Place the stop loss at 1.4327.
* Adjust the stop loss to break even once the trade is 20 pips in profit.
* Remove 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 2
* Short entry after bearish price action on the H1 time frame following a touch of 1.4450.
* Place the stop loss 1 pip above the local swing high.
* Adjust the stop loss to break even once the trade is 20 pips in profit.
* Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
USD/CAD Analysis
I wrote yesterday that this should be a bullish week and so far this has proved to be the case with a strong rise since the weekly open of about 200 pips already.
The price easily cut through the first resistance level at 1.4227 but is at the time of writing bumping up against higher resistance at 1.4314. If we get a move down from here it would be a logical place to look for a short trade.
However if risk off sentiment continues and magnifies later at the New York open, it would be likely for this pair to rise further as the price of crude oil falls.
Concerning the USD, there will be a release of CB Consumer Confidence data at 3pm London time. There is nothing due regarding the CAD.