USD/CAD Signal Update
Last Thursday’s signals were not triggered.
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades may only be taken from 8am London time until 5pm New York time today.
Long Trade 1
* Go long following a bullish price reversal on the H1 time frame upon the next touch of 1.3496.
* 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 run.
Long Trade 2
* Go long following a bullish price reversal on the H1 time frame upon the next touch of 1.3435.
* 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 run.
Short Trade 1
* Go short after bearish price action on the H1 time frame following an entry into the zone between 1.3620 and 1.3650.
* 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 trade is 20 pips in profit and leave the remainder of the position to run.
USD/CAD Analysis
I had thought this pair might finally be starting to bottom out after many weeks of consecutive falls, but the downwards move resumed. However there are signs that the price may be carving out a bottom just ahead of 1.3500 which of course is a key psychological number for this pair. If the price get to within a few pips below 1.3500 and then bounces up strongly from there, it could be a candidate for a long trade entry as we may finally get a serious pullback from this kind of area. However there is a strong established downwards trend so it would probably be more prudent to wait a while before entering any long trades.
The area around 1.3650 was supportive for quite a while so it could give great resistance if we get back up there for another short trade with the trend.
There is nothing due today concerning either the CAD or the USD.