USD/CAD Signal Update
Yesterday’s signals were not triggered as there was no bearish price action at 1.2800 following the New York open.
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 after bullish price action on the H1 time frame immediately following the next touch of 1.2750.
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 Trades
Short entry after bearish price action on the H1 time frame following the next touch of 1.3005.
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
The U.S. dollar rallied quite strongly yesterday and this pair was no exception, although we really had to wait for the crucial releases from the Bank of Canada before that move really got going. The upshot is that the resistance at 1.2800 is completely wiped out and that 1.2750 now looks to be very supportive. Unfortunately both 1.2750 and the key resistance at 1.3005 are probably both too far away from the current price to be useful today.
However, there will probably be some resistance at 1.2950.
There is nothing due today regarding the CAD. Concerning the USD, there will be releases of CPI and Unemployment Claims data at 1:30pm London time.