USD/CAD Signal Update
Yesterday’s signals were not triggered.
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades must be entered before 5pm New York time today only.
Long Trade 1
Long entry after bullish price action on the H1 time frame following the next touch of 1.2752.
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 Trades
Short entry after bearish price action on the H1 time frame following the next touch of 1.2900, 1.2943, or 1.3000.
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 wrote yesterday that further near-term downside in this pair could be limited and so it has proved to be. The price has not yet even reached the key support level at around 1.2750, which still looks good. Although Crude Oil was quite active yesterday, this currency pair is still somewhat sleepy. It is hard to say from the price action what is going to happen next.
It looks as if opportunities will be limited here unless the price takes a tumble to 1.2752 and then reacts bullishly, which would create a tempting opportunity to go long, especially if “risk-on” sentiment emerges again in the market soon.
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Concerning the CAD, there will be a release of Core Retail Sales data at 1:30pm London time. Regarding the USD, the Chair of the Federal Reserve will be testifying before Congress at 3pm, followed later by FOMC Member Powell speaking at 7:30pm.