USD/CAD Signal Update
Yesterday’s signals were not triggered as there was no bullish price action at 1.2880.
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 Trades
Go long after bullish price action on the H1 time frame following the next touch of 1.2750 or 1.2700.
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
Go short after bearish price action on the H1 time frame following the next touch of 1.2880 or 1.3000.
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
Close to the London open yesterday the CAD was looking the weakest of all currencies against the USD in the short term. That situation turned around quickly, with the CAD being the strongest of all currencies over the day and this pair falling sharply and breaking down past support levels.
The bearish structure remains intact, so some follow-through downwards today looks very likely.
The next big test will be which level is broken next: 1.2750 or 1.2880. If 1.2750 is reached soon, there is likely to be a strong bounce there.
There is nothing due today concerning either the CAD or the USD.