USD/CAD Signal Update
Yesterday’s signals were not triggered as there was no bullish price action when the price hit 1.2850.
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades must be entered between 8am and 5pm London time today only.
Long Trades
* Long entry after bullish price action on the H1 time frame following the next touch of 1.2812, 1.2788 or 1.2752.
* 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 1.2858.
* 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
This pair was already falling quite strongly pushed by better than expected Canadian data at the end of last week, and yesterday’s terrible U.S. Services data pushed the pair down even further. It has even flipped a previously supportive area at around 1.2850 to resistance at 1.2858.
The price still looks bearish but now begins to approach an area of long-term support anchored on the key psychological number of 1.2750. There is probable support beginning just below 1.2800.
There is nothing due today concerning the USD. Regarding the CAD, there will be a release of the Bank of Canada’s Rate Statement and Overnight Rate at 3pm London time.