USD/CAD Signal Update
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades must be entered between 8am and 5pm London time today only.
Long Trade 1
Long entry after bullish price action on the H1 time frame following the next touch of 1.2998.
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 1.3083 or 1.3138.
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
I wrote last Thursday that “level at 1.2958. This will now logically become support and might now act as a launching pad for a bullish move of up to 100 pips, although this would certainly be against the trend of recent days. However, we have reached an area where there a lot of major support levels bunched close together, and these areas often produce turns if there is no strong momentum for a continuation.”
This is exactly what happened and the upwards move since then has been more strong and continuous than in any other pair, as the sharp fall in the price of crude oil has taken a heavy toll on the correlated Canadian Dollar.
We are now approaching some key resistance, especially at 1.3138, so there may not be a lot of upside left over the short term.There is no high-impact news due today concerning either the CAD or the USD.
