USD/CAD Signal Update
Yesterday’s signals were not triggered as there was no bullish price action when the price reached 1.3254.
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades must be entered before 5pm London time today only.
Long Trade 1
Go long after the next bullish price action rejection following a first touch of 1.3179.
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 Trade 1
Go short after the next bearish price action rejection following a first touch of 1.3254.
Put 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 picture is more bearish today, with the former support level at 1.3216 being invalidated and the level above at 1.3254 being flipped from support to resistance.
The price made a small bullish bounce off the descending trendline which acted as minor mobile support.
The Canadian Dollar continues to be strong and of course the input later today from the Bank of Canada will probably play a major role in determining whether that continues or not.
Regarding the CAD, there will be a release of the Bank of Canada’s Rate Statement and Overnight Rate at 3pm London time. Concerning the USD, there will be a release of Crude Oil Inventories at 3:30pm.