Last Thursday’s signals were not triggered as there was insufficiently bullish price action when the price reached 1.3404.
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades must be entered before 5pm New York time today only.
Long Trades
* Go long after the next bullish price action rejection following a first touch of 1.3381 or 1.3359.
* Place 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 1.3450 or 1.3482.
* Place 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.
The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.
USD/CAD Analysis
The picture is less bullish, with the upwards trend looking more uncertain now, as the price continues to sell off whenever it gets anywhere near the psychologically key 1.3500 level. The support at 1.3359 does look especially likely to provide another bullish bounce, however.
There is nothing due today regarding the CAD. Concerning the USD, the Chair of the Federal Reserve will be speaking at a conference at 9:10pm London time.