Yesterday’s signals were not triggered as there was no bearish price action at 1.3454.
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades must be taken from 8am until 5pm New York time today only.
Long Trades
* Go long after the next bullish price action rejection following a first touch of 1.3454 or 1.3521.
* 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 1.3588.
* 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
This pair’s strong recent bullishness continued yesterday, although it wasn’t strong enough to remain above the key resistance level of 1.3588 for very long, and it is now trading below it again. There is a long-term bullish trend now, and we can expect the price to respond to the key support levels marked in blue in the chart below if they are reached soon. The steeper trend line currently sitting just above 1.3454 looks particularly interesting.
Regarding the CAD, there will be a release of Core Retail Sales data at 1:30pm London time. Concerning the USD, there will be a release of Crude Oil Inventories data at 3:30pm.