Yesterday’s signals were not triggered, as none of the key levels were ever reached.
Today’s USD/CAD Signals
Risk 0.50% per trade.
Trades must be entered before 5pm New York time today.
Long Trade 1
Go long after the next bullish price action rejection following a first touch of 1.2774.
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 1.3050.
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 price continues to rise overall, and look quite bullish, although it has not tested any key support levels for a while, so it is difficult to judge yet whether the pattern will hold.
There is no long-term trend, and the formerly strongly bullish medium-term trend seems to be weakening, although a long trade following any bullish bounce we might get after a retracement to the nearest support level at 1.2774 could be interesting. There is no obvious resistance level before 1.3050, but the big psychological round number at 1.3000 is quite likely to have an impact if it is reached.
Expect this pair to come to life later during the New York session.
Concerning the CAD, there will be a release of GDP data at 1pm London time. Regarding the USD, there will be a release of CB Consumer Confidence data at 3pm.