By: DailyForex.com
No signals have been given this year yet.
Today’s USD/CAD Signals
Risk 0.50% per trade.
Trades may only be taken before 5pm New York time today.
Long Trade
· Long entry after the next bullish price action rejection following the next touch of 1.2314.
· Put 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 following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.2415 or 1.2513.
· 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 price reaches 20 pips in profit and leave the remainder of the position to ride.
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
There is a definite medium-term bearish trend, caused primarily by USD weakness. However, the recent bullish turn looks to be of a different quality to recent movements, and as the price is strongly threatening a key resistance level for the first time in a long while, there are some early signs that the price might be readying to move up to 1.2500 or even higher. I have more faith in 1.2513 holding than I do in 1.2415.
There is nothing important due today concerning the USD. Regarding the CAD, there will be a release of the Bank of Canada’s Business Outlook Survey at 3:30pm London time