Last Thursday’s signals were not triggered, as none of the key levels were ever reached.
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades must be entered before 5pm New York time today only.
Long Trades
Long entry after the next bullish price action rejection following the next touch of 1.2785 or 1.2732.
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.
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 Trade
Short entry after the next bearish price action rejection following the next touch of 1.2890.
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.
Remove 50% of the position as profit when the trade is 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
I had no bias at the end of last week, noting that the price movements seem to be driven by short-term momentum only. The price continued to fail to rise and finally turned bearish, now arriving close to a support level at 1.2785. It is typical on a Monday for key levels to hold and in the absence of any real directional conviction, the highest probability trade which could set up here would be a long at 1.2785. I had no bias.
There is nothing due today concerning either the CAD or the USD.