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 may only be entered between 8am London time and 5pm New York time, during the next 24-hour period.
Long Trade
Go long after the next bullish price action rejection following the next touch of 1.3254.
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
Go short after the next strongly bearish price action rejection following the next touch of 1.3362.
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
There has been a nice strong bullish trend here over the past few weeks, and although it isn’t necessarily done yet and is likely to give some more long pips, it is clear that the momentum has slowed down to the point where the price is almost ranging over the short term. However, a long trade from the 1.3250 area looks like a good bet as there is a confluence of support and a psychological level. If the price can break above the resistance level at 1.3362 I would be much more bullish, but I still have a bullish bias on this pair anyway.
There is nothing important due today concerning either the CAD or the USD.