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, over the next 24-hour period.
Long Trade
Long entry after the next bullish price action rejection following the next touch of 1.3000.
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 run.
Short Trades
Short entry after the next strongly bearish price action rejection following the next touch of 1.3085 or 1.3136.
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 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
I wrote last Thursday that I had a weakly bearish bias today above 1.3000. I was wrong, as the price actually rose a little over the course of that day but was unable to get above 1.3085 before it turned around and fell again. The price is now consolidating below the resistance level of 1.3085. This should be the pivotal level of today: if it holds for a few hours, the price will probably move down towards 1.3000 again, while a sustained break above 1.3085 would be a bullish sign.
There is nothing important due today concerning either the CAD or the USD.