Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades must be taken before 5pm London time today.
Short Trade
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Short entry after the next strongly bearish price action rejection following the next touch of 1.3085 or 1.3130.
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Place the stop loss 1 pip above the local swing high.
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Move the stop loss to break even once the trade is 20 pips in profit.
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Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
Long Trades
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Long entry after the next strongly bullish price action rejection following the next touch of 1.2860.
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Place the stop loss 1 pip below the local swing low.
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Move the stop loss to break even once the trade is 20 pips in profit.
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Take off 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
The pair’s losses halted at the 1.2885 support level last week and the price settled around 1.2935. The strong losses were due to strong gains for the crude oil and a strong decline in the US dollar and the finalization of the NAFTA agreement, which is very important for the Canadian economy. In our previous analysis, we noted that stability below 1.30 will support the bearish momentum and I still prefer to buy the pair on low levels.
There is nothing important due today concerning the USD or the CAD.
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