USD/CAD Forex Signal - 13 January 2016

USD/CAD Signal Update

Yesterday’s signals produced a profitable short trade following the inside bar doji that broke down off the resistance level at 1.4313. It would be a good idea to take at least partial profit on this trade if there is any still open.

 

Today’s USD/CAD Signals

Risk 0.75% per trade.

Trades must be entered between 8am London time and 5pm New York time today.

 

Long Trade 1

* Go long following a bullish price reversal upon the next touch of 1.4170.

* Put 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.

* Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.

 

Long Trade 2

* Go long following a bullish price reversal upon the next touch of 1.4050.

* Put 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.

* Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.

 

Short Trade 1

* Go short following a bearish price reversal upon the next touch of 1.4313.

* Put 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.

* Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.

 

USD/CAD Analysis

We made yet another 11 year high yesterday, but the price fell with some strength after turning around at the anticipated resistance level of 1.4313 practically right to the pip. It looks probable that the price is going to fall further but as long as it holds up above 1.4170 it is likely to have another move up shortly.

USDCAD

There is nothing due today concerning the CAD. Regarding the USD, there will be a release of Crude Oil Inventories at 3:30pm London time.

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.