USD/CAD Signal Update
Yesterday’s signals expired without being triggered.
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades must be taken from 8am London time until 5pm New York time only.
Long Trade 1
* Long entry after extremely bullish price action on the H1 time frame immediately following the next touch of 1.3045.
* Place 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 ride.
Short Trade 1
* Short entry after bearish price action on the H1 time frame following the next touch of 1.3166.
* Place 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 ride.
USD/CAD Analysis
This pair fell very strongly following yesterday’s FOMC releases, which is not a surprise as the release was bearish for the USD and the CAD has been strong lately, so this pair was well positioned to move down.
There is support not far below the current price at the time of writing but any long trades should be taken only with extreme caution. It would be prudent to wait for a session open to show a change of sentiment on the USD and also for some kind of double bottom.
There is nothing due today concerning the CAD. Regarding the USD, there will be a release of Unemployment Claims and Philly Fed Manufacturing Index data at 12:30pm London time.