USD/CAD Signal Update
Yesterday’s signals were not triggered as there was an hourly close too far below the anticipated support at 1.2896 to justify a long trade entry there.
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades may only be taken from 8am London time until 5pm New York time today.
Long Trade 1
Long entry provided the price at 9am London time is at or above 1.2765.
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 1.2918.
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 yesterday following the London open as the weekend gap was filled and stocks and oil recovered quite strongly after being marked down. The price has hit anticipated support already at the key psychological level of 1.2750 and seems to be bouncing quite strongly already. If this bounce is sustained over the coming hour, it could be a good area to enter long although it is definitely counter to the long-term trend so should be monitored cautiously.
Concerning the USD, there will be a release of Building Permits data at 1:30pm London time. Regarding the CAD, the Governor of the Bank of Canada will be speaking at 4pm.