USD/CAD Signal Update
Yesterday’s signals produced a nicely profitable long trade following the break of the strongly bullish candle on the H1 chart rejecting the identified support level at 1.2836. It would be worth booking some partial profits if not done so already but could be worth holding onto.
Today’s USD/CAD Signals
Risk 0.75% per trade.
Trades may only be taken from 8am until 5pm New York time today.
Long Trades
Go long after bullish price action on the H1 time frame following the next touch of 1.2836 or 1.2880.
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 Trades
Go short after bearish price action on the H1 time frame following the next touch of 1.3000 or 1.3080.
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
I wrote yesterday that this pair continues to look increasingly bullish, although it is in a long-term downwards trend. This continues to be the case as even though the USD is mostly weaker globally, it continues to rise against the CAD, launching off support and breaking up through a key resistance level which now looks to have been flipped to support at 1.2880.
In spite of this, the upwards move does seem to have been slower than the recent downwards move covering a similar distance, and due to the long-term downwards trend as well, we should be cautious about this seeming uptrend.
The level at 1.3000 is probably going to be very crucial
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There is nothing due today concerning the CAD. Regarding the USD, there will be releases of CPI, Unemployment Claims and Philly Fed Manufacturing Index data at 1:30pm London time.