USD/CAD Forex Signal - 15 April 2015

USD/CAD Signal Update

Last Monday’s signals narrowly missed being triggered as the forecast support was just 7 pips below the low of the day.

Today’s USD/CAD Signals

Risk 0.75% per trade.

Trades may only be entered today between 8am and 5pm New York time.

 

Long Trade 1

  • Go long after bullish price action on the H1 time frame immediately following the first test of the bullish trend line currently sitting at around 1.2400.

  • Put 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 H4 time frame immediately following the first test of 1.2644.

  • Put 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 has gone from being one of the strongest places to buy the USD to a place where it ranges endlessly. After yesterday’s fall we are again approaching the crucial 1.2400 level confluent with the long-term bullish channel trend line. This may again provide support so would be a logical place to look for a long. However a continued pull back in the USD could see a break below that which might then lead to a very sharp fall through a hidden gap all the way down to 1.2100 or thereabouts, so there might be a lot of potential on the short side.

USDCAD 41515

There are high-impact events scheduled today concerning the CAD but not the USD. At 1:30pm London time there will be a release of Canadian Manufacturing Sales Data, followed later at 3pm by the Bank of Canada’s Monetary Policy Report and Rate Statement.

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.