Table of Contents
Affiliate Disclosure
Affiliate Disclosure DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

USD/CAD Forex Signal - 6 May 2015

By 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.

USD/CAD Signal Update

Yesterday’s signals were not triggered as there was no bearish price action at 1.2071.

Today’s USD/CAD Signals

Risk 0.75% per trade.

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

 

Short Trade 1

  • Short entry after bearish price action on the H1 time frame immediately following the next touch of 1.2086.

  • Place 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.

 

Short Trade 2

  • Short entry after immediately upon the next touch of 1.2188.

  • Place the stop loss at 1.2215.

  • Move the stop loss to break at 1.2155 and take half of the position as profit.

  • Leave the remainder of the position to run.

USD/CAD Analysis

The bearish momentum has continued with this pair. Although we did briefly break down below 1.2050, which I had seen to be a very bearish sign, the price came back right away and moved up to bounce back down off 1.2086 which has become good flipped resistance from previous support.

The pair still looks bearish and in fact is one of the major drivers in the market right now with the CAD being positively correlated with the price of oil which has been putting in a strong recovery from its recent falls. However there is key data due later from both sides of this pair and this may have a strong impact in any direction.

USDCAD 5615

There are high-impact events scheduled today concerning both the CAD and the USD. Regarding the USD, there will be a release of ADP Non-Farm Employment Change data at 1:15pm London time followed by the Chair of the Federal Reserve speaking at a Panel Discussion commencing at 2:15pm. At 3pm, there will be a release of Canadian Ivey PMI data.

Adam Lemon
About 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.

 

Most Visited Forex Broker Reviews