USD/CAD Forex Signal - 19 February 2018

Last Thursday’s signals were not triggered, as none of the key levels were reached during the specified time.

Today’s USD/CAD Signals

Risk 0.50% per trade.

Trades must be entered 5pm New York time today.

Long Trades

  • Go long after the next bullish price action rejection following the next touch of 1.2530 or 1.2451.

  • Place the stop loss 1 pip below the local swing low.

  • Move 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

  • Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.2697.

  • 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.

  • Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to ride.

The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.

USD/CAD Analysis

Last Thursday I took a bearish bias, which worked out for a while, but the chart now shows some convincing at 1.2450 and again at a step up around 1.2530. The price does not look very firm now though. However, due to the holiday in the U.S. A. today, trading is likely to be very light in this pair.USDCAD

There is nothing due today concerning either the CAD or the USD. It is a public holiday in the U.S.A.

Adam is a Forex trader who has worked within financial markets for over 12 years, including 6 years with Merrill Lynch. He is certified in Fund Management and Investment Management by the U.K. Chartered Institute for Securities & Investment. Learn more from Adam in his free lessons at FX Academy.