USD/CAD Forex Signal - 18 July 2019

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USDCAD: Ranging Above 1.3000

Yesterday’s signals were not triggered, as there was no bullish price action at 1.3062.

Today’s USD/CAD Signals

Risk 0.75% per trade.

Trades may only be entered before 5pm New York time Thursday.

Long Trade Idea

  • Long entry after the next bullish price action rejection following the next touch of 1.2962.

  • 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.

  • 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 Idea

  • Go short after the next bearish price action rejection following the next touch of 1.3120.

  • 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.

  • 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.

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.

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USD/CAD Analysis

I wrote yesterday that the 1.3060 area looked likely to again be the day’s pivotal point. However, after a small bullish bounce there early in the London session, the level became invalidated.

The technical picture has changed somewhat: zooming out, we can see the price is essentially just consolidating above 1.3000 and it is neither a bullish nor bearish type of consolidation. The action is very flat and dull, so I think this pair is best avoided for the time being.USDCADThere is nothing of high importance due today regarding either the CAD or the USD.

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.
Learn more from Adam in his free lessons at FX Academy