USD/CAD Signal Update

Last Thursday’s signals were not triggered.

Today’s USD/CAD Signals

Risk 0.75% per trade.

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

Long Trades

• Go long after bullish price action on the H1 time frame following the next touch of 1.2511 or 1.2423.

• Put 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.

• 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 1

• Go short after bearish price action on the H1 time frame following the next touch of 1.2600.

• Put 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.

USD/CAD Analysis

The strong downwards trend has continued, with new resistance being printed at the round number of 1.2600. A pull back to this level is likely to be a good opportunity to go short.

At the time of writing, the price action suggests bullishness, and that we might reach 1.2600 later today. However trading is quiet this morning due to the public holiday in London so it is probably going to be better to wait for New York to open before making any judgements about what the price is doing.

Below, there is support very confluent with a key psychological number at 1.2500, and this might be hard to break below.

Regarding the USD, there will be a release of ISM Manufacturing PMI data at 3pm London time. There is nothing due today concerning the CAD.