USD/CAD Forex Signal

29 May 2017 7:16:17 AM

By: DailyForex.com

Last Thursday’s signals were not triggered as none of the key levels were ever reached. 

Today’s USD/CAD Signals

Risk 0.50% per trade.

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

Long Trades

  • Long entry after the next bullish price action rejection following a first touch of 1.3444 or 1.3373.
  • 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 Trades

  • Short entry after the next bearish price action rejection following a first touch of 1.3500 or the bearish trend line shown in the chart below currently sitting at about 1.3525.
  • 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.

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

This pair has recovered a little in recent days from its medium-term downwards trend, rising and breaking up past its first nearest bearish trend line. There is a new, very clear “flipped” level of resistance to support at 1.3444, which is a bullish sign. This should be an excellent level and good for at least a few pips if hit again. However, there is no strong trend here, and the price is highly likely to go nowhere today, so any opportunities in the Forex market today will almost certainly be in other currency pairs.

There is no long-term trend in this pair.

USDCAD

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

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