USD/CAD Forex Signal

By: DailyForex.com

Last Thursday’s signals were not triggered, as there was no bullish action when the price reached 1.2693.

Today’s USD/CAD Signals

Risk 0.50% per trade.

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

Long Trades

· Go long after the next bullish price action rejection following the next touch of 1.2693 or 1.2641.

· 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 entry into the zone between 1.2746 and 1.2758, or the first touch of 1.2787.

· 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

There is still no clear trend in this pair, not on any time frame. The best that can be said is that the price is close to support, and is in a possible consolidating triangle formation from which it will shortly be forced to break out. I see a bullish move over the short term as slightly more likely than a bearish one.

There are probably going to be better opportunities in other Forex currency pairs today.