Here is how I’m going to trade the USDCAD

Hey trader, how did you do last week with the FOMC Statement and the NFP report?

And you thought everything was over? I dont think so…

Later this week we’ve got a few important announcements we need to be careful about:

• NZD Unemployment rate
• AUD Unemployment rate
• GBP Interest rate
• EUR Interest rate
• JPY Monetary policy statement

Among others…

This is why you should take in consideration the fundamental releases in your trading strategy…

How do you deal with them?

Anyways… This is how I’m going to trade the USDCAD

USDCAD Long Term Analysis

It looks like the USDCAD already broke through an important resistance level, and as you already know, when the market breaks through an important level it is likely to continue its way up until it reaches its next LT level…

Here is the daily chart:

So, the USDCAD is likely to continue its way up until it reaches its next LT level which is at 1.1223.

Now, we need to confirm this with our short term analysis…

USDCAD Short term analysis

This is how the hourly chart looks like:

We cant take a breakout trade here because the USDCAD is near an important level and most false breakouts occur here…

Also, we still need the confirmation of the upper resistance level (it has been rejected only once), so I’m still waiting for a retracement so we get the confirmation of that level and then I’ll trade a breakout of the previous high…

Your Turn

Are you currently trading the USDCAD? What other pairs are you monitoring/trading?

Share your thoughts