I think this is the best currency pair to trade right now

At the end traders, it all comes to take calculated risks.

But what exactly does that mean?

Its simple, to take trades when likelihood of the market of moving in one direction is higher than moving over the other direction.

That’s what we call probability.

And there is also another factor…

The risk reward ratio… Which is about the only factor that you can control on your trade. You could have the best and clearest signal of them all, and still the market could move against you.

But you can always (almost always anyway) control how much you are you going to risk and how much you are willing to make on each trade.

That’s the reason why I think the USDCAD is right now, the best currency pair to trade out there.

Let me show you what I mean…

This is the USDCAD weekly chart:

The USDCAD just broke through an important resistance level… And the next long term level is more than 800 from where it is currently trading.

If you decide to take a trade, it might take a while before it gets there… But its definitely worth it!

I already took a trade here… decided to take this trade based on the breakout of the hourly chart:

What do you think?

Your turn

What do you think about the potential of this trade?
Do you agree with me that its one go the best ones to trade right now?
What other currency pairs are you trading?

Please comment below

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Raul Lopez

I've been trading the markets for more than 15 years. I believe the best way to trade is by adapting to the market conditions. You can learn it too, join our community .

  • Giles

    I think this is a great pair to trade. Thanks for posting it. I am personally long on the Monthly chart. Plenty of upside, clear levels, and lots of US data out this week to move the pair. Oil is also under pressure which is CAD negative and USD/CAD positive.

    • Raul Lopez

      So far so good Giles… are you still holding your trade?

      • Giles

        Yes, I am Raul. Thanks for asking! I am seeing that further oil prices sliding is helping to boost USD/CAD. I am in profit and holding over the NFP and I know that the market is focusing on wage growth, so any positive surprise there will help with more USD strength.

        • Raul Lopez

          Nice move Giles!

  • neville booyens

    HI Raul
    Thanks
    What if a another range forms after the breakout or price enters back into the previous range that it broke out of
    thanks
    neville

    • Raul Lopez

      Hello Neville,

      Definitely, if we get a new range we open a new trade (or increase the size of our trade if you are already in)

      Let me know if you need anything else!

      • neville booyens

        What about pullback into original range – do you wait for re – break out or cancel trade?

        • Raul Lopez

          You can take both, a retracement or a breakout of the new range.