USD/CAD is termed the ‘Loonie” and named after a bird. For further name info, go to the BOC currency museum. USD/CAD is anything but loonie, it was born and constructed in design to fly far and wide. Its a fascinating currency pair and a great pair to trade continuously.
The recommended sell last evening in the high 1.3220’s came at 1.3235, so far USD/CAD dropped 42 pips to 1.3193.
The vitals. The big break point above is located at 1.3394, up 18 pips from last evening and failed to mention 1.3376. The level at 1.3394 is protected by 1.3304 and 1.3346.
Break points on the bottom 1.3163, 1.3123 and 1.3108. Break points above first comes at 1.3224 and travels to 1.3289 at the peak. In between 1.3238, 1.3251, 1.3259, 1.3263, and 1.3289. These points were built in to stop the USD/CAD rise.
Further below much supports begin at 1.3096, 1.3080 then drops to 1.3020. Overall Supports 1.3042 and 1.2978 and these points are built upon a base at 1.2760.
Today’s bottom 1.3149 and the perfect long point for quick 30 pips or so. We may not see it until much later in the day, if we see it. USD/CAD is now way way overbought so sell is the way. Look for a 1.3199 sell point. Level 1.3163 must break first and a big point break to see USD/CAD much lower. Do or die at 1.3163.
I severely slept on my trades from yesterday. As it stands, 3 lots short at 1.3208, 1.3168 and ? 1.3170. Target for today is 1.3122 to 1.3102 and the bottom of the channel is located at 1.3096. Not sure we see lower 1.3100’s today. Last 1.3168 and 1.3170 wasn’t supposed to become actual. The overall plan yesterday morning was short 1.3219 to 1.3210 and target was around 1.3160 for the 50 pip targets, we saw 1.3138 and we should’v bailed with 70+ pips profit.
I have to complete 30 trades, 50 pips or better. So much more coming.
Brian Twomey, Inside the Currency Market.