Short USD/CAD -Trade Review

Trade Review: 2007-04-17 22:20

Hello Hello! Our trade was triggered during yesterday’s morning Euro session as it retraced to 1.1335. We were helped by today’s US CPI numbers as they came out pretty much inline, but slightly lower. USD sold off after the event and our position quickly took profit. Yay!

Total: +35 pips

Trade Idea: 2007-04-16 23:35

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Good evening my friends :) I hope everyone had a wonderful weekend, are you ready to get started? This evening (morning for all of the Asian session traders out there), we will look to short USD/CAD as the fundamentals have, and will continue to support the “Loonie.”

There’s so much out there supporting the Canadian dollar such as positive economic data, rising oil prices (be on the look out for oil inventory draw downs as refineries come back online), and merger & acquisitions spurring demand for the Canadian dollar. While in the US, traders are unsure of what to do with a slowing US economy and inflation conerns the Loonie looks like a great buy! Of course, with CAD being the counter currency, so we will look to short this pair and use the Fibonacci retracement tool to guide our entries:

Short half position USD/CAD at 1.1335, stop at 1.1365, pt at 1.1300

Short half position USD/CAD at 1.1355, stop at 1.1375, pt at 1.1325

Please remember to never risk more that 1% of your account on any single trade, so please adjust your position sizes accordingly.

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