Trade Closed: 2007-08-08 13:35
Just a quick review of our trade which closed in yesterday’s trading session.
After our adjustments to our position, USD/CAD fell once again to close out the rest of our open position at breakeven. Our adjustments proved to save us a few pips as the Loonie began to rally as commodities strengthened and risk appetites return to them market. I hope everyone did well!
1st half: +23 pips
2nd half: +00 pips
Total: +23 pips
Trade Adjustment: 2007-08-07 08:40
Good Morning! Well, we have been sitting on this trade for quite some time with the pair ranging and trending only slightly higher. With major event risk coming up today with the Federal Reserve interest rate statement today, we make a quick trade adjustment to avoid any moves against our position.
We will lock up a small profit by closing half of our position at market (1.0563) and adjust stop to breakeven on the remainder of our position. Adjust profit target to 1.0600. This locks in +23 pips and creates a risk free trade.
Trade Update: 2007-08-02 12:10
Hello Friends Just a quick trade update to let you know our trade to go long has been triggered. USD/CAD has found resistance at 1.0700 and dropped over 150 pips to trigger our entry orders at 1.0540.
With the downside momentum being so strong, we will have to keep a close eye on the pair and see if 1.0500 can hold. Stay tuned for more trade updates
Trade Idea: 2007-07-31 17:57
Greetings friends! It looks like all of the technicians that have been calling CAD overbought have finally been proven right as USD/CAD has rallied for the past few trading sessions, possibly reversing the downtrend.
This is partly due to the risk aversion that global markets are experiencing as sub-prime worries have spread. Market players have unloaded riskier assets and flocked to the Greenback. How much longer will it continue?
Right now the short term trend is calling for a Dollar rally against the Loonie, so we will see if we can jump in that sentiment shift and hopefully ride the possible new trend higher.
On the chart, we can see that the pair is trading slightly above the 240 MA’s, which also happen to line up with the 38% and 50% Fibonacci retracement areas.. This could be a possible support area we can play and jump into.
Long USD/CAD at 1.0540, stop at 1.0470, pt1 at 1.0600, pt2 at 1.0700
Please remember to never risk more than 1% of your account on any single trade. Adjust position sizes accordingly.
Good luck my friends