Long or Short: Short Entry Point: .9800 Stop Loss: .9900 or the close of the first candle above the trendline Profit Target/s: .9500 (previous low) Reward-to-risk Ratio: 3:1 Risk percentage: 0.50% Indicators used: Stochastic (14,3,3)
Though anti-risk sentiment is weighing down high-yielding currencies lately, I think that CAD will soon get back on its feet when the continuously weaker-than-expected economic data from the U.S. finally takes its toll on the Greenback.
Also, I hear from @Happy_pip and other commodity tweeps that gold, oil, and other commodities are starting to rise again, so I’m betting my pips that a possible resistance at the falling trendline and 61.8% Fib will do the trick for USD/CAD
My stop is initially 100 pips away at .9900, but I plan to close early if a daily candle closes above the trendline. If price goes my way, I plan on moving my stop to break-even and then adding 0.50% position every after 50 pips (USD/CAD usually has a low average true range). Lastly, I plan to close all positions at .9500.
Last edited by salt-n-pipper; 05-27-2011 at 10:31 AM.