Daily Chart USD/CAD
Long or Short: Long
Entry Point: 1.0050
Stop Loss: .9900
Profit Target/s: 1.0500
Reward-to-risk Ratio: 4:1
Risk percentage: 1%
Trade Rationale:
Right now I am bullish on USD. I think if we see more sell of in other markets, we could see dollar rally. If price goes above 1.0000 it should continue rise. I think if the pair breaks out of the double bottom, it has potential to rise around 450 pips, roughly the height of the double bottom.
Trade Adjustments:
I will have to gauge risk sentiment and be wary of a false break above parity. I might keep my trade open longer if the move up is very strong.