Pair: USD/CAD

Time frame: 4-hour

Chart: usdcad.jpg

Trade rationale: This is a nice technical setup I spotted on the 4-hour time frame of USD/CAD. The pair's downtrend is still intact so I decided to go for a retracement play. Price seems to be pulling back at the moment, and could resume its drop once it hits any of the Fibs. I picked the 50% Fib as my entry because it lines up with a former support level and the falling trend line connecting the highs.

Trade details: Short USD/CAD at 1.0065, stop loss at 1.0115, PT1 at 1.0005, PT2 at .9850. I'll trail my stop every 50 pips.