Forex Trading Signals on DailyFX+ go Long and Short the USDCAD - Which Signal do You

Our Forex Buy/Sell Trading Signals recently went both long and short the US dollar against the Canadian dollar—hardly a straightforward forecast for the USDCAD. But a closer look shows that two different systems produced both the buy and sell signals for the forex pair. As such, it is worthwhile to take a closer look at which strategy has actually outperformed through recent trading.

[B]USDCAD Forex Trading Signal[/B]

The USDCAD Buy signal comes from our “Momentum2” strategy, which is a shorter-term system that has outperformed through year-to-date trade. This strategy uses changes in the FXCM SSI and the overall direction in price to forecast subsequent moves in the currency pair. The longer-term “Momentum1” strategy has performed relatively poorly as of late because it depends on longer-term movements in price to produce profits. Indeed, it waits until SSI reaches strongly positive or negative readings and makes a longer-term forecast in price.
Given that the Canadian dollar has remained in a year-to-date range against the US dollar, the “Momentum2” strategy has quite handily outperformed “Momentum1”—suggesting that we may see further outperformance through upcoming forex trading.
See more Forex Buy/Sell Signals on DailyFX+ and be sure to monitor any updates on these specific signals, as our automated forex signals can and do change on a daily and intraday basis.
For more information and guides on using our DailyFX Buy/Sell Signals, see our Weekly Forex Trading Strategy Outlook report.