Happy Corner: Loonie (CAD) pairs

[Firstfx]

This USDCAD trade looks promising. There may be a possible bounce from the support zone. I am willing to risk playing with a larger position size on this trade. As the risk to reward ratio is very favourable at 1 is to 5.
LONG USDCAD around 0.9800-20
Stop loss below 0.9780
Target profit 1.0000

Nice charting and very nice trade. I will be getting in on this one for sure.

RSI on the daily chart shows this pair as very oversold. It was under 30 only a day or two ago.

Price of oil is up too so that should help this pair hit that 0.9820 mark.

[happypip]

If you're a Loonie bear, then you might like this potential bounce setup on USD/CAD. It looks like the pair is currently approaching the next support level located at the .9800 major psychological level. Do you think it'll hold?

[happypip]

As I always say, if there's one thing that USD/CAD loves to do, it's to move sideways inside a range! Right now, it looks like the pair is forming a new range between .9895 and .9945. Note that .9895 acted as resistance earlier on, which means that it probably switched gears and will act as strong support from now on. But will the top of the range hold?

[SammyW]

Great call on that bounce play BTW!

[KillerWhale]

Big chance it will never reach 0.9800.
We didn't get a new low last Friday, maybe 0.9842 is the bottom for now.
Anyway I'm long, target 0.9920 and longer term (few weeks) 1.0070

[Firstfx]

My guess is .9950 to .9750 range for a while. Currently I am long a small position.

[KillerWhale]

Why 0.9950? 0.9800 will be hard to beat, strong support.

[Firstfx]

Why 0.9950? 0.9800 will be hard to beat, strong support.

Yes .98 may in fact hold and that is why I have a current small long. If it goes to .98 I will add another postion. If it goes to .975 I will add again. Will be looking at the daily RSI and other fundamental factors at that time. I am guessing that we may have a repeat of the range from feb 2012 to May 2012 (2 cent range from about .985 to 1.005). That earlier range ran about 1 cent higher then the current range so far so i suspect similiarily that the new lows from this current range will be about .975 (and maybe enven .97) to .995 before heading to 1.03.

[happypip]

After testing the .9850 handle twice last month, it looks like the Loonie bulls are ready for another round with the pair forming a descending triangle on the 1-hour chart. Will it finally break below .9850 or will the Loonie bears step in and force an upside breakout?

[peterbaik]

I think it's going to hold and begin to consolidate within the same range back in March....0.9980 - 0.9850....