USD / CAD - Covering Position
By Eliseo Agas | October 18, 2007
As of this morning I don’t like what I’m seeing on the charts for the short idea. Although nothing definitive has come up saying that the downside potential is gone, it’s showing a momentary sign of weakness…for me that’s enough since I wasn’t looking to hold the position for more than 2-days. What I was ideally looking for was momentum to come in slamming USDCAD downward for a day or two. I’d rather get out than risk a complete reversal to the upside in my face.
At best, if the downtrend remains intact it will allow me to get back short at possibly better prices. Right now, I was able to exit gracefully with a very negligible hit to the account. Now I’m ready for the next trade.
Tags: cad, forex charts, forex trading, USD
Topics: Better Use Charts - Use Charts Better | No Comments »
USD / CAD - Probe for Weakness
By Eliseo Agas | October 17, 2007
Following up on my previous post, I think it would be a decent time to throw in a probing trade into USDCAD at this point (at the time of this posting).
A probing trade is a very small position that by itself is relatively inconsequential if it wins or losses. But the great thing about a probing trade is that it gives you a better feel for what the market is doing because you have money on the line. Additionally, once we get confirmation that sellers are stepping back in we can build into this making it a bigger position with only a slightly worse average cost for the overall position.
I’d be comfortable adding to this position on a break below the .9743 level.
Let’s sit back and see what happens next.
Tags: cad, currency trading, forex charts, USD
Topics: Better Use Charts - Use Charts Better | 1 Comment »
USD / CAD - Are You a Believer?
By Eliseo Agas | October 16, 2007
Sorry, for my unscheduled hiatus from the usual posting…fear not, trading has been tremendous the past few weeks so life is good. I hope you’ve all fared just as well if not better. With that said, let’s talk shop…
Now if you believe the USD/CAD free fall from parity the past month is bound to continue then here is how I would play that angle:
As of this writing, we have a bounce on the Daily chart that sets us up for a potential entry to short. I’d now begin searching for any signs of weakness on a smaller timeframe (my favorite, 4-hour chart) indicating when sellers might be stepping back in. The danger with any trade like this is to be aware when sellers start running for the exits en masse…this is something we’d have to keep an eye out for on the Daily and use Stops based on key levels on the chart indicating when sellers may have lost faith shorting.
Right now, I’d sit patiently on the sideline waiting for signs of the bears beginning their assault on the bulls before putting my position on. I’ll post to follow up on this idea as it develops.
Tags: CAD, forex charts, trading, USD
Topics: Better Use Charts - Use Charts Better | 1 Comment »
DailyFX Forex Radio - Is The EUR/USD Rally Losing Steam?
By DailyFX Radio | September 27, 2007
· US Dollar softens as EUR/USD hits fresh record high of 1.4191, USD/CAD hits 30-year low of 0.9977
· Can the greenback regains its footing on Friday’s US personal spending data?
· Be sure to view the rest of the week’s event risk on the DailyFX Weekly Calendar
To discuss these or any other FX topics with the DailyFX analysts, check out the Forum
Click Link to Listen to our Evening DailyFX Radio PodCast:
http://media.dailyfx.com/podcasts/FXRadioPM092707.mp3
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Tags: cad, dailyfx, dollar, forex radio
Topics: DailyFX Radio Podcasts | No Comments »
Canadian Retail Sales - Part 1
By Laetitia Vaval | September 21, 2007
Canadian retail sales will be released in a few moments. Right now my USDCAD short is at 1.0021. I’m hoping for this number to dip below 1.0000 once the data is released. Canadian wholesale sales were released yesterday morning and came out better than expected. Could this be an indicator of better than expected retail sales ? will update in a few mins
Tags: cad, forex, retail sales, wall street warrior
Topics: Wall Street Warrior | No Comments »
Morning Trade
By Laetitia Vaval | September 20, 2007
This morning I decided to range trade the GBPUSD. At around 9AM - the range was about 2.0047 - 2.0113. I got long at 2.00754 (had a stop at 2.0020) and exited my position 2.00845 a 9.1 pip gain. Got back in again at 2.0975 and out at 2.01155 - an 18pip. I traded the pair a few more times throughout the mornign and all in all was very profitable, but here again I could have made a lot more profit had I not been sitting in front of the computer the whole time. I kept looking at the 1-minute chart and second guessing my decision. Had i entered, a stop and a limit and walked away, I could have made over 700dollars in profits since my target price was 2.0136 which was hit a little bit later.
Also, I am short the USDCAD. I am going to hold this trade overnight since Canadian Retail Sales will be released at 8:30Am EST tomorrow morning. The odds of a positive surprise are pretty high since Canadian Wholesale sales were released this morning (+2.0% vs +0.5% expected), and wholsesale sales can generally be interpreted as an early indicator of positive retail sales.
Tags: cad, currency trading, dollar, forex, forex trading, gbp
Topics: Wall Street Warrior | No Comments »
AUD/CAD: The Turn One Year in the Making
By DailyFX Updates | September 19, 2007
Jamie Saettele, our technical analyst was telling me this morning about the trade of the year. He has been waiting almost forever for this Wave Formation to unfold and finally, we have it. We are talking about a BIG trade. Not one that lasts for 200 or 300 pips, but one that lasts for 2000 pips. Don’t expect this to be an overnight sensation, but AUD/CAD is ready to explode . ‘
According to Jamie risk is well defined as is the target.
Tags: cad, dailyfx, pips
Topics: DailyFX.com Updates | 1 Comment »
DailyFX Forex Radio - Euro at Record Highs Against Dollar, Can Loonie Set Parity?
By DailyFX Radio | September 18, 2007
· US Dollar plummets on Fed Rate decision
· Can the Canadian Dollar set parity on tomorrow’s Consumer Price Index data?
· Be sure to view the rest of the week’s event risk on the DailyFX Weekly Calendar
To discuss these or any other FX topics with the DailyFX analysts, check out the Forum
Click Link to Listen to our Evening DailyFX Radio PodCast:
http://media.dailyfx.com/podcasts/FXRadioPM091807.mp3
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Tags: cad, dailyfx, dollar, fed
Topics: DailyFX Radio Podcasts | 1 Comment »
There is no such thing as too high or too low.
By Tom Long | September 18, 2007
I often hear new traders state that they are buying a currency pair because the price is too low or selling a currency pair because the price is too high. The USD/CAD lows from July 2007 were a good example. Many bought because they determined that since the market was at a 30-year low, that it had to move up. If you look at a daily chart of this pair you can see where there was a nice bounce up off of those lows. However, the fundamental picture had not changed. The only change was the number of traders who were convinced that the market had sold off enough and was due to rally. It did rally, but right up to a nice place to sell before the market moved back down through those July lows, to even lower lows. This brings us right back to the title of this piece. There is no such thing as too high or too low when it comes to prices in the financial markets, unless of course the price is zero. There is a good reason that a market trades at 30-year lows and until that reason changes, traders should assume that lower lows are in store. This may be the trend of the year, so we want to take advantage of these moves by trading with the trend instead of assuming that we can predict the end of the move. So the next time you hear about a market reaching a multi-year high or low, don’t start looking for the end of the move, but rather look for a place to jump on board in the direction of the move and ride it out for as long as possible. There is no telling just how long that move will last.
Tags: cad, dow
Topics: Don't Trade Like This | No Comments »
DailyFX Forex Radio - Euro Nears Record Highs, But Will Fed Cuts Be Enough To Send It Higher?
By DailyFX Radio | September 10, 2007
· US Dollar continues negative momentum, but Fed comments limit extended declines
· Canadian Dollar to Break Range - Will it target 1.0340 or 1.0676?
· Be sure to view the rest of the week’s event risk on the DailyFX Forex Calendar
To discuss these or any other FX topics with the DailyFX analysts, check out the Forum
Click Link to Listen to our Evening DailyFX Radio PodCast:
http://media.dailyfx.com/podcasts/FXRadioPM091007.mp3
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Tags: cad, dailyfx, dollar, fed, forex
Topics: DailyFX Radio Podcasts | No Comments »