USDCAD - Have We Broken Out?!
Analysis:
Bearish Confluences
Bullish Confluences
Stay Safe - The JPI Team
Please feel free to leave any comments you have and like this idea if you agree with us. Any feedback or comments will be read and responded to. We appreciate any comments at all so thank you!
Disclaimer:
This does not constitute as financial advise. We are not responsible for any monetary loss that you endure. Trading is hard to be profitable with and we take losses just like everyone else does too. Our ideas won't always be correct which is why we urge you to always do your own analysis first before entering into the market but please feel free to use our analysis to assist you with yours.
Bearish Confluences
- Recent downwards trend formed
- Longer term upwards trend broken
- Retesting an area of significance
- 61.8% fib retracement level
- Head and shoulder pattern forming
- 1K short position increase for the USD
- 17K short position decrease for the CAD
- Recent USD news has been bearish
Bullish Confluences
- The USD is the strongest major currency whereas the CAD is the 3rd weakest major currency
- 2K long position increase for the USD
- 2K long position decrease for the CAD
- Recent CAD news has been bearish
Stay Safe - The JPI Team
Please feel free to leave any comments you have and like this idea if you agree with us. Any feedback or comments will be read and responded to. We appreciate any comments at all so thank you!
Disclaimer:
This does not constitute as financial advise. We are not responsible for any monetary loss that you endure. Trading is hard to be profitable with and we take losses just like everyone else does too. Our ideas won't always be correct which is why we urge you to always do your own analysis first before entering into the market but please feel free to use our analysis to assist you with yours.
Trade active:
Our entry criteria has been met and our order has been filled. We are short looking for price to continue making a move to the downside after we broke out of this previous longer term upwards trend.
Trade closed: stop reached:
s3.tradingview.com/s...shots/5/54bUGX9E.png
Trade Closed
(-1R) Lost
After Trade Comments:
This was a trade which we opened this morning, however we're already out of this trade and unfortunately with a loss. We saw some bullish USD news come out which pushed price higher going against our directional bias, which ended up stopping us out. Whilst this bullish move was bad for this trade it did help another one of our trades so there is also a positive. Because we hedged our position we were able to profit from if price moved in either direction. This is why diversification is so important. You need to spread your risk and stay diverse if you want to make it in the long run. As a trader you are essentially and risk manager. Your job shouldn't be to make as much profit as possible, even though it may seem like it, instead your job is not to blow your account. If you blow your account then you'll have no money to trade so it doesn't matter if you can make profit or not because you have no capital to trade. Whilst taking a more passive and risk adverse approach to the markets may result is a smaller return to begin with, in the longer term you will net far more then someone who is risking more and not diverse. If you lose 50% of your account due to drawdown you then need to make 100% just to be at breakeven. In trading the statistics are heavily against you, but that's just part of trading. This is why staying risk managed and diverse is so important, but unfortunately not that many traders pay attention to it which is why there are so many unprofitable traders. Don't be like the crowd. Stand out, stay risk managed and diverse. We can assure you that this will only do good for your trading and will heavily pay off in the long run. With that being said, onto the next!
Stay Safe - The JPI Team
Trade Closed
(-1R) Lost
After Trade Comments:
This was a trade which we opened this morning, however we're already out of this trade and unfortunately with a loss. We saw some bullish USD news come out which pushed price higher going against our directional bias, which ended up stopping us out. Whilst this bullish move was bad for this trade it did help another one of our trades so there is also a positive. Because we hedged our position we were able to profit from if price moved in either direction. This is why diversification is so important. You need to spread your risk and stay diverse if you want to make it in the long run. As a trader you are essentially and risk manager. Your job shouldn't be to make as much profit as possible, even though it may seem like it, instead your job is not to blow your account. If you blow your account then you'll have no money to trade so it doesn't matter if you can make profit or not because you have no capital to trade. Whilst taking a more passive and risk adverse approach to the markets may result is a smaller return to begin with, in the longer term you will net far more then someone who is risking more and not diverse. If you lose 50% of your account due to drawdown you then need to make 100% just to be at breakeven. In trading the statistics are heavily against you, but that's just part of trading. This is why staying risk managed and diverse is so important, but unfortunately not that many traders pay attention to it which is why there are so many unprofitable traders. Don't be like the crowd. Stand out, stay risk managed and diverse. We can assure you that this will only do good for your trading and will heavily pay off in the long run. With that being said, onto the next!
Stay Safe - The JPI Team