After a big number on US Non farm payroll data surprised the market on Friday and threw the market into doubt over whether the US , the fed, will cut rates at the next meeting giving the US dollar a bounce in strength into the weekend against market expectations. We are looking at a long setup in USD versus Canadian dollar with the pair slowing and bouncing off February's low resistance levels as highlighted in our trading view chart.
We have also highlighted how oversold the pair are on and indicators with. We have highlighted on the Stochastics the last time the pair hit this level and resulted in a 172 pip move higher. We are therefore targeting a move to low to mid 1.32 area and at the same time place a stop loss just under the recent lows skewing the risk reward in our favor on a 3.8 basis. We recently had a form on daily candles suggesting we have reached a near term low as selling matched off against buying which generally points to a change in direction nearterm.
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from the Team at forexTrdr
Had traded as high as 50 pips from entry before pulling back on Powell comments