USDCAD—coiling

Partly because of the monthly chart I posted yesterday and partly because of indecision on a dip on the shorter-term chart,, I went long the USDCAD at 1.0135 yesterday. So far the pair is up to a high of 1.0174 this morning. The pair is coiling inside a symmetrical triangle so it will find resistance at 1.0184. The last dip inside the coil stopped well short of the bottom of the triangle so that may be a hint that it will break upward.

Resistance is at 1.0184, 1.0215, 1.0304 and 1.0681. Support is at 1.0112, 1.0045, 1.0012 and .9931.

Here's the three-hour chart:













© Dianne Fecteau, 2010. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

My purpose in writing this blog is to show you how one trader, me, makes trading decisions and survives while trading Forex. One of the biggest problems I had when I first started trading was trying to apply the “rules” to actual trades. Another was the psychology—limiting losses and letting profits run. If you study my blog, you’ll see how I deal with both those issues. So my writings are not trade recommendations but rather educational in purpose. You have to decide on your own approach to trading. Remember that trading is risky.