DecaPip Daily: 23/07/2015

Introduction to DecaPip
Welcome to our newest feature; DecaPip. The concept is simple: our professional market technician, with an exceptional system, showcases his own daily Support and Resistance levels across a broad spectrum of FX currency pairs. The most effective way to use the levels are:

  • If indicated levels hold, look for the price to reverse.
  • If levels are broken, look for the price to continue past to new highs or lows.

 

For this edition of DecaPip Daily I would like to look at the USDCAD currency pair and two potential ways we could look to trade it this week.

My first trading idea would be to take advantage of a short term correction and swing sell the USDCAD from the 1.3070/72 resistance area.

Screen shot 2015-07-22 at 18.20.26

My second trade idea would be to buy USDCAD  from 1.2840 and take advantage of entering the a correction on the right side of the recent uptrend.

The overall target would be 1.3400 with a very conservative stop loss of 1.2770 just under the Support 1 from the chart below.

The chart below from my DecaPip weekly column we can also see we are entering short from the R1 level which matches perfectly my 8 hour chart above.

Screen shot 2015-07-18 at 11.32.06

I hope to be able to play both sides of this trade set up going short from a overbought swing trade which is counter trend and then picking up the prevailing trend from a more attractive price and going long from a more attractive entry point .

Got any questions about our new DecaPip feature? Contact Nathan at Nathan@littlefishfx.com

Disclaimer:
All comments, charts and analysis on this website are purely provided to demonstrate our own personal thoughts and views of the market and should in no way be treated as recommendations or advice. Please do not trade based solely on any information provided within this site, always do your own analysis. For more information please see our full disclaimer in the footer below.