Are you going to hold your trades during the US interest rate announcement? I’d close them and reopen them after the announcement…
Anyway, a few days back I wrote about the GBPCAD, it was trading in a clear bearish condition, and now it has confirmed the ST resistance level with some kind of downward pressure:
Are you still thinking about going short here? Please let me know.
Trade Safe!
Raul Lopez
Forex Training
There is still a long way to go before the GBPCAD reaches the next LT support level, it is currently trading at 1.5611 and the next LT support level is at 1.5427, more than 170 pips away. So we have plenty of room to get a good trade going.
This is the hourly chart:
As you can see it has a clear resistance level, which is exactly where I’m going to be looking for my short opportunity.
Do you agree with me?
Trade Safe!
Raul Lopez
Forex Coaching
Even though the GBPCAD is trading in a short term range, I wouldn’t try going long at the bottom of the range, because it is trading in a bearish condition, it is likely to continue its way down. Instead I’d look for short opportunities, and of course, I’d target the next LT support level around 1.5427 (it is currently trading at 1.6049):
We still got more than 500 pips before we hit the next level, so we have time to look for our short entry.
Do you see the same here?
Trade Safe!
Raul Lopez
Forex Training
A few days back I did a long term and short term analysis for the GBPCAD, it was trading near a LT resistance level, and when looking at the short term chart, you clearly saw the range it was trading on.
Guess what?
The GBPCAD already broke the bottom of the range:
What can I do with this breakout?
Well, it is now trading in a bearish condition, that means that it is likely to continue its way down until it reaches the next LT support level, which is at 1.5427 (more than 650 pips away from where it is currently trading).
We need to be careful though, tomorrow we have 3 interest rates announcements and NFP report coming this Friday.
Trade Safe!
Raul Lopez
Forex Course
First, a word of caution, remember this week we have plenty of fundamental announcements.
Even if you don’t trade the GBPCAD, you are going to like the way it is currently trading. First, take a look at the daily chart:
Don’t you like this chart? It’s clear what the market is doing, once it gets close to the resistance level it gets rejected and reaches the support level, and once it gets close to the support level, it gets rejected again and reaches the next resistance level.
So what do we do here? We just adapt. Right now it is trading pretty close to the resistance level, when do we know when to start looking for trade opportunities? Ahhh good question. To assess this, we need the help of the short term charts, which looks like this:
What a surprise, it is trading in a well defined range. So I have two possibilities here:
So I will adapt, I don’t need to guess where the market is going, I’m just going to wait and see where the market goes, when I get the breakout, I start looking for a trade opportunities in the direction of it.
Trade Safe!
Raul Lopez
Forex Training
Hope you all had a great weekend! I did, and I’m ready to start the week with some good trades… are you?
Now, let me talk to you about the GBPCAD, last week I focused on a few EUR crosses, but some GBP crosses are also tradable, I mean, when you look at their long term charts, you get the feeling that its clear what the market is likely to do…
Take a look at the GBPCAD:
What do you think the GBPCAD will do next? Since it was rejected from the bottom of the range, I guess it will continue its way up until it reaches the next LT resistance level. Therefore, only long opportunities are in play here.
Have a great week ahead!
Trade Safe!
Raul Lopez
Forex Course
As you already know, I like to see clear support and resistance levels on the LT charts before I even start to think about trading any currency pairs. On the GBPCAD I see clear S&R levels on the LT charts, and it looks like it has been rejected from an important support level.
On the other hand, on the hourly chart, it already broke the range it traded in since last Thursday, meaning that I should be ready to start looking for long opportunities:
As long as the GBPCAD trades above 1.5665 I will be looking for long opportunities. What is most interesting about this chart is that the next LT resistance level is about 480 pips from where it is currently trading.
Trade Safe!
Raul Lopez
Forex Training
Do you take partial profits when the market moves on your favor? I don’t, I do exactly the opposite. When the market moves on my favor I trade to add to my trade (if I get a new signal). Why would I make smaller my trade, when the market is telling me that I probably made the right decision? Instead, I try to increase my position size…
This is what I just did with my GBPCAD trade earlier. Since I have nothing at risk from my first trade, I’m able to take this other trade:
Entry: 1.5629
SL: 1.5673 (Both SL’s are at the same level, locking in 168 pips from first trade)
TP: 1.5457 (Both TP’s are at the same level)
Trade Safe!
Raul Lopez
Forex Course
I only have one trade open, a GBPCAD short that I opened yesterday, I was about to add to this position after a possible signal off the 15M charts, but it didn’t form the pattern that I was expecting, still looks good though and I’m looking to take profits at 1.5457 (so it still has a long way to go before reaching my TP level):
Other than this, do you see more opportunities? I think the ones that are worth looking at are the GBP crosses, most of them are in a clear bearish condition, but that’s it! Not many opportunities this week.
Trade Safe!
Raul Lopez
Forex Course
What do you think about the markets this week? There are many currency pairs trading in a clear market condition, making it easy to look for trade opportunities, quite different from what we saw last week. Lets see if at the end of the week the pips on my account reflect it! 
Some of the GBP crosses are also in a clear bearish condition (not the GBPUSD though), specially GBPCHF, GBPAUD, GBPNZD and GBPCAD, and most of them have a good deal of pips before the hit the next LT support level…
For instance, let’s take a look at the GBPCAD:
The next LT level is at 1.5427 and we are currently trading around 1.5777, so we have plenty of room to get a trade with a good risk reward ratio.
Are you monitoring this one?
Trade Safe!
Raul Lopez
Forex Course
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After yesterdays swings a few currency crosses formed a range around important LT levels, and as you already know, its very important to determine the range in order to start looking for trade opportunities (i.e. after a breakout of the support level).
The GBPCAD is one of those cases. Right now, I’m looking forward for a breakout of the support short term level around 1.5921 (lower green level):
If it breaks the ST support level, I’ll start looking for short opportunities.
All take profit orders should be set around 1.5460
Trade Safe!
Raul Lopez
Forex Course
The decision of holding your trades during important fundamentals releases its always tough, you never know what could happen. I definitely feel more comfortable once the market has already moved on my favor and in order to hold my trade, I need to have nothing at risk on such trade, for instance moving your stop loss to the breakeven level. But you need to remember that you still need to give the market some room so you don’t get stopped out during normal market swings.
So if it is too close to my entry SL level I just close it. However, if the market has moved on my favor, my SL is at least at the breakeven level and has enough room from my SL to the current market action, I hold my trade.
This was the case of the GBPCAD trade I took yesterday, I moved my SL since yesterday and had enough room to hold my trade during the non-farm payrolls report. It came out a little better than expected and the market didn’t take a big hit, which was good for my trade (finally hit my TP order).
Now, about the non-farm payrolls report, have you noticed that the market has not been getting a lot of impact from this announcement lately? I have… And its good! What do you think?
Have a great weekend!
Raul Lopez
Forex Course
Today I like the GBPCAD, it is trading in a bullish condition, it has enough room to get a good risk-reward ratio (before it reaches the next LT resistance level) and on the short term charts, it is trading above every important level, it just has everything I like to see on a chart to look for trade opportunities. This is how the short term charts looks like:
Now, take a look at the lower yellow level, its where I have my SL order (the upper resistance level is my entry), it was just a couple of pips away from touching it, and just after barely touching my SL, the market shoot up… This is how the market is at times… Just when you think the market is going to stop you out, it turns around and hits your TP order… it still has a long way to go though…
Trade Safe!
Raul Lopez
Forex Course
We got two signals triggered today, we actually got three signals (another one in the USDCHF) but decided to enter only in the following pairs:
GBPCAD short signal, it is trading in a bearish market condition, it broke through an important LT support level triggering its condition. It retraced back to the ST resistance level and formed a pattern with downward pressure:
Here are the details of my order:
Entry: 1.5715
SL: 1.5752
TP: 1.5403
CADCHF, long signal, as we have been talking about in previous posts, the CADCHF is one of the pairs that its trading in a very clear market condition, its been like this in the last few months giving us very good signals. It is trading in a clear bullish market condition, retraced back to an important ST support level and formed a significant pattern with upward pressure:
SL already moved to 0.9541 (locking in some profits).
Entry: 0.9528
Trailed SL: 0.9541
TP: 0.9819
Trade Safe!
Raul Lopez
Forex Training
The GBPCAD is trading in a bullish market condition, I’m currently looking for long opportunities. Also note that it is trading above every important level in the short term charts:
The next LT resistance level is at 1.6348
Trade Safe!
Raul Lopez
Forex Training