forex

Shorting the USDCAD as the pair continues to trend lower

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The USDCAD has been trending significantly lower. A short was taken early in the U.S. session as price began to move lower – away from a key area. Our first target was 1.3591 but 1.3574 was our main target and ultimately where the trade was closed.

I find a lot of trading opportunities with the JPY pairs. Next week the Bank of Japan meets and despite firm inflation, the BOJ is not expected to raise rates. Significant attention will be on BOJ bond purchases which have reduced recently with an expectation of further reductions going forward.

Enjoy your weekend and good luck with your trading.

Shorting the USDJPY during the U.S. session

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There is a continued sense of fear and uncertainty in the financial markets resulting in the USD being weaker and the JPY stronger today. The opposite of this was true yesterday when President Trump put the tariffs mostly on hold, causing USDJPY to soar higher.

Today, apprehension was back and after waiting for the U.S. economic news to pass, a short was taken in USDJPY.

The pair moved lower and our target was reached before the U.K. close.

You may wonder why I didn’t stay in longer to test yesterday’s low. I had my target set and the trade closed while I was looking at something else. My targets have very high probability of being reached. If I like the setup, take the trade and reach my target… I’m satisfied. Being greedy is a trader’s enemy. People that last in trading understand this.

Always use stop losses. We can’t control the markets but we can control how much of a loss we are willing to accept when taking a trade. I don’t recommend risking more than 1 percent and I rarely risk that much.

There is a lot of U.S. economic news scheduled for Friday, so be careful with your entries anywhere near them.

Good luck with your trading!