USDCAD

USD started the week on a slightly higher note. Here’s a potential long trade for the USDCAD currency pair:

USDCAD-Buy-MAY28
USDCAD Daily Chart, Long @ 1.29921 TP: 1.30296 SL: 1.29154

Breaking above the linear regression line (the middle red dashed line) indicating a move upward toward the upper bound of the channel. I used fibonacci retracement levels in order to set my take profit which is slightly lesser than my Stop Loss, however I sometimes take trades like this if the odds are in my favour based on my strategy.

Let’s wait and see!

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GOLD

It’s a usual quiet Friday market and plenty of time to plan out!

Gold jumped from 1293 to 1305 in a single day. Here’s my take on how I think the price action moves in the next couple of days.

GOLD-Buy-MAY25
GOLD 4 Hour Chart MAY 25

The blue box indicates the pullback zone, breaking above the box will take the price to the upper bound of the downward channel, which is also the 161.8 level of the fibonacci retracement levels. However before the move up there’s a good chance that the price action is going to respect the smaller upward channel (the red dash lines) and bounce to 1297.88 first and then climb back up once more.

I will be setting a pending order to buy at 1297.88 with Take Profit at 1317.46 and Stop Loss at 1289.80.

Finally choose your position size carefully. As you can see the in a larger time frame we are in a downward trend.

All the best and have a good weekend ahead! 🙂

NZDUSD

The stronger US dollar has been driving the New Zealand dollar lower in the last two days. The price broke the lower bound of the previous channel and we are opening a short position at the pull back to the 161.8 level of the Fibonacci retracement levels. The Stop Loss is placed at 0.69337 (See below image).

NZDUSD_Sell_MAY23
NZDUSD Daily Chart Intraday Setup – Short @ 0.69050 to 0.68576 SL: 0.69337

The technical analysis on this pair is based on the 4 hour chart and therefore requires more patience. Let’s see how it’ll come along in the next few hours. I will make updates to this post later today!

Feel free to comment and share your trades if you choose to copy this trade.

Have a great day ahead.

Alright, my Stop Loss was triggered 🤕

Although the New Zealand’s Trade Balance data was significantly lower than expected, it seems that FOMC speech drove USD lower causing the NZD to move higher.