USDCAD Trend Rider breakout

USDCAD Trend Rider breakout

The Trend Rider confirmed the post-breakout signal on the USDCAD trade with a red Momentum Finder (the box at the bottom).

During the range, the Momentum Finder gave a few pre-mature signals, but as with every trend-indicator, you need to stay away during sideways markets.

During the following trend, the indicator did what it does best: confirmed the momentum and providing confidence. I got out with a healthy 140 pips. But with the benefit of hindsight, I should have stuck around longer.

Now, the Momentum Finder is back to deep red after a sideways period where the Momentum Finder showed grey bars. However, the trend seems overextended on the 1H timeframe and you are better off looking for a different market that shows pre-breakout behavior in an early range. The GBPUSD ticks the boxes as of now.

 

 

The current Gold chart also offers an interesting perspective and while everyone seems to be looking for shorting opportunities, the Trend Rider has turned grey and indicates the range.

Just like during the pre USDCAD breakout, you should be sitting on your hands tightly now. Getting involved in such a market while the price is still trading in a tight and well-defined range is a very dangerous thing to do. Just because the price has been going up, it does not mean that it must go down too.

There is no price in trading for the one who gets in first. More often than not, you will be the victim of spikes and squeezes around the range boundaries. So once more, patience is key.

 

 

So you want to be a professional trader? Have you made up your mind what exactly that entails, how your
There are many alternatives to choose from when it comes to online brokerage accounts. You need to find out several
After the success of our first Q&A video, we just released a new one. We cover many topics such as:
Why traders lose money - Psychology
“Trading is hard”, is something we traders know already, but there are proven psychological effects that explain why the human
I have written about my higher timeframe price action trendfollowing strategy before, and many times was asked to elaborate a
Welcome back to the Tradeciety Tuesday. Our first month with the new Tradeciety Tuesday is already over and today's is

No Comments

Comments are closed.



Advertisement - External Link
Join our newsletter, get the free eBook and the webinar
10 Laws for Trading Success
Subscribe & Get eBook
I agree to the Privacy Policy
No thanks
10 Laws for Trading Success
Join our newsletter, get the free eBook and the webinar
Subscribe & Get eBook
No Thanks
I agree to the Privacy Policy

Cookie Consent

This website uses cookies to give you the best experience. Agree by clicking the 'Accept' button.