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Trade of the week
Long USD/CAD
This week, we're going long USD/CAD with our stop at CAD1.3710.
(AI video summary)
Current trade overview
This week, The strategy is to go long on USD/CAD. With United States (US) markets closed for Labour Day, the focus turns to upcoming non-farm payrolls and the Federal Reserve meeting.
Trade setup
- Stop loss: 1.3710
- Target: 1.3930
- Risk-reward ratio: To be determined based on market conditions
Market context
The US dollar has begun recovering against the Canadian dollar since June lows. Despite interest rate cut discussions, recovery signs have appeared. Short dollar positions could lead to further gains if the recovery continues.
Cautionary note: while this trade presents a structured opportunity, market conditions can change rapidly. Traders are advised to consider their risk tolerance and market outlook before engaging in this trade.
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