FX.co ★ USD/CAD

Hello everyone. Let's start analyzing the currency pair USDCAD on the M5 timeframe. A well-established trading strategy based on the Relative Strength Index indicator. As you can see, the chart only includes this indicator and nothing else. What signals do we have? The indicator entering the 70 zone indicates buyer exhaustion, suggesting a high probability of further decline. We can enter the trade at the price of 1.36790. I enter the trade with two orders. The first order is placed away from the current prices, and the second one, in case of a slight pullback, I place on the M1 timeframe where we sell at market price. Considering the working timeframe, I try not to set overly ambitious targets. I stick to a reasonable minimum of 1 to 2. If I manage to catch a longer movement, I trail the position manually. I set the stop order at least fifteen points away from the last extreme. The stop is wide enough, considering that we are using a five-minute timeframe for intraday analysis. Wishing you all a great trading day and successful trades!