AUD/CAD has been declining over the past year. It lost as much as 10,000 pips, and is currently putting pressure on the yearly low at 0.89700.
This situation opens an opportunity to place buy limits in the market.
Thus, starting from the breakdown of 0.89700, traders should set up a grid of buy limits in an increment of 300-500 pips. Take profit after a breakout, either at 1 pip above the first order or after a 1,000 pip rise.
This strategy is called grid trading, which is usually used on cross rates. It involves holding positions that are significant in time and distance. For this reason, we recommend using swap-free accounts, not increasing the volumes in the grid (0.01 standard lot for every $ 1000 of the deposit) and monitor price movements.
Good luck and have a nice day!
