I entered a short position in USD/CAD tonight after the pair broke through an area of support around 1.1455 with a nice wide-range body candle.  This plus the overall downtrend on the daily chart was enough for me to put some money on the line and see if it continues its move down.

Here's the daily chart...

• Short Entry:  1.13686
• Initial Stoploss:  1.15101
  

A long opportunity may be shaping up on USD/CAD.  The pair is in an uptrend, and the daily chart shows the pair testing the rising trendline.  So far, it is respecting the trendline as support.

Also, note the area of resistance at 1.3000 that has been tested three times in the past three months.  If price moves up again, it'll be interesting to see how it behaves around this area.

I'm going to test the waters with a buy order just above today's high, with an initial stop below the rising trendline.  If the pair respects the trendline and takes out the current high on today's bar, I'll expect it to continue to move in my direction.  As always, though, I could be wrong!

• Long Order: 1.2620
• Initial Stoploss: 1.2437

USD/CAD moved back down and hit my stop this evening, closing out the rest of my position.  I could have taken my profits at support, but I need to adhere to my money management rules because as soon as I exit early, I'll close out a trade that would've kept going in my favor.

 Trade Profit

• 1st Leg:  63.4 pips
• 2nd Leg:  0.1 pips
• 3rd Leg:  0.1 pips

After my first profit target on my USD/CAD position was hit yesterday, the pair retreated a bit today.  Since I've moved my stop on the remaining two thirds of my position, this trade is now essentially risk-free, so I'll let it breathe a bit more.  Hopefully tomorrow it will start moving back up, but if not, I've banked profit on a third of my position, and will not lose anything on the remaining two thirds.