AppId is over the quota
By Walker England, Trading Instructor, 25 October 2011 14:16 GMT 
The USD/CAD has been giving us mixed signals throughout 2011. Currently, the Pair is trading near the parity figure, which has been traded through previously in January, and September. Currently daily support is found by connecting the July 26th low at .9405 with the September 16th low at 97.84. Currently price is testing a third touch of support and is awaiting the pair to either bounce or break.
Taking Price in to a 4Hour chart we can see our downtrend established from our October 4th high of 1.0656. Price has been moving steadily downward to today’s low of just under parity, at .9989. If price is to make new lows it must stay under resistance found at 1.0190, denoted by our 78.6%Fib line. A break above this level and a new high on the chart would indicate a validation of our daily support line seen above. 
My preference is to sell the USD/CAD against its 78.6% retracement at the 1.0190 level. Stops should be placed outside of the previous high at 1.0250. Limits should look for 1.0070 or better for a clear 1:2 Risk reward ratio. Secondary targets may search for lower lows under parity. Alternative scenarios include price breaking through resistance and moving on to new highs indicating a bounce off our daily trend line. Additional Resources Support and Resistance Video Trading Breakouts ---Written by Walker England, Trading Instructor To contact Walker, email wengland@fxcm.com.Follow me on Twitter at @WEnglandFX. To be added to Walker’s e-mail distribution list, send an email with the subject line “Distribution List” to wengland@fxcm.com.DailyFX provides forex news on the economic reports and political events that influence the currency market.
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Taking Price in to a 4Hour chart, we can see the EUR/CHF begin to consolidate begin making lower lows starting from the October 19th high at 1.2466. Price has recently consolidated at 1.2180 near the support of our 200 MVA (Simple Moving Average). Breakout traders may look for lower lows to be created once current support is broken to enter in with the broader trend. 
My preference is to sell the EUR/CHF on the creation of new lows outside of the 200 MVA. Orders should be placed under 1.2120 or better. Stops should be placed 150 pips away over 1.2270. Limits should look to first target 1.1820 for a clear 1:2 Risk/ Reward Profile. Alternative scenarios include price breaking through resistance and moving on to new highs. Additional Resources How to Trade Triangles Trading Breakouts Identify the Trend ---Written by Walker England, Trading Instructor To contact Walker, emailwengland@fxcm.com. Follow me on Twitter at @WEnglandFX. To be added to Walker’s e-mail distribution list, send an email with the subject line “Distribution List” to wengland@fxcm.com.