Technical Indicators That Actually Work on 6C Futures
6C CAD/USD futures don’t need a messy chart. CAD respects structure, oil correlation, and trend logic. Most indicators just lag and confuse beginners. There are only a handful of tools that consistently add value to 6C trading. Everything else is noise.
The Indicators That Actually Help on 6C
1. 20–50 Period Moving Averages (Trend Filters)
CAD trends cleanly when oil or USD set direction. The 20 and 50 period EMAs are perfect for identifying trend strength and high-probability pullback entries.
- Price above 20/50 → bullish trend
- Price below 20/50 → bearish trend
- Pullbacks into the 20/50 → high-win-rate entries
Don’t use moving averages for cross signals—they’re laggy and useless.
2. ATR (Average True Range)
ATR tells you the volatility environment so you don’t put tiny stops in a big-moving day or oversized stops in a slow day.
- High ATR → wider stops, bigger swings
- Low ATR → tighten risk, expect chop
ATR also helps position sizing—critical for a $10-per-tick contract.
3. Volume Profile
6C respects volume shelves, HVNs, and LVNs extremely well because CAD is traded by institutions tied to oil and interest rate flows. Use volume profile to spot:
- Value area highs and lows
- Low-volume rejection zones
- Major POC flips
This is one of the only “advanced” tools worth having on the chart.
4. Correlation Tools (Oil + DXY)
Not a classic indicator, but essential. Use a multi-chart view or correlation indicator to track crude oil and the USD index.
- Oil moves → 6C reacts
- USD moves → 6C reacts in the opposite direction
If you ignore correlations, you're trading blind.
Indicators That Don’t Work on 6C
Here’s the blunt truth: most retail indicators add zero value to CAD/USD futures. Avoid these:
- MACD — too laggy for both trend and reversal signals.
- RSI — “overbought” means nothing in a trending CAD market.
- Stochastics — gives nonstop false signals.
- Bollinger Bands — unreliable due to correlation-driven volatility shifts.
- Pivot Points — only work when they line up with real structure.
Indicators aren’t magic. CAD moves because of fundamentals, not because RSI hit 70.
How to Build a Clean, Effective 6C Chart
Your chart should be simple:
- 20 EMA
- 50 EMA
- ATR for stop sizing
- Volume profile for context
- Oil + DXY on side chart or panel
This setup covers trend, volatility, structure, and correlations—the only things that matter in 6C.
Final Thoughts
6C doesn’t require fancy indicators. Use tools that help you read trend, volatility, and correlation. Ditch the retail clutter. CAD respects clean structure and big macro drivers, and your indicators should reflect that.