There is a relationship between the USD and the stock market. Below is a pretty long chart of the S&P 500 (red line) vs the USD (black line). It goes back to 1990. I’d like to note that the USD index displayed is that of the USD against a world basket of currencies. This is Read More
Loonie’s northern journey ends soon
Loons fly north from their southern retreats as spring approaches. So too do Canadian retiree’s known as “snowbirds”. The Canadian dollar, affectionately known as the “loonie”, follows that same desire to fly north as the weather begins to warm. Our friend Jon Vialoux over at www.equityclock.com presents this seasonal chart for the CDN$. Notice how Read More
Comfortably numb
This blog is a recap of a client update that we are sending out. I thought it would be of use to you for some forward strategy pondering. BTW – if you don’t already subscribe, our newsletter is sent out once or twice a month. It’s a recap of our client update, ex the Read More
Ask me anything: Answers
Thanks to those who posted questions for this “Ask me anything” blog. I’ve chosen a few of them that I thought would be of interest to the widest number of readers. Let’s get started. How to buy stocks One reader asked me to write a blog on how we at ValueTrend buy stocks – Read More
Loonie flies south again
Canadian loon’s wisely leave my cottage every year around this time of the year to fly south. If I could hitch a ride, I would. The Canadian loonie looks like it has begun its trip south, too. After flying south to below $0.70 in early 2017, the loonie had risen back to $0.83 on hopes Read More
TSX spikes out of downtrend. Is this a trend change?
Below is the chart of the TSX with its recent move through the downtrend. Technically, I like a minimum of 3 days—and even better, 3 weeks for a breakout from a consolidation (bottoming pattern) or a downtrend. Further, I like to see the last high AND the last low taken out to prove that breakout Read More
How much upside is left for the loonie?
Here is a chart of the loonie that I’ve been tracking for some time. You will notice the big trend has been down since 2011. It looks to have been broken. However, there is massive resistance at just under $0.84. I noted this in a blog quite some time ago and suggested a target of Read More
USD oversold
The chart below shows us that the USD, as compared to a basket of world currencies, is near long termed support and its 200 day MA. Momentum is signalling oversold in a significant way. Sentimentrader.com shows us that commercial hedgers are overly bearish via their hedge positions. This is almost the EXACT Read More
Yen bounce suggests weakness for the Nikkei
The yen is beginning to outperform the USD. I’ve noted in the past that when the Yen rises, the Nikki stock market tends to underperform. Here’s a blog explaining that phenomenon. Below is the Yen/USD chart. Note the bounce off of support for the Yen/USD ratio. This suggests the potential for a nice rally on Read More
Follow the big red line
The dominant trend for the loonie has been indisputably down since 2011. Follow the big red line on the chart below. Any questions? This downtrend, BTW, coincides with the 2011 commodity peak and steady decline. As most of you are probably aware – the loonie has a very positive correlation in price movement to Read More