We are now seeing the Canadian Dollar weakening vs the US dollar and heading toward key support levels. Considering Canada's weaking trade balance reflecting declining commodity prices and especially the $30-40 lower price differential between WTI oil and Canadian oil exports.
The following chart from Danielle Park's Juggling Dynamite web site.
It may now be time for a double play for Canadian investors/speculators to be long the US dollar and short the EURO currency. The following chart from todays EWI Financial Forecast shows the Euro breaking below the 6 month bear market rally trendline.
It may be once again time to go short the Euro vs US dollars. My favorite vehicle to do this is the ProShares Ultra Short Euro ETF (EUO-NYSE). A short term bounce up toward 1.33 would provide an ideal entry point to buy EUO.
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