CAD MEDIUM TERM SHORT: Massive divergence between DXY and CAD
The chart shows INVERTED dollar index (blue) vs CAD index (candles).
There is a clear correlation between inverted dollar and CAD - that is, a stronger dollar negatively impacts CAD - likely since a stronger dollar weighs on commodity prices in general.
At present, there is a strong divergence between CAD index and inverted dollar.
This needs to be corrected.
Sustained dollar strength should lead to a fall in CAD in the medium term.
There is a clear correlation between inverted dollar and CAD - that is, a stronger dollar negatively impacts CAD - likely since a stronger dollar weighs on commodity prices in general.
At present, there is a strong divergence between CAD index and inverted dollar.
This needs to be corrected.
Sustained dollar strength should lead to a fall in CAD in the medium term.
Trade active:
In progress, CAD weakening
Comment:
Going well
