FX:USDCAD   U.S. Dollar / Canadian Dollar
The USD/ Canadian Dollar has been bouncing between a base at 0.98-0.97 and massive resistance at 106-105-104 for the past 6 months.

The price is quiet here against this 0.9900 level and it appears that the downside momentum is over for the time being.

I can also imagine that investors have been hiding in the Canadian Dollar for the past few years as a resting place for financial markets to settle out. Now that Gold is struggling to perform and US Gov't bonds are also under pressure, it may be time to look for a meaningful appreciation of the US Dollar in the next few quarters.

Upside to 106 to 108 with risk to 0.97 from 0.9931 last. Upside 7-9, downside 2.

By: Technical Tim, March 21, 2012 11:01AM EST
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The projected movement in USDCAD has been reasonably accurate to what has transpired. More upside ahead.
This chart of the USDCAD is coming along nicely so far.
Do you suppose that stock market will rise too? I do this question because the correlation between Canadian Dollar and S&P is very high.
timwest Filibuster
I am constructive on the stock market overall. Have you seen my stock market (DIA) forecasts?
JereWS Filibuster
As this is USDCAD there is an inverse correlation, CAD/USD is correlated to the SP500 as is AUDUSD.
timwest JereWS
I appreciate your comment. Long term I don't view the connection between these markets to be much more than noise. I made my case that people will begin to exit safe-haven investments and if you view the Canadian Dollar as such, then I believe it will lag the USDollar going forward.