Canada is on sale

February 1, 2025 Leave a comment

The #CAD/USD is registering a weekly oversold reading.

The larger picture sees the #Loonie (not withstanding the lower spike in January 2016 and March 2020) trading at its lowest against the Greenback in 22 years.

American companies would be well advised to buy up cheap Canadian assets and see if they can work their way through alleviating tariff concerns……

or perhaps Americans can buy property in Alberta, Newfoundland/Labrador, Nova Scotia or New Brunswick?

and possibly immigrate??

At the very least, #Canada is on sale, on a USD basis……

February 1, 2025

rob@karriasset.com.au

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22 year low in the CAD/USD

January 18, 2025 Leave a comment

The #Canadian Dollar is at its lowest weekly and monthly closing price since April 2003.

On a weekly basis, it is trading at one of my extremes.

Not yet on a monthly basis,

but there lows in the #loonie correlates to the overall #commodity complex.

January 18, 2025

rob@karriasset.com.au

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Unloved CHF = buy equities

September 2, 2024 Leave a comment

When the CAD/CHF is declining, ‘they’ are selling the Loonie and huddling into the safety of the Swissie.

This happens when ‘we’ don’t fancy a risky environment. That also means risker assets such as equities are also being aggressively disposed.

While not to be used in isolation, the study below shows 16 moments (over the past 40 years) when the CAD/CHF registered a Monthly RSI reading of less than 33.

When it does, perhaps ponder increasing your asset allocation towards equities.

The nuance is which equities (market) to buy.

Currently, it’s close but not there yet.

And remember, currencies don’t lie or tell stories.

September 2, 2024

by Rob Zdravevski

rob@karriasset.com.au

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The Loonie, inflation and commodity prices

July 27, 2024 Leave a comment

The Canadian Dollar will appear in some ‘extreme’ categories in tomorrows edition of Macro Extremes.

The study below shows the CAD/USD dancing with the Bloomberg Commodity Index and the Canadian Inflation Rate.

Incidentally, that Canadian inflation rate has eased from 8% to its current 2.7%.

July 27, 2024

by Rob Zdravevski

rob@karriasset.com.au

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Currencies are in focus again

May 6, 2021 Leave a comment

I’m watching currencies a little more closely this week and their subsequent relationship to commodity prices.

Currently, the Canadian Dollar (vs the USD) is registering an Overbought extreme not seen since September 2017 and again in April of 2011.

Furthermore, the AUD/USD (0.7730) is showing trending signs of moving lower.

Today, the AUD/JPY (84.53) has posted a bearish outside reversal day.

Should the 2 latter currencies confirm their new downtrends, expect to see lower commodity prices.

The consensus and herd are all long commodities at the moment and not many think they can go lower.

An unwinding of some historically ‘long’ contract positions being seen in the futures markets could turn ugly, especially if the Loonie (CAD) trades below 0.7950.

May 6, 2021

by Rob Zdravevski

rob@karriasset.com.au

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