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June 28, 2018 | USD/CAD Daily: Maybe a Corrective Top in Place? Gold Correlation?

Jack has over 20 years experience in the currency, equity, and futures arena. He is an investment advisor who has held key positions in brokerage, money management, trading, and research. Jack is founder and president of Black Swan Capital LLC. He was also founder of Ross International Asset Management (specializing in global stock, bond, and currency asset management for retail clients) and General Manager of Plexus Trading (specializing in currency futures and commodities trading).

USD/CAD Daily – Corrective top may be in place…(and gold correlation)
28 June 2018/9:01 a.m. ET

The corrective top labeled Wave A may be in place for USD/CAD.  Near-term support at 1.3256 with scope back to at least 1.2900 level if this A Wave is complete.  Gold price action may help, as the two have been correlated in here (second chart below).

062818 cad daily.png

USD/CAD versus Gold (price inverted): The price series have been well correlated; thus a strengthening dollar should coincide with gold strength if this correlation continues.  Gold does appear a bit “oversold” at the moment. (see next chart below)

062818 gold vs cad.png

Gold Daily: Testing key swing low support and looking a bit “oversold.”

062818 gold.png

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June 28th, 2018

Posted In: Black Swan Currency Currents

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