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  • Finance 0

    CAD: Canada Outperformer, CAD Underperformer: Where To Target?

    Canadian figures have been encouraging, but the Canadian dollar has not really enjoyed the fruits. What’s going on? Here is the view from CIBC: Here is their view, courtesy of eFXnews: CIBC FX Strategy Research notes that the turnaround in Canada’s economy over the past six months or so has been pretty impressive, as Canadian GDP growth appears to be accelerating above the OECD average again. Yet, CIBC notes that CAD has been an underperformer recently and is the only major currency down against the USD on a year-to-date basis. “Sure, some softness in oil and CPI this week has contributed. But the BoC’s still cautious take on the ec...
    On April 24, 2017 / By
  • Finance 0

    EUR/USD Bullish Rally After 1st Round Of French Elections

    EUR/USD 4 hour The French voters choose novice centrist Macron and far right candidate Le Pen during the first round of the Presidential election in France, which took place on Sunday 23 April. None of the candidates reached the 50% threshold and hence a second round will occur with the two candidates on Sunday 7 May. The EUR/USD reacted bullishly to the news, most likely due to the prospect of Macron winning the second round of the French Presidential elections. Macron is in favour of the EU and the Euro currency, which is exact opposite position of Le Pen. The EUR/USD broke above 1.09 and thereby changed the wave structure as a larger corre...
    On April 24, 2017 / By
  • Finance 0

    Is It Time To Be Bullish On The Dollar?

    Is it time to be bullish on the Dollar. One thing is for sure….The Dollar is now at a  HUGE support level that could decide longer-term trend. USDX The 98.80-99 level is very important to support. A strong upward reversal at least towards 100.80 could start from current levels. EURUSD As I pointed out a few days back, as long as we trade above 1.0550 the move towards 1.09-1.10 is the most probable one. #EURUSD as long as price is above 1.0550 this is the most probable scenario pic.twitter.com/Mymo3vsciX — Alexandros Yfantis (@alexanderYf) April 20, 2017 Is it time now to sell EURUSD? Maybe…but the risk reward favors bearish positions a...
    On April 24, 2017 / By
  • Finance 0

    E Why Now Is The Perfect Time To Buy U.S. Stocks?

    Right now is one of the best times to buy stocks in years. The past few years have not been conducive to stock market gains. 2014 saw world economies get rocked by crashing oil and commodity prices. 2015 saw emerging markets (namely China) experience rapidly declining economic growth. 2016 saw political uncertainties. But now, the long-term picture is finally clear again. All the political uncertainties have disappeared. With Macron winning the most votes in the first round of the French election, it is almost certain that he will beat Le Pen in the 2nd round on May 7. Le Pen is dangerous to the markets because she wants France to leave th...
    On April 24, 2017 / By
  • Finance 0

    Crise: “Enjoy The Party Markets, But Beware The Hangover”

    The second round of the French elections is set. It’s Macron vs. Le Pen in what’s generally considered to be a market-friendly outcome. The idea is that there’s simply no way Le Pen can come out ahead. And although we can probably take some solace in the fact that this makes two times in a row (the other being the Dutch elections) that pollsters haven’t gotten blindsided, we aren’t out of the woods just yet in France. And even if we are (that is, even if the polls are correct to suggest that Macron will cruise to a 62-38 victory), the market may quickly pivot to other concerns. Concerns like what’s going on (or, perhaps more app...
    On April 24, 2017 / By
  • Finance 0

    To Frexit Or Not To Frexit

    This was also a holiday-shorted week. As we write this, the big news comes from the election in France. The leading candidate is a banker named Emmanuel Macron, with about 24% of the vote in a 4-candidate race. The anti-euro Marine Le Pen came in second with just over 21%. From the sharp rally in the euro, which was up about 2% at one point, we assume that observers believe the odds of France leaving the euro have just gone down. Of course, France (and the other European countries) faces a false alternative (well they ought to consider Keith’s gold bonds proposal, but that is not on the table). Staying with the euro means ongoing wealth d...
    On April 24, 2017 / By
  • Finance 0

    Long-Term Price Targets Are Meaningless

    Many commentators like to speculate on where the dollar-denominated gold price is ultimately headed. Some claim that it is destined to reach $3,000/oz, others claim that it won’t top until it hits at least $5,000/oz, and some even forecast an eventual rise to as high as $50,000/oz. All of these forecasts are meaningless. Long-term dollar-denominated price targets are meaningless because a) they fail to account for — and cannot possibly account for, since it is unknowable — the future change in the dollar’s purchasing power, and b) the only reason a rational person invests is to preserve or increase purchasing power. To further explain...
    On April 24, 2017 / By
  • Finance 0

    Watch-List Stocks To Trade

    Le Pen and that left wing nut didn’t take first and second, so the futures are liking the notion a centrist is likely to win the second round (Macron), as if this is some kind of bracketology, a la March Madness. Nonetheless, I booked some profits in my long positions on Friday with UPRO and BA. Yeah, it would be nice to have held on to these positions over the weekend, but c’mon, I’m not a french political expert and neither are you, and had the elections turned out differently , we’d be looking at a 200 point gap down. Fortunately, the market got the best case scenario. Le Pen, won’t win the next round, final r...
    On April 24, 2017 / By
  • Finance 0

    Forex Week In Review – Monday, April 24

    Last week was a mixed affair for the world’s major markets as investors cogitated a surprise UK election and the ramifications of the French presidential election. In Europe over the course of the week, the FTSE was down on last week’s close by 2.9% at 7114.6; the Dax ended at 12049, down by 0.5% on last week’s close; the CAC was down by 0.23% to end the session at 5059.2. The Dow ended the week up by 0.46% to close at 20548. The Nasdaq composite index was down by 1.8% over the course of the week at 5910.5. The Nikkei 225 ended the week’s trading up by 1.6% to end the session at 18621. Currency Markets Review  On the currency markets...
    On April 24, 2017 / By
  • Finance 0

    USD/CAD Elliott Wave View: Ending 5 Wave Impulse

    Short term Elliott wave view in USDCAD suggests that the cycle from 4/13 low (1.3218) is unfolding as an impulsive Elliott wave structure. This 5 wave move could be wave ((a)) of an Elliott wave zigzag structure or wave ((c)) of a FLAT correction. In either case, after 5 wave move ends, the pair should pull back in 3 waves at least as the Elliott Wave Theory suggests. Minutte wave (i) ended at 1.3337, Minutte wave (ii) ended at 1.3261, Minutte wave (iii) ended at 1.3498, Minutte wave (iv) pullback ended at 1.3455 low and above from there Minutte wave (v) of ((a)) already reached the minimum extension area between 1.3509-1.3527 which is t...
    On April 24, 2017 / By