Visial USD/CAD this year

Discussion in 'Forex' started by kalzayani, May 31, 2007.

  1. I can't believe it got that low last night. One of these days your gonna wake up and cad will have blown past parity. Usd is to week, cad is too strong
     
    #121     Sep 17, 2007
  2. plugger

    plugger

    Cdn dollar is overvalued at this point. Purchasing power parity indicates that the loonie needs to fall. Cdns are able to cross the border into the U.S. and buy goods cheaper than in Canada (even when duties are taken into account). However, as Keynes said, "markets can stay irrational longer than you can stay solvent".
     
    #122     Sep 17, 2007
  3. Kin...
    IMO USDCAD will cross Parity
    in the very Long term
    This is a correction...but a large one IMO
    I would be shocked to see it at 1.19...
    But 1.07 for me is an easy target for now

    gl bro
     
    #123     Sep 17, 2007
  4. I think will correct before the fall
    1.07 at least
    :D
     
    #124     Sep 17, 2007
  5. No duties on goods imported from US (unless they came into the US from a non-NAFTA country). You have to pay GST/PST coming back in, but you do anyway. On the other hand, with the price of gas being what it is, that's a disincentive, plus the time factor unless you live in Windsor or Fort Erie or someplace like that.

    I no longer have any idea what's going on with USDCAD. $80 oil is pushing the loonie up, for sure, but I can't see any reason for $80 oil. Considering buying some November nickel put options on an oil stock ... sure it's a long shot, but possible that 100 contracts you paid $650 for with commission will be worth $10,000 or even $100,000 after the traditional October crash - not bad odds.

    Meanwhile, with USD plunging everywhere (USDCHF at 1.1867!), USDJPY is looking overpriced at 115+. At PPP it should apparently be worth around 109, and even if it doesn't get that low, 113 in a week or so looks well within reach. I have shorted at 115.11 with stop at 115.50 and target at 113. Wake me up when USDCAD makes up its mind.
     
    #125     Sep 17, 2007
  6. not sure either GS

    I trying these for a while

    EURUSD

    Sell Buy
    1.3939 1.3417
    1.4051 1.3303
    1.4163 1.3190
    Date 11/14/2007

    USDJPY
    Sell Buy
    116.0152 110.8133
    116.9291 109.5521
    117.8431 108.2908
    Date 10/6/2007

    GBPUSD

    Sell Buy
    2.0703 1.9745
    2.0917 1.9535
    2.1131 1.9324

    USDCHF

    Sell Buy
    1.1956 1.1660
    1.2016 1.1604
    1.2076 1.1548
    Date 9/25/2007


    gld
    Sell Buy
    69.4030 62.7267
    70.8690 61.2611
    72.3349 59.7955
    Date 11/28/2007

    slv
    Sell Buy
    129.0257 107.3063
    133.7958 102.3666
    138.5659 97.4269
    Date 11/28/2007

    uso
    Sell Buy
    60.9764 52.9956
    62.6683 51.3075
    64.3601 49.6194
    Date 10/11/2007
     
    #126     Sep 17, 2007
  7. So let's see now. People weren't sure whether the Fed was going to drop rates by .25 or .50. They dropped them by .50
    and dropped the discount rate by .50 as well. Predictably, USD
    went down against everything in sight - except JPY, which zoomed to a 1-week high. USDJPY being driven by the carry
    trade, which is now much less attractive than AUDJPY, NZDJPY,
    GBPJPY or EURJPY, this makes sense how?

    (I made a bunch yesterday playing USDJPY to drop, then a bunch more backing EURUSD, and then lost it all back playing for USDJPY to make sense. Arrrgh.)

    Looks like USDCAD is going to make parity after all. I eat many words. Despite that, shorting it at 1.013 is a bit too much for my nerves.
     
    #127     Sep 18, 2007