Elliott Wave 5.0 "Reboot"

Wednesday, April 20, 2016

Canadian Dollar Bull Market Review

The Canadian dollar has been on a tear and at this time no really good correction has happened. Even the bullish phase does not look like your average clean impulse waves so I remain skeptical,  as to how long this can keep going without a good correction. 

Commercials are already in a net short position so that is also not a very promising sign. Mind you the commercials can be in a net short position for a very long time before anything can happen. They need to build a much bigger net short position before it becomes a real problem. 

Way back in March the sentiment hit a low of 6%, but I no longer get that report so I am in the dark as to how high it may have become. Either way there is more upside to come, but a correction sure would be nice. The media has talked about the 80 cent level, which means that the bulls are starting to shine under a spotlight.  When the media focus too much in one direction, then that direction is in 
jeopardy of ending or correcting.