7/16 Forex

• U.S. dollar moves to bull phase against its Canadian counterpart on a sharp launch off of the pps moving averages.

	pps	pps open	upper pivot	lower pivot
EUR/USD US$1.2952		US$1.2236 jul01	US$1.2510	US$1.1602
USD/JPY¥86.32		¥88.30 jul15	¥91.49	¥85.29
GBP/USD US$1.5340		US$1.5176 jul14	US$1.5266	US$1.4021
EUR/JPY ¥111.82		¥110.03 jul06	¥112.46	¥103.05
USD/CAD C$1.0525		C$1.0381 jul16	US$1.1024	US$1.0291

The U.S. dollar traversed 1.7% in morning trading against the Canadian dollar.

A Reuters report, counterintuitively, blamed the fall of the Canadian dollar on worries that the U.S. economic recovery is weak. So, if the U.S. recovery is weak, shouldn't it be the U.S. dollar that suffers, rather than the counter-currencies? Just asking.

Reuters goes on to explain that the U.S. buys around 75% of Canada's exports. A stronger U.S. dollar makes Canadian goods cheaper for people in the States.

I'll note in passing that the dollar also rose sharply against the Mexican peso, with a bull signal. So in this  case, counterintuitive is the natural order of things.

USD/CAD Person's Monthly Pivots

• $1.1024, +4.7% (upper)
• $ <== You are here.
• $1.0484, -0.4% (midline)
• $1.0291, -2.2% (lower)

The analysis uses the daily Person's Proprietary Signal, developed by John Person, and the monthly Person's Pivot, which he also developed.

These are black box signals -- the "proprietary" means that Mr. Person knows how they work under the hood, and I don't. But they have shown a fair degree of success in identifying good entry and exit points, and I find them useful.

On the glance, "pps open" means the price at the start of trading in the United States on the day the signal appeared.

Disclaimer
Tim Bovee, Private Trader tracks the trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment. No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decision decisions for his or her own account, and take responsibility for the consequences.