Tag: Canadian dollar (CAD)

Top Fiat Currencies vs. Gold in 2021: "The Last Shall Be First"

Posted on by Aibek Burabayev

It is time for a traditional yearly post to find out which fiat could beat the conventional store of value this year; all failed last year.

Seven currencies represent the fiat money: U.S. dollar (USD) and six components of the U.S. Dollar Index (DXY) placed by weight: Euro (EUR), Japanese Yen (JPY), British Pound (GBP), Canadian Dollar (CAD), Swedish Krona (SEK) and the Swiss Franc (CHF).

Let us see below how you predicted the future back at the end of December 2020.

Currency

Most of you picked Bitcoin, aka 'digital gold,' to win the race. You were right again; Bitcoin gained more than 80% against the gold this time. I will build a separate leaderboard for cryptos in coming posts as the main coin has its universe with a pack of newbies trying to claim the throne, so stay tuned.

The regular favorite, the U.S. dollar, was the second choice this year. The third bet was not obvious to me as the Swiss franc usually has been lost in the shadows somewhere between regular champions and exotic bets. Continue reading "Top Fiat Currencies vs. Gold in 2021: "The Last Shall Be First"" →

Top Currencies VS. Gold In 2020: This "Rookie" Rocks!

Posted on by Aibek Burabayev

The time has come to see if any top currency could rival gold, which established the new all-time-high this year in this traditional yearly post.

Seven currencies represent the fiat money: U.S. dollar (USD) and six components of the U.S. dollar index (DXY) placed by weight: Euro (EUR), Japanese yen (JPY), British pound (GBP), Canadian dollar (CAD), Swedish krona (SEK) and the Swiss franc (CHF). Bitcoin (BITSTAMPUSD) is also here to represent the hyped crypto-world.

Before we jump to the results of 2020, let us see below how you predicted the future back at the end of December 2019.

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The majority of you bet that the "rookie" Bitcoin would beat all others, including the regular favorite U.S. dollar in 2020. The latter was the second choice a year ago. The third pick was interesting as it was the British pound, which was not in the shortlist of your bets before, but it managed to rank #3 last year.

Let us look at the diagram below to find out the results. Continue reading "Top Currencies VS. Gold In 2020: This "Rookie" Rocks!" →

Top Currencies VS. Gold In 2019: Last Man Standing

Posted on by Aibek Burabayev

It’s time to find out in this traditional yearly post if there were any currencies that could beat the mighty gold this year.

7 currencies represent the fiat money: US dollar (USD) and 6 components of the US dollar index (DXY) placed by weight: euro (EUR), Japanese yen (JPY), British pound (GBP), Canadian dollar (CAD), Swedish krona (SEK) and the Swiss franc (CHF). This time I added the Bitcoin from the crypto-world.

Before we get down to the results of 2019, let us see below how you forecasted the future back at the end of December 2018.

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The majority of you again, as last year, bet that the primary currency (USD) would defeat all other rivals to come out on top in 2019. The readers’ geography played a crucial role here. The second choice was the Japanese yen; I guess it was selected as it topped the chart last year.

Bitcoin ranked the third; it was the top loser last year. It looks like some readers watch my Pendulum experiments closely.

Let’s look at the diagram below to find out the results. Continue reading "Top Currencies VS. Gold In 2019: Last Man Standing" →

Fiat Majors Vs. Gold In 2018

Posted on by Aibek Burabayev

It’s time for my traditional yearly post about the dynamics of “modern” money (fiat) compared to the “old” or “perpetual” money (gold) in the current year.

Fiat money is represented by 7 currencies: US Dollar (USD) and 6 components of the US Dollar Index (DXY) placed by weight: Euro (EUR), Japanese Yen (JPY), British Pound (GBP), Canadian Dollar (CAD), Swedish kKrona (SEK) and the Swiss Franc (CHF).

Before we get down to the results of 2018, let us see how did you see the future back at the end of December 2017.

fiat

The most of you bet that the king currency (USD) would beat all the rest in 2018. Your second favorite is the single currency (EUR), which is the top rival of USD.

There could be at least two reasons for this ballot result a year ago. The first one is more obvious and is coming from the country distribution of the INO.com web traffic as more than half of it comes from the United States. The other reason is also logical as the US Dollar was the top loser last year with -10% and you could bet on it using the knowledge about the “Pendulum effect”, which pushes laggards to the top.

Now let’s move on to the results of 2018. Continue reading "Fiat Majors Vs. Gold In 2018" →

Does Oil Hold The Key To The Canadian Dollar

Posted on by Aibek Burabayev

Aibek Burabayev - INO.com Contributor - Metals - Canadian Dollar


At the end of last month, I called for a substantial upcoming weakness in crude oil as the market could have finished the long-lasting consolidation after the earlier crash from 100+ levels. Indeed, oil lost almost $4 from that time and now is rebounding as markets naturally move in zigzags.

Oil-related currencies also suffer, and in this post, I would like to share with you an exciting chart setup with tremendous profit potential for one of such currency, the Canadian Dollar (CAD) also known as “Loonie” among traders.

Before that, I built a chart to demonstrate the correlation between WTI crude oil and the Canadian Dollar.

Chart 1. WTI futures Vs. Canadian dollar futures: Perfect Correlation

Canadian Dollar
Chart courtesy of tradingview.com

In the chart above the WTI futures graph is black on the right scale and the Canadian Dollar futures graph (in US$ per 1 CAD) is red on the left scale. I didn’t add any annotations on the chart as you can clearly see that the correlation is just perfect and the most important fact is that the crucial market phases like strong moves and consolidations coincide in time. The Canadian Dollar tends to overshoot WTI amid market strength, but it is quite moderate during market weakness. Continue reading "Does Oil Hold The Key To The Canadian Dollar" →