Our most recent posts attempt to depict that there is a correlation between the FX and commodity prices or vice versa. Just compare the two most recent graphs. Over the last four years the Canadian dollar and the Canadian economy, which strengths rest in resources, has seen some serious growth. The point, strong resource or metals prices usually mean a strong dollar. Commodity prices are not the only indicator you should follow but it is just another piece of the pie and another area you should be cognizant of.

The Canadian dollar to US dollar currency pair is one which should be studied and exploited in the coming months. If you are new to the FX, it is best to sign up for a demo account and use some of their play money to test whether you have the knowledge and the stomach to play this volatile but potentially profitable game.

CDN/USD 4 Year Chart

Crude Oil

More Commodity Prices