The Canadian dollar is almost reaching parity level with the US dollar - again. It touched 97.5c yesterday.
BNN had a segment on the loonie's push to parity. The loonie dropped a little today after the Bank of China increased reserved requirements to curb lending. Fundamentally, however, the Canadian dollar remains in a bull market.
The biggest risk is rewards favors short CAD now, but if it pushes 98 cents it could go to 1.02.
An easy way for USD-based investors to use the CAD is through the FXC ETF. Here is the 5 year chart, also showing are the buy and sell monthly alerts.
A buy and hold strategy would have returned a reasonable 9.25% since 2006.
However, by using the buy and sell alerts of the tool, the performance rises to 40.71%, which is excellent for currencies. Please click to enlarge:
To use the tool, please use this link for a risk-free trial. You can use it on any currency ETF, or any stock actually.