One of my favorite blogs is Short Side of Long, He posts some interesting stuff and is well worth the read. This morning he discussed the sentiment in the Canadian dollar via a chart from Sentimentrader.com
From Long Side of Short:
First of all, we should all know by now that the S&P 500 correlates highly with risk assets and the Loonie is no exception with a correlation coefficient over 20, 50 100 and 200 days averaging 88%. Therefore, what I did in the chart [below], was to overlap the Canadian Dollar sentiment with the S&P 500. Interestingly, the results are worth discussing.
This morning I talked about my concern over equities, and this Canadian dollar sentiment just adds another notch to my concern.
Source: Checking The Mood Of Mr Market (Short Side of Long)
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