How to trade the Canadian dollar

The exchange rate between the Canadian and US dollars is one of the most watched. John C Burford explains how he latched on to a long-term trade.

As a one-time resident of Canada, I well remember the anguish many Canadians felt about the dollar exchange rate and they still do. This is because most Canadians live very close to the US border and visit the States frequently.

Not only that, but there is massive cross-border trade, which is sensitive to the exchange rate. US imports into Canada become more expensive as the Canadian dollar weakens.

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John is is a British-born lapsed PhD physicist, who previously worked for Nasa on the Mars exploration team. He is a former commodity trading advisor with the US Commodities Futures Trading Commission, and worked in a boutique futures house in California in the 1980s.

 

He was a partner in one of the first futures newsletter advisory services, based in Washington DC, specialising in pork bellies and currencies. John is primarily a chart-reading trader, having cut his trading teeth in the days before PCs.

 

As well as his work in the financial world, he has launched, run and sold several 'real' businesses producing 'real' products.