INK Canadian Insider Index awaits US dollar top

Thank you for joining us in a weekly technical look at the mid-cap oriented INK Canadian Insider (CIN) Index. The Index had a quiet week of consolidation, twice pulling back to the low 1300s (and Bollinger band midpoint) where it also bounced twice before closing at 1312.32 for a loss of 1.83 points.

MACD fell 1.32 points to 0.10. RSI fell 8.41 to 51.32.

Support is at 1293 and 1302. Resistance is at 1315 and 1320.

The INK Canadian Insider Index continues to consolidate above the 1300 area which was formerly an area of resistance. As such, 1300 may be a staging area for the next leg up. What's more, the US dollar appears to be topping based on sentiment (speculators who tend to be wrong at extremes, are now heavily long) and based on deteriorating momentum indicators. What's key here is that a correction in the US dollar would likely send the INK CIN and Canadian stocks into rally mode.