INK Canadian Insider Index slips to 1300.67 ahead of Canada Day

Thank you for joining us in a weekly technical look at the mid-cap oriented INK Canadian Insider (CIN) Index. Despite appearing ripe for an advance based on the Index hugging the 1300 area for a couple of weeks in a row, the Index slipped last week. The INK CIN fell as much as 22 points to 1288.60 on an intraday basis (a shade below its lower Bollinger band), before scrambling to finish the week at 1300.67 for a loss of 12 points or nearly 1%.

MACD fell 2.21 points to -2.1. RSI fell 2.4 to 48.93.

Support is at 1294 and 1300. Resistance is at 1310 and 1315. While the INK Canadian Insider Index looks fairly neutral at present, its bounce off its lower Bollinger band (briefly piercing it) may be a bullish sign. While this is no guarantee of a repeat, the reversals the INK CIN enjoyed in early February and early April began after the Index initially plunged below the lower Bollinger band and embarked upon a multi-week move higher.

While the US Dollar chart appears vulnerable to a decline in the near-term, it has not yet broken down. Until that happens, The INK Canadian Insider Index and even oversold commodities like silver and copper will need to bide their time. Whether the dollar enjoys one final sprint or not remains to be seen. What is for sure is that the next couple of weeks should prove very interesting.