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00:00CAROLINE: FROM BLOOMBERG ' S WORLD HEADQUARTERS IN NEW YORK, THIS IS " BLOOMBERG MARKETS: THE CLOSE . " I ' M CAROLINE HYDE. SCARLET: I ' M SCARLET FU. TIME FOR FUTURES. LET ' S CHECK IN WITH ABIGAIL DOOLITTLE. ABIGAIL: WE ARE LOOKING AT A PART OF THE MARKET THAT IS OUTPERFORMING A BIT. LET ' S LOOK AT THE BLOOMBERG COMMODITY INDEX. UP .6%. S & P 500 FUTURES WELL OFF THE LOWS ON FEARS THAT A PHASE ONE TRADE DEAL MAY NOT GET DONE, AND THE BIG WINNER INTERESTINGLY AROUND THE TRADE FEARS, OIL, UP 3%, BREAKING A LOSING STREAK. STRONGER-THAN-EXPECTED U.S. INVENTORIES. THERE ' S A KEY DRAWDOWN. SINCE THE BEGINNING OF THE TRADE WAR IT IS A DIFFERENT STORY BETWEEN STOCKS AND COMMODITIES. WE ' RE LOOKING AT THE S & P 500. THIS GOES BACK TO 2018, ROUGHLY TO THE START OF THE TRADE WAR. BEGINNING OF THE YEAR, THESE INDEXES BASICALLY TRACK EACH OTHER. TWO DIFFERENT SEGMENTS OF THE RISK ASSETS I LOW. -- RISK ASSET SILO. WE HAD THE VOLATILITY. COMMODITIES HAD BEEN LEADING DOWN. COMMODITIES HAVE REALLY NEVER TURNED BACK UP. THIS IS CLOSE TO AN ALL-TIME HIGH, UP 15% OFF THE TIME PERIOD. SINCE THE BEGINNING OF THE TRADE WAR, DOWN ABOUT 11%. INTERESTING TO SEE HOW THIS DIVERGENCE COMES BACK TOGETHER AT SOME POINT. JOE PERRY, THANKS SO MUCH FOR TAKING THE TIME TO JOIN US. WHAT DO YOU THINK ABOUT THE DIVERGENCE? I FEEL AS THOUGH WE HAVE TALKED ABOUT IT BEFORE AND IT DOES NOT COME ANY CLOSER TOGETHER. > > REALLY INTERESTING CHART BECAUSE STOCKS -- THE COMMODITY MARKETS ARE AFFECTED BY THAT BECAUSE AGRICULTURE IN THE INDEX. THEY ARE MOVING LOWER AND THEY ARE WAITING FOR IT TO GET DONE DOWN THE LINE HOPEFULLY BY THE END OF THE YEAR. ABIGAIL: IF A DEAL DOES GET DONE YOU WILL SEE THE POP AND COMMODITIES COME BACK HIGHER? JOE: THERE WILL BE MORE DEMAND FOR PRICES TO GO HIGHER. ABIGAIL: GOT IT. YOU USED TRADE CURRENCIES AND FUTURES. LET ' S LOOK AT THE CANADIAN DOLLAR FUTURES. JOE: YOU TYPICALLY SEE THE CANADIAN DOLLAR MOVE WITH CRUDE OIL. YOU ARE TAKING A LOOK AT CRUDE OIL, IS ON THE LAST COUPLE DAYS THAT IT WAS DOWN 5%. TODAY IT IS UP 3%, WITH HIS KIND OF NATURAL BECAUSE YOU EXPECT IT TO BOUNCE A LITTLE BIT. TODAY WE ARE LOOKING -- YOU CAN ' T SEE THAT SINCE -- YOU CAN SEE THAT SINCE 2017, IT HAS BEEN IN A TRIANGLE COMMAND A 200-DAY MOVING AVERAGE GOES RIGHT DOWN THE MIDDLE. RIGHT AT THE 200-DAY MOVING AVERAGE, IT MAY BREAK LOWER FROM HERE GIVEN THAT WE HAVE -- RIGHT ABOVE THE 200-DAY MOVING AVERAGE WRITER. ABIGAIL: YOU ARE A SELLER OF THE CANADIAN DOLLAR FUTURES. NOT SURPRISINGLY, YOU ARE ALSO A SELLER CRUDE OIL FUTURES. THE CHARTS APPEAR BEARISH FOR 50, BUT YOU SAY WE ARE GOING WELL BELOW 50. JOE: WE WORK OUT INVERSE HEAD AND SHOULDERS GOING BACK TO LAST YEAR. WE TRADE 61.8% OF THAT LEVEL. SINCE THEN WE HAVE MOVED SIDEWAYS. WE HAD THE BID UP BUT THEY CAME RIGHT OFF AND IVANKA FLAGPOLE FOR THIS CONVENTION -- THEY FORMED A FLAGPOLE FOR THIS CONVENTIONAL FLAG WE HAVE RIGHT HERE. IT TRADED BACK IN AND WE ARE DOWN 5% AND BACK TO 3% TODAY. YOU CAN ENTER LOWER, AND THEN PUT A STOP ABOUT THIS TOP TREND LINE, WHICH WILL BE ABOUT 50 OR SO. ABIGAIL: YOU ARE BEARISH ON CANADIAN DOLLAR FUTURES AND OIL FUTURES. ECKSTEIN YOU ARE BACK YOU MAY HAVE TO TALK ABOUT LUMBER. JOE PERRY, THANK YOU FOR JOINING US. CAROLINE: ABIGAIL, GREAT CONVERSATION.

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Canadian Dollar and Oil Futures Poised to Drop, ForexAnalytix's Perry Says

In this edition of "Charting Futures," ForexAnalytix's Joe Perry examines the Canadian dollar and crude-oil futures with Bloomberg's Abigail Doolittle on "Bloomberg Markets: The Close." (Source: Bloomberg)

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