June is now getting closer to an end and its been another month of profits, with Ultra low risk, despite of the added positions made to bring up the daily target. Drawdown is at this moment 0.8% and the account is now having a net profit of 26.2% , so well in range of its target.
All in all then the set up is the best combination we could imagine, Kiwi and Aussie remain faithfully sideways as usual and the extra added EURUSD positions does the rest, so not much could be changed to do it even better.
Aussie has been trading in a 400 pip range all year and Kiwi in a 500 pip range, both being very stable against the weakening USD. The USD is battered and far away from the strength we have seen in previous years. The FED went for another hike and expect another to come later this year, however the effects on the markets have been less than positive and as we saw with the previous hikes, then it rather weakens the USD, mostly due to the inflation is not kicking in, data is disappointing and the FED hasn´t got much credibility left. Its ok to say that inflation issues are only temporary but the figures do not support this statement and some impressing data is needed now to change anything about the sentiment. Also Trump is not getting much support for his agendas, so here we also see weakness. All in all we can expect the USD maybe to go for another rise, but it should be the last of its kind as the long term demise is seen for that “King of currencies” something which really should have happened a long time ago,but better late than never, but its been flying too high the last few years, so I do see a significant drop here in the medium/long term. Also EURUSD has been up and down since the election, first down and then slowly upwards. the Euro is not performing too well though, so all this is mostly based on the USD weakness, but there´s more optimism surrounding the EU data than from across the pond. Also Draghi should be getting closer to tapering as we get into the year, so follow his speeches and statements closely in the future.
For those who sent me PM´s about when the best time were to invest, I would say that due to the very low DD now would be the time, also for those who missed the opportunity to withdraw profits last time we were close to the top, now should be be just fine too.
Have an awesome end of the month and stay safe !