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How did seasonal patterns performed this April

Forex Trading

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The first astronomical hour has elapsed since the new trading month and unfortunately the long-term trend of low FX volatility continues.

However, there were a lot of ways to make money, and one of them was again to bet on the seasonal models. They are one of the things that should not work, but over and over again, they seem strangely effective.

Let's look at 5 of the strongest and most time proven models and how they performed over the past month.

1) Natural Gas Long

Natural gas has risen in April for the past 9 years, but this trend ended last night. NATGAS dropped 2.97% for the month, despite a good rise from last week. The increase in parts is due to the longer-than-expected winter in North America, but also (and to a greater extent) by the exceptionally large quantities of natural gas being produced.

Conclusion: Loss

2) Profits from Canadian Dollars

The Canadian currency has made a sharp leap in the last trading day of the month, due to the fact that worries about the country's GDP are declining. BOC also believes that there will be a leap in the economy in the second half of the year. For each case, the currency is 0.3% lower for the month. Delay in oil profits and poor performance of gas hurt the currency.

Conclusion: Moderate decrease

3) Weakness in the dollar index

The dollar index was 0.17% up for the month, but it was a disappointment for both sides of the deal. There seemed to be a breakaway, but last week's GDP data stopped the move.

Conclusion: EUR/USD remains virtually unchanged for the month

4) Times are excellent for investing in stock markets

Buying in April is a proven strategy that has passed the test of time. The S&P 500 is up 4%, FTSE 1.9%, DAX 7.1%, and Nikkei up 5.0%. The only exception comes from CSI 300, which lost 1.5% after reports of lesser stimulus from China

Conclusion: We'll see you next year for another round

5) April without problems is the best month in the calendar for the pound

It took 29 days, but the GBP/USD longs finally won. The pound is the best-performing currency of G10 for the month after the profit of 110 pips yesterday. Technically, it was obvious that there would be a negative breakthrough last week but there were too many false signals. Overall, this is an impressive performance in a month when there were a lot of bad news.

Conclusion: Seasonality weighs above the fundamentals during the month


 Trader Aleksandar Kumanov

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