Trade24Fx

News background and trading ideas for 26/12/2018

Short
TVC:DXY   U.S. Dollar Index
Despite the holidays, the turbulence remains in the world. After Trump presidency, it’s very easy to find a chief troublemaker. And now again he continues to create tension and doesn’t allow traders to take some rest and enjoy with a festive feeling.

The US stock market has fallen before the Christmas, oil prices have crashed, it is stormy on the cryptocurrency market, the dollar is sold off - and this is just a part of a news background or its consequences more precisely. Do not either forget about the Fear Index (VIX), which literally took off to the area of maximum values in 2018.

Looks like Trump decided to make enemies literally of everybody up to end of the year. The US Secretary of Defense Mattis resigned, a scandal with Democrats led to another shutdown, and the accusations of Fed Chairman Jerome Powell of all the sins of the US economy gave rise to rumors about the imminent resignation of the head of the Central Bank, and finally knocked investors out of emotional balance.

Amid all these tensions we would like to pay our readers attention one more time to the long-term deal on selling the dollar. After it 10% growth in 2018, the dollar possibly can suffer equivalent losses in upcoming 2019. So we continue to recommend mid- and long-term sales of the dollar.

Recall that our current recommendations besides the general one of the dollar sales in the foreign exchange market include sales of oil, the Russian ruble, as well as purchases of the gold and British pound.

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