The week of April 26th to May 1st is expected to be volatile.

Three major economies in the world are giving out important economic numbers.

On April 29^th, the US is giving out its Gross Domestic Product Annualized and is expected to be at 1.1%. That is lower than previous 2.2% from March 27^th. Latter on the day, the FED is expected to give it’s interest rate decision. Economist and investors are waiting for an increase in interest rate by the FED. As an economist, I am planning accordingly and going to invest with that in mind. If we get good numbers from GDP and an increase in the interest rate, it is going to make the US dollar appreciate. The pairs that I am focusing on are the EURUSD, USDJPY, and the AUDUSD. If the GDP numbers are not good and the FED decides to leave it’s interest rate at .25%, the US dollar is expected to depreciate.

The BoJ is giving it’s interest rate decision on April 29th and is expected to be at 0.1. The BoJ hasn’t said anything about increasing or lowering their interest rate. According to the BoJ economic plan, their interest rate is going to be left at 0.1 for the near and long term future. That is because the BoJ is still depreciating the yen to increase inflation. Japan was in deflation and has implemented economic policies to increase inflation and thus increase consumption. An increase in the interest rate would not help in increasing inflation, so the interest rate for Japan is expected to stay the same.

On April 30^th, German and Italian unemployment rate are going to be given. German unemployment rate is at 6.4% and is expected to stay at 6.4%. The German economy is one of the top performers in Europe. On the other hand, Italy’s unemployment rate is at 12.7%. There is no expectation for what the new unemployment rate is going to be for Italy, but it would not diverge much from it’s current rate of 12.7%. Latter on the day, the EU is giving out it’s CPI index and is expected to be at 0%. That is going to be 0.3% higher than previous CPI of -0.3%. This CPI numbers from Europe are not good. These are numbers of deflation in the economy. Japan was in the same situation until the implementation of QE and that is why the ECB has the same economic plan. QE has helped Japan get out of deflation and thus is expected to work for the Europeans as well. That means that the euro is expected to depreciate just like the yen did.

Total gains: $140,335. Manage to get $2,334.6 of gains since April 22. At the moment my gains from open positions are around -11,000. I am hoping that this week will see the USD pattern to reestablish and turning the -11k into positive. Open positions that are EURUSD - Short, EURAUD - Short, EURJPY - Short, USDJPY Long, AUDJPY Long, and AUDUSD - short.