The US Dollar has depreciated since the last post. At the moment, Jan 29, 2018, 5:58 p.m. EST, DXY is at 89.37.
A few days ago from January 29 during Davos, the president of the US said "he expects a stronger dollar". Just because he said it doesn't make it true, but now there some perception the US economic policy has change to a appreciating dollar. Because of that fact, it would be difficult to try to predict the trend, thus increasing the probability of losses. Situation when a head of state of central back president talks about changing economic policies increases the risk. The price of the currency may shift. Because risk has increase, it would be a good idea to be off the markets until new clues emerges of where the price of currency pair may go. US State of the Union is tomorrow the January 30th where clues about future economic policy may be said. Also the FED is going to give their interest rates decision on the 31st. This two social factors could lead to more clues to where there the dollar is going to appreciate or depreciate.
The price of: currency, commodity, security, reflects social factors like: unemployment and central banks policy. The goal is to find patterns that match social factors: central bank policies, with trends on prices of currencies like EURUSD or prices of other assets. If done properly and having an understanding of risk, it could be profitable.
