To Trade or Not to Trade in December?

To Trade or Not to Trade in December?

by lfayman

As Tripeak posts the Holiday trading hours for CFDs and FX, I think it’s important to bring up the question about trading FX, Metals, and Spot CFDs in December.

Here are some points to consider:

•  Trade if there is a great opportunity to trade since It should not matter whether it is December 25th or July 1st.
•  You know how to take advantage of the erratic pricing
•  You will be trading on pairs of the countries whose banks that are not closed on Holidays (Australian banks will not celebrate Christmas)
•  As an Asset manager you want to finish a year with a positive trading result (catch up)
•  In some rare cases you  want to trade because the Mercury retrogrades in Scorpio and Uranus squares Pluto

Reasons to be cautious when trading in December:
1. December is one of the slowest months in FX Industry for a reason
•  Trading desks at the banks are closed or have reduced hours
•  Positions are typically have to be flat to ease the end of the year reporting

2. Volatility is limited and that means
•  Less trading opportunities
•  Erratic pricing
•  Increased slippage
3. Everyone tends to be in the holiday mood (FX industry professionals usually request time off in December)

There may be many more reasons to trade or not to trade and I really hope that you will make the only right decision so you can celebrate the New Year with a joy.

I will be interested in hearing your feedback for the reasons to trade/not to trade during this Holiday Season.

Happy Trading and Happy Holidays!

support@mt4api.net
+1-+44 20 3287 3826

Leave a Reply

Your email address will not be published. Required fields are marked *

Post Comment