We all know that traders and financial analysts love making predictions. Here are some of the key predictions regarding Forex in 2017, as well as a quick guide to earning even more than you already are doing on your trades this year.
Falls in the Euro and an erratic dollar
Forex analysts predicted that 2017 would be a year in which the dollar and the Euro both declined. Whilst this has been true of the Euro, the same cannot be said of the dollar thus far into 2017, which has been rising and falling in a somewhat erratic fashion. Many analysts attribute this effect to the Trump presidency destabilising the dollar by plunging the markets into a state of uncertainty. Another, related, phenomenon that we have witnessed in 2017 is opponents of Trump claiming every fall in the dollar to be a sign that he is doing badly, and Trump’s supporters claiming every hike in the dollar as a sign of his success. Rather, it is the erratic pattern of hikes and falls that we should be looking at. These predictions are a stark illustration of how closely intertwined economics is with politics, and how frequently financial analysts need to be good at modelling political events, too.
The pound rising against the dollar
As we have seen from the above, it is hard to measure anything accurately or predictably against the dollar so far this year. However, it does seem to be the case that, in general, the pound is rising against the dollar at the moment. This is good news for anyone trading in US stocks and converting their dollar gains to GBP, but it is potentially bad news for anyone who is making exchanges the other way around, or any British citizens who are going on holiday to the US as they will have fewer dollars per pound to spend.
The pound and the euro are evening up
Currently the euro is weak against the pound. However, in a startling forecast, many analysts (including the pound centred site Pound Sterling Live) have formulated the prediction that by the end of 2017, the pound and the Euro will totally even up. The result of this will be that one Euro will be worth pretty much the same as one pound. This is pretty much unprecedented in the history of finances, and many commentators may well look upon any indication that the pound and the Euro are evening out as a sign that the Euro is not working. So, expect Eurosceptics to be watching this aspect of the markets very carefully.
How to earn even more money in 2017
The above three examples are just a handful of ways in which the markets are predicted to shift and change in 2017. As such, trading can seem like a daunting prospect, as values change from one day to the next. Nevertheless, there are some strategies that you can deploy in order to ensure that you can earn more even when the dollar is rocky, the pound unevenly hikes against it and it becomes increasingly less worthwhile to exchange your Euros for pounds (and vice versa).
Use binary options trading software
Both beginner traders and established traders are increasingly using binary options trading software (of the kind that is made available by CMC markets) to make their trades less risky. Binary options trading software simplifies all of the uncertainty surrounding trading and boils down each trade to two simple options: Call or Put. What is more, you will not even be left completely alone to decide between these options as the software will indicate for you which one is the best option to choose.
Short time frames
As has been amply outlined above, 2017 is causing a stir already among traders due to the fact that very often the markets are shifting dramatically literally overnight. This is another reason to utilise binary options trading software because this software imposes very tight time frames (generally as little as 30 or 60 seconds) for you to make a decision on a given asset. That means that there is very little chance for that asset to shift in value.
Achieve complete automation in your forex trades by setting up the software to ‘decide’ for you about which assets to trade on and which assets to leave alone. Doing this means that you do not even need to be sitting at your computer or on your smartphone to make those trades. You can just set the platform up with your preferences and then go about your daily business. At the end of the day, just lift the lid of the laptop and see how much money you have made.
Summary: predictions for 2017 and how to increase your gains
A year of uncertainty in many ways, 2017 looks as if it will be a year marked by the fact that the pound continues to hike against several world currencies, most notably the dollar and the Euro. A good way to counter this uncertainty would be to start using binary options software to help you to make the best decisions on your forex trades.