Turning Off DailyFX PLUS Trading Signals for the Rest of the Year
Last week, we turned off the DailyFX PLUS Trading Signals. We do this every year some time in the second half of December. DailyFX PLUS users will not see any new signals until we turn the systems back on. We plan to turn them back on when FX markets return to more normal levels of trading and liquidity, which we expect to happen sometime after January 2nd, 2012.
Around the Christmas holidays, most trading desks around the world see their senior staff taking their holidays, with only a few junior people left to mind the shop. With staffing at such low levels, trading tends to be done in only small amounts, as trading desks don’t wish to extend much risk by taking large positions – especially since it might be difficult to get out of a large position during the holidays. Once New Year’s comes around, Tokyo shuts down too.
Our trading signals are issued by an automated system. The models we run were created using mountains of data covering years of price history in the FX markets. So they have been finely tuned using mostly information from more-or-less “normal” FX market conditions. As our analysts have been commenting in almost every recent article, holiday price action tends to be a bit different from the rest of the year, due to this low-liquidity environment. As a result, conditions are rather different from what our models were built around. So we turn them offevery year until market liquidity returns to more typical levels.
The DailyFX analysts and instructors are market addicts, so we will continue to follow the markets through the year-end holidays. You will be able to continue to read our daily analysis at www.dailyfx.com. We wish all our readers happy holidays and a joyous new year.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.