Just like we predicted in the SimpleFX August Forecast the month proved to be great for day traders. The markets showed some definite trends and being given the right tools SimpleFX users benefited from implementing the right trading strategy.
We predicted August to be one of the best months for margin trading crypto, stock, Forex, and commodities — it proved to be a fantastic period. Some of the SimpleFX traders made record profits in August comparable only to the cryptocurrency bonanza of late 2017. The real profits were even higher since throughout August SimpleFX benefited from the promotional 50% discount on the already low fees.
Why is trading so profitable these days? We are approaching a turning point in many markets. The global economy is approaching the peak of prosperity that may end soon. Stock, Forex, cryptocurrencies, gold, and silver are trending strongly. This creates some great opportunities, especially for SimpleFX margin traders, who can easily open long or short positions depending on the trend they see.
SimpleFX users in August traded mostly form their smartphones. The most successful traders split their time among different devices. They did some trend analysis using the desktop version of SimpleFX WebTrader, but most of their positions were open and closed with the mobile version of the app.
This is understandable due to the holiday season, and many of SimpleFX users managed their accounts spending time outdoor. As we wrote in a guide to successful trading, having a proven strategy makes it possible to make rational decisions about market entries and exits in a short time without too much analytics.
The most popular trading instruments
During the holiday season, mobile trading is the most sought after value. That is why it proved to be a peak month for apps such as SimpleFX WebTrader, which are designed to work correctly on smartphones. August proved to be the best month for the broker, as the number of active users rose by 9 percent.
What were the most popular instruments? SimpleFX traders made a profit on long positions on XAUUSD. Gold was the most popular asset in August. That’s no surprise as the precious metal has been trending up strongly recently.
On Forex as usually, EURUSD and GBPUSD dominated. The first pair has always been among the most popular, which seems odd if you consider euro-dollar is a pair that shows historically weak trends, long side-drifts, and is susceptible to manipulations by the most prominent players. That is why for beginner traders we’d instead recommend some other Forex pairs.
All pound sterling cross pairs are understandably prevalent these days. The Brexit saga makes GBP a perfect currency for reactive news-based trading. Since Boris Johnson took the Prime Minister’s office in July, there have been a series of political events that shook the British pound. Watch the situation closely as Queen Elizabeth decided to suspend the Parliament, making it easier for the government to perform Brexit. The Japanese yen, Canadian dollar, and Australian dollar were other most-traded currencies among SimpleFX traders.
Apart from Forex and cryptocurrencies, SimpleFX traders focused on oil, which is the right choice as the global economy can go North or South. The leading American stock indices also were in high demand. Both Nasdaq and S&P 500 were bought and sold very often in August.
If you are looking for investment opportunities and you would like to benefit both when the markets go up or down, try SimpleFX. There are no minimum deposits, and you can use a high up to leverage 500x if you want. Sign up to a fully functional DEMO or start trading with a LIVE account .Originally published at https://blog.simplefx.com on August 30, 2019.