Don’t waste your time – keep track of how NFP affects the US dollar!

Data Collection Notice

We maintain a record of your data to run this website. By clicking the button, you agree to our Privacy Policy.

facebook logo with graphic

Join Us on Facebook

Stay on top of company updates, trading news, and so much more!

Thanks, I already follow your page!
forex book graphic

Beginner Forex Book

Your ultimate guide through the world of trading.

Get Forex Book

Check Your Inbox!

In our email, you will find the Forex 101 book. Just tap the button to get it!

FBS Mobile Personal Area

market's logo FREE - On the App Store

Get

Risk warning: ᏟᖴᎠs are complex instruments and come with a high risk of losing money rapidly due to leverage.

77.93% of retail investor accounts lose money when trading ᏟᖴᎠs with this provider.

You should consider whether you understand how ᏟᖴᎠs work and whether you can afford to take the high risk of losing your money.

Worst Awaits Risk Assets in September

Worst Awaits Risk Assets in September

Information is not investment advice

In 2021, the S&P 500 lost 4.76% in September. What will happen this time?

There is a possibility that this scenario may repeat itself. Investors' fears are not unfounded because September is the worst month for the index. According to the historical dynamics, S&P 500 (US500) has been declining in September by 0.65% over the past 38 years.

1111111111111111111111.jpg

September S&P500 (US500) index performance since 1985.

222222222222222222222222222222222222222.jpg

Average change of the S&P 500 (US500) index during the past 36 years.

The Crypto market usually also has a rough time in September. Bitcoin lost 12.7% in September 2021, 17.4% in 2020, 17.5% in 2018, 21.4% in 2017 and 45.4% in 2015. The main cryptocurrency increased by 13.3% and 3.95% in 2016 and 2019, respectively.

However, the extrapolation of statistical data to the current situation makes little sense if it is not tied to the economic context.

Several factors confirm a possibility of a deeper correction:

  • Weak numbers might relate to the financial year ending in the United States, which starts on October 1 and finishes on September 31.
  • Traders bet on a 75-basis-points rate hike at the Federal Reserve meeting on September 21, which will boost the USD and add pressure on the risk assets.
  • Guru traders sell stocks and invest in T-bills ahead of the deeper correction.

Technical analysis

US dollar index, H4

юс доллар.png

The RSI repeats the same pattern, which has also appeared twice in 5 previous months.

The H4 RSI goes to 84 -> RSI declines, while the price stays at the same level -> Another pump when RSI reaches 70 - 75 -> divergence appears -> deeper correction happens.

The US dollar index is already breaking above a recent high, and currently, the price is aiming at the 111.50 level.

US500, weekly

US500Weekly.png

US500 keeps moving inside an inverted falling wedge. The price has formed a massive range between 3500 and 3650, and it seems like sellers are aiming for it. Moreover, the 200-week moving average, which always acts as the main support for the US500, also stands in this range. If the Fed increases the rate by 75-basis-points, the price will easily decline to this support, where we expect to see the overall market reversal.

LOG IN

Similar

Will NETFLIX surprise investors?

The Netflix stock (NFLX), with a market cap of $145.17B and a whooping 10 000+% rise since its inception 16 years ago, experienced some turbulence for a short period last year while trading around the $250 share price. However, the NFLX stock quickly recovered and rose to over $300 towards the end of the previous quarter of 2022.

Popular

Will USDJPY slide lower in 2023?

Last year was tough for the Japanese yen. USDJPY gained more than 30% over 2022, striking above 150 in October. While anticipation of slower Fed rate hikes pulled the pair below the 130 level at the start of 2023, the speculations over the destiny of BOJ’s yield control policy grabbed the attention of the Japanese assets in the middle of January. What lies ahead for traders of the Japanese yen?

Choose your payment system

Feel the Team Spirit

Callback

Please fill in the form below so we can contact you

Select the best time for us to call you. We give calls from Monday to Friday in suggested intervals. In case we couldn't get through, we will try again at the same time the next day. For getting real-time assistance, use FBS chat.

We provide only English-speaking callbacks. If you prefer any other languages, contact the support team.

We will call you at the time interval that you chose

Change number

Your request is accepted.

We will call you at the time interval that you chose

Next callback request for this phone number will be available in 00:30:00

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later