October 2019 Market Update

Risk appetite picked up in October where US-China negotiations saw both sides agree the outline of a potential trade deal. Moves to impeach US President Trump however continued to add to market uncertainty along with mixed unemployment and consumer confidence data. The FED lowered interest rates again, now standing at 1.75%, representing the third cut this year, all occurring within the last three months. The DOW Jones index rallied mildly adding 0.7%, whereas UK equities underperformed against the backdrop of a very strong rebound in sterling with the FTSE 100 losing -2.0%. The German DAX displayed much stronger performance gaining 3.5% closing in on the 13,000 level on better growth data for Q3, defying recession worries.

This month a total of 288 trade orders were provided. You can expect up to 300 trade orders in any given month. A total of 81 or 28% of trades were activated which is high activity as generally no more than 30% of trades are activated in any given month. October proved difficult to gauge and therefore resulted in both services reporting a mild loss.

The STANDARD service lost -1.8% whereas the PREMIUM service lost only -1.2%. The PREMIUM service delivered a loss of -£180 on my £10,000 account due to higher leverage (1.5) used. Using low leverage means low drawdowns however if you are comfortable in taking more risk, gains can be multiplied by increasing position size. My position size is included in my orders but users can amend this according to their account size or risk profile. Past performance mentioned is no indication of future performance and may not be repeated.