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I'M WITH STUPID

Easy Money

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Just opened a US dollar account with my (Yorkshire) bank - $35 a quarter charges and 3.5% interest on deposits. Bought £5000 worth of dollars at todays rate (1.9055) and am gonna sit and wait for it to fall to 1.70 where it was last Dec.

£600 for the cost of a phone call! - this is easy, easy money with NO RISK - forget that BTL investment you've been promising yourself and put your 15% deposit in a US dollar account.

Is this just too easy?

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well they are saying the pound is going strong on the doallr and soon its going to be over $2....

Gamblers Rule 1

nothing is an easy bet unless you know something someone else doesnt...!!

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US dollar is not safe investment. Many, many countries are shifting their reserves from $ to euro, US has huge trade deficit, inflation in the US is on 11year high, many oil traders as well now accept euros, Russia in next year will open an commodity stock only in rubles.

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yeh, yeh, yeh - like the US economy is just gonna stop, drop to its knees and fall over

the euro hasn't shifted within 2 cents of 1.45 in the last six years - the US$ is the only major currency to fluctuate so reliably

£:US$ - Last Twelve Months

Stupid, do you have any graphs that go back longer than 12 months...i would like to see the correlation over a long time period.

Also this was before everybody has started to pile in with interest rate rises and devaluing the pound as trading oil in Euros etc and China off loading them...i think youll be lucky if the dollar can strengthen against the pound again especially if the UK raises rates again in a couple of months time.

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US dollar is not safe investment. Many, many countries are shifting their reserves from $ to euro,

Sounds remarkably similar argument made about gold around 1999/2000. GB sold off stacks of the stuff in favour of a mixed bag of currencies What happened? Gold has more than doubled in price since then while the doller has sunk to the low it is today. Nice one Gordon, but quite why you were using our gold reserves to finance US debt is beyond me.

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Sounds remarkably similar argument made about gold around 1999/2000. GB sold off stacks of the stuff in favour of a mixed bag of currencies What happened? Gold has more than doubled in price since then while the doller has sunk to the low it is today. Nice one Gordon, but quite why you were using our gold reserves to finance US debt is beyond me.

was there no currency conversion charges??

Seems strange a bank would let you open a foreign cash account...surely these days with money laundering going on!

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Guest muttley

Just opened a US dollar account with my (Yorkshire) bank - $35 a quarter charges and 3.5% interest on deposits. Bought £5000 worth of dollars at todays rate (1.9055) and am gonna sit and wait for it to fall to 1.70 where it was last Dec.

£600 for the cost of a phone call! - this is easy, easy money with NO RISK - forget that BTL investment you've been promising yourself and put your 15% deposit in a US dollar account.

Is this just too easy?

Why stop at £600 if it's so easy?

£5000 deposited in a spreadbetting account would allow you to short £ v $ at £100 per point (probably more), netting you £2000 tax free with no account charges, after the fall to $1.70.

I'd do it myself, but I heard interest rates might be going up.

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You could open an account with forex broker oanda. Say with £1000. You can trade micro lots and adjust your leverage with them, short GBP/USD and make/lose 10p per pip. Also, go long USD/CHF, and you'll have an interest positive set-up, which means you'll earn while you sit in the trade and wait for the dollar to strengthen. It's an idea i have been demoing for a few months, made just over 19% on £1000 starting balance. Low risk in my opinion, as it would take a drop in the dollar that is way beyond what has happened historically to put your money in danger.

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yeh, yeh, yeh - like the US economy is just gonna stop, drop to its knees and fall over

the euro hasn't shifted within 2 cents of 1.45 in the last six years - the US$ is the only major currency to fluctuate so reliably

£:US$ - Last Twelve Months

I care rather about fundamentlas than present behaviour of US dollar. And those fundamentals are very bad.

Trade and budget deficit is still on historic levels.

Situation is much, much worse than in 80ties, when dollar declined and in this way an balance of trade was re-established (n 80ties trade deficit was 3,5%, now circa 6% of GDP - so dollar has to drop more).

Bill Gates and Warren Buffet are out of dollars - I would trust them in this matter:)

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Guest muttley

Gamblers Rule 1

nothing is an easy bet unless you know something someone else doesnt...!!

Gamblers Rule 2

If you sit down at the table and can't spot the sucker, then it's you.

Can you spot the sucker, IWS?

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Today:

£1 = $1.8673

Today = 1.886

While I don't think its a bad bet (though have to agree, a spread bet would have been cheaper & easier), to see it as risk free is just silly, as its not.

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Guest muttley

:D

Actually the £ has fallen against the $ today!

I think the way to catch these bets is to try and catch the trend. I would prefer to wait until after the expected Nov IR increase to see if the £ breaks the $1.90 mark. If it starts to fall then, then a dollar account would look like a good idea.

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Is this just too easy?

yup. £1=$1.95 now

Please do keep us up to date with your trades, as between us we could probably form the perfect counter-indicator for the pro's. We may even be able to charge for such a service.

I'll give it a try:

I bought a couple of grands worth of BP today @ 576 to add to my larger purchase at 609.

anyone care to go short?

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Yikes - doesnt look like the $ rate is gonna be coming down any time soon - not unless the B.O.E. drop rates to 4% again - looks like my short term plan has just become a long term plan :rolleyes:

Don't understand why anyone would want to hold greenbacks long term with helicopter Ben in charge.

If forced to hold dollars, i'd put half in the Pudent Bear Fund (BEARX $5.91) and the other half in an oil EFT (OILB $54)

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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