August is a solid month for forex seasonals, let's look at some of the trends
August is second-strongest month for US Dollar Index
August is the best month for bonds (worst of yields).
USDJPY is in the midst of a four month bout of weakness that extends through October. However, it's gained in 3 consecutive Augusts
We wrote about Australian dollar seasonal weakness in August.
Not surprisingly, it's also the worst month for NZD.
August is the third best month for gold, but beware because July was also a strong seasonal month and it's been a dog. Sometimes a market is just a dud and seasonals are only a secondary (or tertiary) factor
Overall best seasonal trade may be AUD/JPY shorts. The pair has averaged a 2.24% decline in the past 10 years with declines in 8 of 10 years.
Here are the four seasonal trades we had for July.
I'll be speaking live with Dale Pinkert at FXStreet in a few minutes about markets and seasonals.