A look at three of the top forex seasonal patterns for January:
#3: Euro bears get back to work
January is by far the worst month for the euro. Snce its inception the average decline has been 1.27%. Ten of 16 years have been negative including a big decline last year after the ECB eased.
The next ECB decision is Jan 21 but expectations are low. Central bank officials blamed market participants for getting overly enthusiastic about the potential for easing and said they want to wait and see how current programs pan out.
The top event to watch early in the month is the December German CPI report, which is due on Monday, January 4. German jobs data is due a day later.
