The US dollar weakness continued through May, on the back of Fed’s dovish stance on its monetary policy. GBP reached a three year high, boosted by traders’ bullish bet on UK’s economy recovery given the rapid pace of immunizations. On the back of higher oil prices, the USDCAD pair continued to slide for 14 months to touch April 2015’s low. Yen continued to lag as Japan’s recovery from the pandemic remain troubled. Precious metals benefited from the stubborn dollar and subdued treasury yields, with gold and silver prices shooting up since April. Last month’s heavy sell-off in cryptocurrencies has also prompted investors to rotate back to more traditional anti-fiat assets.
Compared to other investment instruments, forex trading has become widely popular in the past decade with lower barriers to entry and high potential returns on