With the volatility of the Euro in the last couple of weeks making the decision on when to transfer Euros very difficult, this situation has been exasperated by the Easter break. With the UK closed for business on Friday and Monday along with most European counterparts, but the US and Asia still trading, it also means the markets may still move whilst you are unable to do anything.
For example we see the release of US Non Farms Payroll Data released on Good Friday. This is a measure of all new jobs created in the US outside the agricultural sector in the last month, and is often used as a barometer for the US economy and global confidence. The better the figure, the more confidence investors have in the economy picking up and the more likely they are to take on riskier positions. This can have a big influence on EUR USD but will also move sterling exchange rates against the single currency as both move relative to the Dollar.
One way to deal with this would be to place a stop loss or limit order with your bank or broker to ensure that if the market does move dramatically during the holiday break, your order will still be bought at the level you decide if that price becomes available. If you wanted to achieve a rate of 1.2150 to buy Euros from GBP, but were worried the rate may drop below 1.19 by waiting, then you could place a limit to buy at 1.2150 and a stop at 1.19. This would mean if the rate spiked up, it would buy automatically at 1.2150 if that buy rate became available, but should things go against you and the rate actually drop sharply, then it would be stopped out at 1.19 if the market dropped to this point meaning your rate couldn’t fall any lower even if the market continued to.
Likewise if you are on a property viewing trip over Easter and want to be kept informed of any significant movements that may affect your property purchase, then by all means contact us for our rate alert service. 4 days is a long time to be exposed to currency fluctuation so why not get someone working with you. Our currency service is designed to help get clients the best possible exchange rate in an already competitive market. We do not charge hidden fees or commission and you only committ when you execute an order. If you are looking to buy or sell Euros (or any other currency pair) and would like to find out more about how things work, or compare us to your current provider, then feel free to e-mail Colm at email@example.com and quote ERF in the subject matter. It is free and will ensure you get the best deal on your transfer.