Hello traders,
This is a very strange chart because there is no real fundamentals to support this current price. My assumption is that the newly funds from Eurobonds and the extra dollars from the high tourist season made the price move down.
On the other hand, I was expecting with the USD dollar generally getting stronger and the extra bucks that need to be put on all the imports to create the perfect scenario for a hike in its price aiming 750 colones per USD dollar.
This current price is already affecting the tourism economy since the inflation plus the the current price makes the business struggle to pay the salaries and services. This is the perfect time to re-pay debt in the foreign currency and in my case I'm trying to stash a bit as an emergency fund or when the price corrects to the trend.
The only thing I can do now is wait and see how this unfolds.
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