What is the best time to buy dollars and invest with the currency

The dollar has registered several weeks of volatility that have led the markets and citizens to be uncertain about its effects on the economy. The foreign currency reached historical maximums reaching over 4,600 pesos.

(Read: The dollar ends the week with an adjustment in its price).

This implies a significant devaluation of the peso, which so far this year has reached around 14%. However, on the last day, Friday, July 15, the dollar began to lose strength and stood at an average trading price of 4,393.92 Colombian pesos.

Now, many wonder about the best time to buy dollars and save or make investments in this currency. For Carlos Sepúlveda, dean of economics at the Universidad del Rosario, it is important to clarify that it is better to buy dollars when they are low and sell when they are on the rise.

This means that, given the rises of the last few days, it would be more effective to sell than to buy.

“We are at historical levels of valuation of the peso, perhaps the way to go is for those who bought cheap at the time and today begin to liquidate those assets in dollars, because they can have a profitSepulveda explains.

Now, the dollar trends They are complex to estimate. “Globally there is great uncertainty about what is going to happen to the United States. There are some measures that the central banks are taking to increase interest rates and all of this leads one to think that this trend is going to continue. However, It also depends a lot on the actions of the incoming government,” the expert points out.

(Also: Will Banrep intervene in the foreign exchange market due to the rise in the dollar?).

According to foreign exchange market analysts, this moderation that has been taking place since Wednesday is due to the fact that a Overreaction to international and local news.

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