Case study: three exchange transactions

Dec. 2, 2018

Introduction

It is hard to read my sales data. I did make mistakes to buy high and sell low in Canadian dollars from 2010 to 2017. I need to come out the idea to cover the loss, one idea is to buy low if I have US dollars in short future

Three transactions

It is a good idea to write blogs related to personal finance, and then I can train and learn how to improve my problem solving skills. I had issues since I did not make any purchase of a condo from 2010 to 2015 before condo price went up. I think that the problem is that I do not document and learn from small projects in my life first. The idea to fix and learn is to start from a vacation, rental car, buy or sell Canadian dollars  small projects first to improve my analysis.

Here are the facts:

2010 April 23, I purchased Canadian dollars using $17,000 us dollars. At that time, one US dollar can get 0.98 cents. Usually I can get better rate not from bank. Here is the blog.

2017 August, I purchase US dollars using Canadian dollars 12,000 dollars, one Canadian dollar exchanges 0.78 US dollars. Here is the blog.
2017 Sept, I purchase us dollars using Canadian dollars 10,000 dollars, 0.80. Here is the blog.

So I purchased Canadian dollar with high cost, and purchase with high cost. The difference of each transaction can add up to 4000 dollars.

I need to purchase Canadian dollars in 2010 multiple times, and learn the market and get ideas. Only purchase if I need. When I need to purchase, plan early, study Canadian economy and understand oil industry of Canada.

Analysis

What I did is to purchase high and sell low. And the purchase of Canadian dollars costed me more in 2010 when the price is highest one. And I purchased US dollars when Canadian dollars is lowest time in 2017.

Actionable Items

I break the money rules, buy low and sell high. I need to purchase some Canadian dollars if I have US dollars to cover my loss.

2010 April 23
US dollars $17,000 -> $15,000 Canadian dollars, exchange rate 0.98

2017 August
Canadian dollar $12,000 -> $9400 US dollars

2017 Sept 5
Canadian dollar $10,000 -> $8019 US dollars

I purchased high to get Canadian dollars in 2010, and I sold low in 2017 low price Canadian dollars.

I should prevent this happen long time ago. I should spend time to study Canadian economy, if I can work on weekend 1,000 hours, each hour study I can save $7.00 dollars on those three transaction. In total I can save $7,000 dollars in loss.