The beginning of 2014 has been marked by weaker economic data, but we expect this to be a soft patch and for growth to rebound as better weather settles in. Although it is difficult to determine how much can be blamed on the weather, there were several hints this week
Global markets remained tense this week as the continuing standoff between Russia and the West weighed on sentiment. After reaching record highs last Friday, the S&P500 index lost nearly 2%, giving up all of the gains sustained this year. Equities in Europe performed far worse, with the German Dax sliding
Risk sentiment took a big turn for the worse on Thursday as the tensions between Russia and Ukraine escalated further ahead of this weekend’s Crimean secession vote. News that the Russian military was massing forces on the border of eastern Ukraine stoked concerns that the Mother Country could intervene into
Risk markets are trying to mount a recovery on the last trading day in North America this morning after yesterday afternoon’s wobbly price action. News out of the Ukraine hasn’t changed much since yesterday, so as has been the theme since Ukraine became a talking point, a day full of
It was just over a week ago that less dovish comments by ECB president Mario Draghi pushed the euro higher across the board, taking the EUR/USD to a new 2.5-year high and the EUR/JPY to within 200 pips of its 5.5-year high. This week though, Draghi and company have seemingly
A week ago on Twitter we highlighted how Gold formed a Positive Reversal formation, whereby daily RSI made a lower low, but price failed to confirm the low by making a higher low. The thought process behind a positive reversal is that it shows price is outperforming the underlying indicator
The current geopolitical situation has benefited the euro as both the USD and the Rubble have depreciated. The referendum this weekend in Crimea, which the Ukrainian government is saying is a foregone conclusion, has the markets on edge and looking for safe havens. The euro and the yen have been
This was a net negative week for the US dollar. After posting strong unemployment numbers on Friday the USD was hit by a combination of strong European releases and weak numbers blamed on the harsh winter weather. Only the positive US jobless claims number, the lowest in three months, was
The Japanese yen continues to make inroads against the US dollar, as the pair trades in the mid-101 range in Friday trading. There is growing tension in the markets over the crisis in the Ukraine, with a referendum over Crimea scheduled for Sunday. The turmoil has triggered a flight to
Coming up with a solid business plan can be tough to do in today’s economy. Creating a new business from nothing and promoting a product are both difficult endeavors. Many enterprising individuals prefer the profit potential offered by forex trading. Continue to read this article to learn more about how you can grow your profits!
Pay close attention to the financial news, especially in countries where you have purchased currency. The key here is the fact that currencies will change greatly, and it is important to keep an eye on current events. Capitalize on major news quickly by getting text or email alerts for markets in which you are interested.
Do not use any emotion when you are trading in Forex. Staying rational and levelheaded will minimize your chances of making risky, impulsive decisions. While your emotions always impact the way you conduct business, it is best to approach trading decisions as rationally as possible.
Novice forex traders should avoid jumping into a thin market. These are markets that do not really interest the general public.
Consider dividing your investing up between two different accounts. One of these accounts will be your testing account and the other account will be the “live” one.
Practice makes perfect. By using a demo acocunt to trade with real market activity, you can learn forex trading techniques without losing any money. You can get extra training by going through tutorial programs online. The more knowledgeable you are about the market before you start trading, the better.
Make use of a variety of Forex charts, but especially the 4-hour or daily charts. With today’s technology, you can get detailed foreign exchange market movements in 5-minute and 15-minute intervals. The problem with these short-term cycles is that they fluctuate wildly and reflect too much random luck. Stick with longer cycles to avoid needless stress and false excitement.
While you do need to use advice from seasoned professionals, do not make choices simply because somebody else thought it was a good idea. Forex traders often talk only about things they have accomplished and not how they have failed. Multiple successful trades do not eliminate the chance of a trader simply being incorrect on occasion. Plan out your own strategy; don’t let other people make the call for you.
Forex should not be treated as though it is a gambling game. Anyone entering Forex trading for the thrill of it will end up finding only disappointment. It is better to gamble for this kind of thrill.
It is not wise to repeat your position every time you open up a trade. Some foreign exchange traders will open with the same size position and ultimately commit more money than they should; they may also not commit enough money. Look at the current trades and alter your position accordingly if you want to do well in Foreign Exchange.
When people begin trading, they may lose a lot of money, mostly due to greed. fear and panic may fuel decisions too. Make your decisions based on ration and logic, not emotion; doing otherwise may make you make mistakes.
Where you place stop losses in trading is more of an art than a science. In order to become successful, you need to use your common sense, along with your education on Forex. You can get much better with a combination of experience and practice.
Look to the Canadian Dollar if you want a safe investment. Foreign Exchange trading can be confusing since it’s hard to keep track of all changes occurring in other countries. Both the Canadian and the U.S. dollars generally follow similar trends. S. dollar, which represent a sound investment.
Now, you need to understand that trading with Foreign Exchange is going to require a lot of effort on your part. Just because you’re not selling something per se doesn’t mean you get an easy ride. Just remember to focus on the tips you’ve learned above, and apply them wherever necessary in order to succeed.
Forex is a serious business, not a form of entertainment. People who want to invest in Forex just for the excitement should probably consider other options. These people would be more suited to gambling in a casino.
The pound is steady in Friday trading, as the pair trades just above the 1.66 line in the North American session. In economic news, Trade Balance disappointed, as the deficit swelled to its highest level in September 2012. In the US, today’s key events are PPI and Preliminary UoM Consumer
Producer prices in February 2014 dropped 0.1% in the month, in contrast to expectations of a 0.2% increase. The decline followed a 0.2% rise in January. The declined contributed to the year-over-year rate dropping 0.9% from 1.2% in January.
The overall decline occurred despite robust increases in energy prices of 0.5%
Following a strong rally in stock markets during February and early March, we are increasingly concerned that we are in for more of the correction that started over the past week. Most notably the Chinese, Japanese and US economies all have showed weak signs lately and tensions are rising in
On Thursday, better-than-expected US retail sales data and weekly unemployment claims helped US Dollar Index recover from a five-month low. On Friday, the US Dollar dropped for fourth consecutive day amid ongoing tensions in Ukraine and worries of slowing economic growth in China.
Improving US economic data has raised expectations from
The EUR/USD gave up its entire gains yesterday despite being sharply higher at the start of the session. The move was initiated on profit-taking around the 1.3965 level before gathering pace as Mario Draghi, the ECB President, verbally intervened by saying the single currency is “becoming increasingly relevant in our