Trading at the Forex market without safeguards can be like skydiving without a parachute. Anyone serious enough about trading would do well to incorporate money management techniques to their trading plan to protect their portfolio. Nearly all successful traders use a money management strategy along with their regular trading plan, and if you have ever experienced a severe drawdown on your account, you probably do too. Basically, having safeguards in place to protect your account to remain in business is far better than the alternative. What...
The U.S. dollar is the most popular and most demanded currency in the Forex market. It is both a safe-haven currency and very risky, because all the time it is in high motion. However, it is the constant fluctuations enable traders to get a good profit by selling the U.S. dollar. But not all is so simple. For successful Forex deals you must be able to predict the possible future direction of the dollar in relation to some of your preferred currency. Analysis of the fundamental events is the assistant who can come in handy. So what events...
There is always a debate about which type of analysis is better for a trader or what’s better to be, a technical trader or a fundamental trader; both analyses are trying to predict the price movements and future market trends based on different types of information. Basically there are two approaches, the first approach is fundamental and it considers factors, events, opinions and policies that may impact the future value of a currency. The second approach is technical and it considers the study of historic and current currency values...
Last Friday, the U.S. dollar sharply given the slack, which affected the dynamics of the movement of many currency pairs at Forex market. For example, the EUR/USD reached 1,335 and the GBP/USD reached the level of 1.564. Such a strong weakening of the dollar is associated with the outflow of investment in the debt market in the U.S. as well as with the weakness of the stock market and the increase in the money supply. In a few days U.S. bond yields rose significantly: the 10-year-olds - to 2.76%, 30-year-olds - up to 3.82%. A volume of U.S...
Australia reported a rather disappointing economic report today covering its labor market. This sent the Australian currency, the Australian Dollar, to its biggest one day correction in over three months as it plunged below the 0.9000 level once again. The current correction has paused as forex traders reevaluate their positions and seek trading opportunities in the Australian Dollar. The Australian currency was in a bullish trend as positive economic data out China yesterday boosted hopes that demand for commodities will increase which...
