The New Year has begun and many traders have carved our New Year’s resolutions. Often the intentions are good, but history shows that most fail to abide by their own resolutions before January is over. The primary reason is psychology as it is hard to break old habits and takes strength to do so. The start is usually the hardest part which is why so many fail to carry through and make the positive changes they were looking for. Forex trading and resolutions made in respect to forex trading are the same, it takes a strong will as...
U.S. economy requires additional support "for some period of time," said the head of the U.S. Federal Reserve Janet Yellen, speaking at a conference in Chicago. In addition, she said that the country's economy still has some weakness and the labor market has not yet recovered to the normal state. Yellen noted that the decline of quantitative easing program (QE) does not mean that the U.S. Federal Reserve waives policy of stimulating the economy. She believes that the Fed's policy, aimed at maintaining the economic...
One of the most important factors which plays an important role in determining the profitability of your forex trades are spreads. Nothing else affects the transaction costs of forex trading more than the spreads which are offered by your forex broker. Foreign exchange trading spread by definition is the difference between the ask price (the price you buy at) and the bid price (the price you sell at) which is quoted in the pips. The forex trading spread is how brokers make their money. Wider foreign exchange trading spreads will result in a...
This week has many different macro and micro economic data that could be interested for Forex market participants. Australian consumer sentiment index, German and British trade balances, Chinese datas as well as interest rate, releasing from the Bank of England, will be definitely the main highlights of this trading week. All times Moscow (MSK) Monday, April 7 Among the important economic news we note the publication of data on industrial production in Germany. Experts predict that German PMI will show the growth by 0.9% in monthly terms...
A lot of forex traders, especially new traders, do not understand the importance of correlation when it comes to trading. Just take a look at any forex forum and you will often find newbie questions wondering why a currency pair moved while there was no economic report released. It is very important that any forex trader spends enough time understanding basic economics and how currency pairs and events correlate with each other. Economic news will impact the price of currency pairs and despite the fact that you may only trade based on...
