forex

The “EUR/USD” Currency Pair is Experiencing “Limbo-Land” at Present

Market conditions seem to be as ambivalent as the weather these days. Last year was marked by uncertainty and turmoil, resulting in volatility that had not been seen since the end of 2008. However, recently stocks and commodities have been rising like crazy over the past seven months, and volatility has been squeezed out of the currency markets and hit new 3-year lows in the S&P 500 Index. 

The Euro fell from its lofty perch last May due to debt and deficit issues with its smaller member states, but versus the Dollar, it seems trapped at the moment in a kind of limbo-land.

Trading FOREX without a plan is like driving a car without knowing where you are going

A trader without a trading plan is the same as a driver not knowing where he is going. If you do not know where you are going, how do you expect to get to your destination?

Have your FOREX trading plan or be confused

 

Having a trading plan is as important as London Taxi driver having the “A-Z!!!!” (a road atlas in the UK). It is a very important part of the puzzle to get you on, and keep you on the road to becoming a consistently profitable trader.

Why Most Fail at Forex

Up until recently we all were led to believe that only 5% of people make it in the Forex trading world. Since the new laws by the CFTC, brokers have had to come clean about the percentage of their clients that wins.

 

Invest simple and smartMost have a winning percentage of around 25% to 30% with some up to 50%. So the "only 5% make it" is a myth! Now I am not 100% convinced on the figures they released but they are better than previously thought. This led me to question why still 70%+ fail at this business.

 

  

 

 

Technical Analysis 101: How To Identify Supply & Demand in the Forex Market

Traders who speculate in financial markets generally employ one of two types of market analysis. The first is fundamental analysis. Fundamental analysis is the analysis of economic and financial conditions that directly affect the price of a financial product (stock, commodity, or currency). Then, traders take positions in the market based on this analysis.

What is ahead for the US Dollar given the large Current Account Deficit

The Current Account deficit for the US is at this moment $123 billion per quarter and 3.3% of GDP. This is less than the 6% in 2006 but still at a level that most economists consider to be unsustainable in the long term. The decline is probably caused by the economic situation and could be temporary. So, what does this mean and what is ahead for the US?

In this article we focus on what the consequences could be for the US given its large Current Account deficit and the factors that are driving this deficit.

 

Be aware of the impact of the Current Account deficit on the future of the Dollar

 

Why is the Japanese Yen so Strong

The question on why the Japanese Yen is now so strong against the U.S. Dollar is asked repeatedly the last few weeks.

The Yen reached recently a 15-year high against the Dollar. Was this in line with expectations? What is happening and what is causing this? Here is our FOREX research and our conclusions on why the Yen is so strong.

USD/JPY 20-Year Exchange Rate Trend and History Chart - July 2010

This USD/JPY exchange rate and trend chart shows a 20 year history. The US Dollar - Japanese Yen exchange rate is a lot in the news recently since a Dollar buys less and less Yen's. See the FOREX chart for the historic perspective. The trend just continues. Click here for the EUR / USD Chart.

 

EUR/USD Exchange Rate Trend and History Chart: 20 Years

This chart for the EUR/USD exchange rate and trend shows a 20 year history. Since the Euro exists only for about 10 years we had to make some calculations. You will see later below. 20 years provides a unique historic perspective.

Trading currencies or how to deal with currency fluctuations

There is a recent trend that non-professional investors step into the currency trading. The major shifts that the US dollar has made versus the Euro during the last year are probably the reasons for this. Why should you be very, very careful before starting to trade in currencies and what can be the impact of currency fluctuations on investors in stocks and funds.

The exchange rate between currencies is developing 24 hours per day. This exchange rate is the price you need to pay in one currency for another. For example, at the time of writing, one needs to pay 1.37 US dollar for every 1 Euro.

Currency trading and currency fluctuations

Syndicate content

Disclaimer

The information contained on this website and from any communication related to this website is for information purposes only. We do not make recommendations for buying or selling any securities or options. We make financial suggestions and it is up to the visitors to make their own decisions, or to consult with a registered investment advisor when evaluating the information on Stock Trend Investing. Read more...