Forex market

Overnight, the correlated stock market and higher yielding currencies, such as the Euro and GBP, rose as a result of a weaker Yen and yesterday’s positive Feb Beige Book. Just recently, the US Initial Jobless Claims have posted a drop to 457K from a revised 462K whilst Continuing Claims rose to...

Overnight, improving market confidence fuelled an increase in risk appetite causing the EURUSD to surge higher by over 100 pips to 1.5090 presently (see diagram). A possible retest of the 2009 high at 1.5145 is now a possibility today. Earlier this morning, the Euro-zone posted an increase 0f 0.1%...

An important Forex concept is the risk:reward ratio and many experts advise that you should aim for a value of 1:2. The second one is your percentage of winning trades. Obviously a value of 50% and greater is preferable. You should note that you can achieve successful trading over the long haul if...

Beginners have a serious psychological tendency to ignore the downside risks to a trade instead focusing on the profits only. They need, in fact, to do the opposite in order to first survive and then prosper. Expecting each trade to make them rich is another mistake new traders make. They need to...

One obvious answer is ‘are you making money?’. This answer is very subjective though and a more scientific answer is really required. Fortunately, one already exists and is called the Expectancy Value of your trading system. Your expectancy value will tell you the average amount you can expect to...

Before starting live trading, one very important Forex aspect that you must try and mentally steel yourself against is that of learning how to deal with losses. In addition, you must learn how to copy with such set-backs in a very professional manner. Forex Trading is not a predictive activity and...

With the Dow Jones Futures indicating a weaker North American opening, safe haven flows are rallying the dollar with the EURUSD now posting 1.4915( see chart) and the USDYEN testing 191.00. Following the French supportive dollar comments yesterday, Trichet has further stated that a rising Euro...

Overnight, the EURUSD came within a few pips of the 1.5000 psychological barrier but has recently retreated to 1.4975 - see chart. The EURUSD remains well supported despite many positive comments made overnight concerning USD’s reserve status including those from Russia and France. In fact, French...

Overnight, the EURUSD hit a low of 1.4828 before surging strongly back to 1.4940. A bullish stochastic crossover resulted and suggests further advancements are possible that could test resistances at 1.4970 and 1.5010 - see chart. With the Dow Jones Future showing a positive North American opening...

Overnight, the EURUSD fell and then bounced against its bull channel’s lower trendline recording a present value of 1.4758 - see chart. New Dollar strength can be largely contributed to Bernanke comments hinting at a possible rate hike should the US economy begin to display serious growth signs....

Yesterday’s US ISM index showed the first expansion signs since August 2008 by posting a value of 50.9. Consequently, the Dow Jones rose by over 100 points forcing the highly correlated Euro to highs of 1.4720 overnight - see chart. Earlier this morning, the UK Industrial production dropped...

The recent EURUSD downtrend is under pressure as a bullish breakout is beginning to take shape. The Markets were so concerned about Friday’s disappointing US Non-Farm Payrolls that a dollar sell-off resulted. The pair presently sits at 1.4616. This morning, the Eurozone posted a drop in retailed...

In the last hour, the EURUSD has pieced the ceiling of its downtrend rising to an high of 1.4665. However, it is too early to determine whether this is a true breakout or a fakeout - see chart. The GBPUSD relief rally gained some traction overnight rising to 1.6085 although it is still some...

The EURUSD continues to trade within the confines of its new downtrend and is presently making its way towards the channel’s floor posting 1.4560 - see Chart. The Eurozone registered better than expected data this morning with Consumer Confidence rising to -19 and Economic Confidence climbing to 80...