Latest Posts

  • Carry Trading Danger

    Mar 21, 2012 / 7:34am / in Carry Trading, Forex Trading, Japanese Yen, Forex News

    Many are talking about how carry trades by speculators are at records highs since the financial collapse of 1998.  The Japanese Yen has an abundance of short positions as their funding cost is only .25%.  The Swiss France has also taken hard hits as

    Read More

  • ECB Outlook: It’s Time to Cut Interest Rates

    Aug 21, 2008 / 2:34pm / in Forex Trading, General, Forex News

    In the days leading up to the European Central Bank’s rate decision on July 3rd, 2008, many political leaders around Europe publically pleaded for the ECB to leave interest rates unchanged. Among others, French President Sarkozy voiced the opinion that the recent rise in inflation was due primarily to the spike in commodity prices.¹ As such, Sarkozy suggested that though hiking interest rates would not really help in lowering inflation, it would adversely impact growth.

    Read More

  • Psychology and Investing

    Jul 10, 2008 / 1:26pm / in Economics, Forex Trading, General, Money, Forex News

    Take your emotions out of the picture, that’s what they say. While some investors are able to treat securities in an indifferent manner, few are able to ignore the feelings of greed or fear that come with profits and losses. For people involved in financial markets, finding ways to trade without emotion is one of the toughest and most important tasks that an investor will attempt.

    Read More

  • Fundamental Analysis and Central Bank Resources

    Jun 13, 2008 / 10:32am / in Forex Trading, Fundamental, United States Dollar, Forex News

    Fundamental analysis can be daunting, but this is what drives the market. I don’t care how many doji’s or buy signals Deutche Bank saw on the eve of the Russian Debt default.

    Read More

  • Leverage: Blessing or a Burden

    Jun 12, 2008 / 9:55am / in Currency, Forex Trading, Fundamental, Forex News

    Leverage allows any trader to control large amounts of capital; it is every trader’s best friend and worst enemy. We all realize that investing involves risk, and no one makes money without some degree of risk. That being said excess risk has another name: margin call. This isn’t the CME were your broker gives you a courteous call saying “pay up sucker,” no this is online currency trading. Or maybe you’re so confident in your trades that you never lose. Probably not if you’re like t

    Read More

  • Currency Wars: The Dollar Strikes Back?

    Jun 12, 2008 / 9:53am / in Currency, Forex Trading, Fundamental, Forex News

    Something monumental has happened: the US dollar has done well, and it didn’t require a divine intervention.

    Read More

  • Forex Market Update 6/11/08

    Jun 11, 2008 / 10:56am / in Currency, Economics, Forex Trading, Forex News

    The US Dollar ended its rise against the Euro, as the ECB had several officials speak out in predicting future rate hikes. It is unclear if the ECB is planning a single increase (likely in July), or a series of hikes, as the officials volunteered differing opinions on the subject.

    Read More

  • Can the Euro break 1.60?

    Jun 11, 2008 / 10:28am / in Forex Trading, Fundamental, Forex News

    Euro zone growth has exceeded the US contributing to the appreciation of the euro but after a closer look the EZ doesn’t look that healthy. Essentially Germany has pulled the Euro Zone forward for the past year while the PIGS otherwise known as Portugal, Italy, Greece, and Spain have stagnated or gone in recession. So to answer my own question, I seriously doubt the Euro will break 1.60 if Germany stagnates. The German current account was reported on Monday and it was slightly lower than expected at 14.5 billion instead

    Read More

  • The “Undervalued” Yuan Saga Continues

    Aug 9, 2007 / 7:06am / in Asia, Currency, Economics, Forex Trading, Fundamental, General, United States Dollar, Forex News

    The People’s Bank of China may be in a position to use its $1.33 trillion currency reserves as a bargaining tool against U.S. lawmaker demands. Xia Bin, director of financial research at the State Council Development Center, believes China can use its holdings of U.S. government debt to its advantage. As the world’s second-largest holder of U.S. Treasuries of $407 billion, the selling of U.S. asset holdings would significantly lower their value. U.S. Treasuries fell yesterday after traders cited in a U.K.

    Read More

  • Dollar Takes Hits against Euro and Yen

    Aug 3, 2007 / 6:35am / in Currency, Economics, Forex Trading, Fundamental, General, Interest Rates, Japanese Yen, United States Dollar, Forex News

    After modest gains this week, the U.S. dollar fell against the yen and euro on news of poor U.S. jobs growth. A government report today showed 92,000 jobs added for July, falling well below expectations as 126,000 jobs were added in June. Economists at Bloomberg predicted 127,000 new jobs for the past month. In addition, the unemployment rate rose unexpectedly to 4.6 percent up from 4.5. These are signs the U.S.

    Read More

Currency Converter