All Blog Posts (1,487)

The Forex Daily Digest – November 16, 2009

The USD remained under pressure today, after the government reported U.S. retail sales rose more than expected in October. The dollar also fell against most of its major counterparts as Japan’s better-than-anticipated economic growth forecast in the third quarter encouraged demand for higher yielding assets.

U.S. retail sales rose 1.4% in October, more than analysts expected. A large downward revision to September's sales offset the upside surprise. Separately, the New York Federal… Continue

Added by Forex Daily Digest on November 16, 2009 at 9:30am — No Comments

The Forex Daily Digest – November 13, 2009

The USD has lost ground, with strategists attributing the modest weakness to market participants taking profits on the dollar's recent bounce. A modest return to risk appetite was seen triggering some weakness in the USD. The EUR was mixed, edging up a bit on the USD but falling against the JPY and the GBP as foreign-exchange traders reacted to data on euro-zone economic growth. The third-quarter data confirmed the 16-nation region that shares the single currency returned to growth after five… Continue

Added by Forex Daily Digest on November 13, 2009 at 8:30am — No Comments

The Forex Daily Digest – November 12, 2009

The USD rebounded against the EUR, pulling an index on the dollar away from a new 15-month low, as U.S. equity markets pared some of the strong gains earlier in the session and led traders to reconsider bets on riskier assets. The GBP was the big mover, falling more than 1% versus the dollar as officials talked down the currency and hinted at the possibility of further quantitative easing.

China will probably let the yuan start rising against the dollar in early 2010 after the… Continue

Added by Forex Daily Digest on November 12, 2009 at 8:30am — No Comments

The Forex Daily Digest – November 11, 2009

Today is Veterans Day in the United States and a bank holiday. Although the U.S. equities markets are open, the bond markets are closed. Also most city, federal and state courts and offices are closed today in observance of Veterans Day. The Post Office is also closed today.

The USD fell against most major currency rivals except the GBP, facing pressure as traders showed renewed appetite for risk assets and a "carry-trade" strategy centered on selling the dollar. Equity markets were… Continue

Added by Forex Daily Digest on November 11, 2009 at 10:00am — No Comments

The Forex Daily Digest – November 10, 2009

The dollar rose from almost a 15- month low against the currencies of major U.S. trading partners as a fall in U.S. stock-index futures slowed demand for higher- yielding assets. Sterling fell against the USD as Fitch Ratings said the U.K.’s credit rating is the most at risk among top-rated nations. The International Monetary Fund said in a report that the USD may still be overvalued as traders use the currency to fund carry trades. The IMF said that the dollar “has moved closer to medium-run… Continue

Added by Forex Daily Digest on November 10, 2009 at 10:00am — No Comments

money management formula

Money management formula

Account balance times percent of acceptable loss gives you the amount of money you are willing to lose in a trade divided by the numbers of pips in your stop equals the number of lots you can trade.

This is really is a simple calculation, but a few simple rules too follow.

1) Your account balance; account balance multiplied by no more than .05 equals (5)% of your account balance, which is the most I want to have at risk at any one… Continue

Added by Adam Horak on November 9, 2009 at 2:09pm — No Comments

money management

MONEY MANAGEMENT

Most beginning traders believe that a good entry into the market is the key to success. Unfortunately most are very wrong. Money Management is by far the most important criteria of trading, whether it’s stocks, futures or FOREX. Every successful trader will agree that managing your trades correctly is the #1 key to consistent profits.

Loosing a trade or several trades in a row is just part of trading, period! Having a plan and trading your plan is key to… Continue

Added by Adam Horak on November 9, 2009 at 2:07pm — No Comments

Nov 9 outlook

In The News:

Traders await tomorrows release of the Economic Sentiment report by The German Zentrum für Europäische Wirtschaftsforschung (ZEW).

The report determines the sentiment of German institutional investors over the past month.

The ZEW report, which is concluded from survey of about 350 German institutional investors and analysts, is considered a leading indicator of business conditions.

A higher than expected reading should be taken as… Continue

Added by Adam Horak on November 9, 2009 at 10:53am — No Comments

The Forex Daily Digest – November 6, 2009

Gold futures rose, after the U.S. government reported the unemployment rate in October, topped the 10% mark for the first time in 26 years, pressuring stocks and lifting safe-haven demand for the USD against the JPY. The dollar fell against the JPY after the October Nonfarm Payrolls report was released. Analysts said the report was disappointing and boosted risk aversion trade.

The unemployment rate in the U.S. increased to 10.2 percent in October and employers cut more jobs than… Continue

Added by Forex Daily Digest on November 6, 2009 at 9:26am — No Comments

The Forex Daily Digest – November 5, 2009

The USD fell against the JPY and the GBP, though the dollar moved up against the EUR ahead of a rate decision in Frankfurt. The GBP gained ground following the Bank of England's decision to expand its quantitative easing program by 25 billion pounds. Some in the market had expected an even bigger expansion of the program that buys up gilts and other assets. Interest rates in the U.K. were kept at a record low of 0.5%. Yesterday, the USD lost some ground against major counterparts after the… Continue

Added by Forex Daily Digest on November 5, 2009 at 8:30am — No Comments

The Forex Daily Digest – November 4, 2009

The USD traded lower, pulled down as investors showed renewed appetite for equities and risky assets, although many traders appeared satisfied to stay on the sidelines ahead of the conclusion of the U.S. Federal Reserve's two-day policy meeting. The Fed's policy committee will finish its two-day meeting later today. An announcement with policy makers' outlook for rates and the economy is expected at about 2:15 p.m. (ET) this afternoon. The overwhelming consensus is that the Fed will keep the… Continue

Added by Forex Daily Digest on November 4, 2009 at 8:30am — No Comments

Nov 4 outlook

The Federal Open Market Committee (FOMC) decision on short term interest rate is due out tomorrow (Nov 4).

The decision on where to set interest rates depends mostly on growth outlook and inflation. The primary objective of the central bank is to achieve price stability. High interest rates attract foreigners looking for the best "risk-free" return on their money, which can dramatically increases demand for the nation's currency.

A higher than expected rate is positive/bullish… Continue

Added by Adam Horak on November 3, 2009 at 10:32am — No Comments

The Forex Daily Digest – November 3, 2009

The USD hit a one-month high against a currency basket as investors retreated from risk assets on jitters over banks and braced for central bank meetings in the United States, euro zone and UK. Sterling tumbled to a one-week low against the dollar after the UK Treasury announced a shake-up of British banks, which raised concerns about the financial sector.

Federal Reserve officials meeting this week must weigh improving economic data against the risk, reinforced by a persistently… Continue

Added by Forex Daily Digest on November 3, 2009 at 9:12am — No Comments

The Forex Daily Digest – November 2, 2009

The USD gained against major counterparts at the end of last week for the sixth day in the past seven after a government report showed U.S. consumer spending fell in September, threatening the ability of the nation's economy to continue expanding and weighing on equities.

FOREX traders largely ignored a private report showing the Chicago purchasing managers index rose more than expected, to a reading of 54.2 in October from 46.1 in September. Levels over the 50 mark indicate more… Continue

Added by Forex Daily Digest on November 1, 2009 at 8:59pm — No Comments

The Forex Daily Digest – October 30, 2009

The USD weakened against the EUR after government data showed the U.S. economy returned to growth in the third quarter, reducing the dollar's safe-haven allure and sending investors elsewhere for better returns. The Labor Department reported that the U.S. economy grew at a 3.5 percent annual rate, the fastest pace since the third quarter of 2007, according to preliminary data, and slightly better than forecasts of a 3.3 percent rise.

China and the United States agreed to deal with a… Continue

Added by Forex Daily Digest on October 30, 2009 at 8:04am — No Comments

The Forex Daily Digest – October 29, 2009

The USD extended its gains after economic data showed that orders for U.S.-made durable goods rose 1% in September. Data also showed U.S. new home sales fell in September. The report showed sales of newly-built home declined unexpectedly last month, falling at an annual rate of 3.6 percent to 402,000. The dollar had advanced earlier against all its major rivals except the JPY, as falling global equity markets led investors to seek safety in the dollar and cut exposure to assets perceived as… Continue

Added by Forex Daily Digest on October 29, 2009 at 7:46am — No Comments

FOREX outlook Oct 29th

The U.S. Department of Labor will publish the weekly Initial Jobless Claims report tomorrow (Oct 29).

The report is a measure of the number of people who file for unemployment benefits for the first time during the given week. This data is collected by the Department of Labor, and published as a weekly report.

The number of jobless claims is used as a measure of the health of the job market, as a series of increases indicates that there are fewer people being… Continue

Added by Adam Horak on October 28, 2009 at 10:52am — No Comments

The Forex Daily Digest – October 28, 2009

The USD edged lower as stock markets stabilized, prompting some to move away from the perceived safety of the USD. The EUR extended gains against the USD, after data showed U.S. home prices for August increased for a fourth straight month. The Case-Shiller Home Price Index for August showed that prices improved. In the survey's 20-city composite index, home prices increased at a better-than-anticipated 1.2%, although they are still down 11.3% from August 2008. And consumer confidence in the… Continue

Added by Forex Daily Digest on October 28, 2009 at 8:21am — No Comments

The Forex Daily Digest – October 27, 2009

The USD hit a 14-month low against the EUR as an advance in Asian stock markets and signs that the global economy is recovering lessened demand for the dollar as a safe haven. The USD fell against 11 of its 16 major counterparts. South Korea’s won strengthened after its economy grew at the fastest pace in seven years. The JPY and EUR gained after an official Chinese paper said the nation should boost reserves in the currencies.

Nobel laureate Paul Krugman said China is devaluing its… Continue

Added by Forex Daily Digest on October 27, 2009 at 7:35am — No Comments

The Forex Daily Digest – October 26, 2009

The USD continued its winning streak against the JPY and gained on the GBP and other major currencies as U.S. equities declined on Friday, taking the steam out of investors who had been running toward riskier assets. The USD also rose for a third straight day against the EUR, which hit a 14-month high earlier in the week. The USD may remain under pressure as the Federal Reserve lags behind other central banks in increasing borrowing costs.

An assortment of positive euro zone data… Continue

Added by Forex Daily Digest on October 25, 2009 at 5:45pm — No Comments