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23/54
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Here I will write a nice correlation between two kind of sports - Fishing and Trading (Yes from different point of view trading is not only the process of making money but currently I see it as a different kind of online gaming sport) What Fishing Is - This is the process where you have prepared a few things, bait, tools (cord, fishing tackle net and other).
Similar in trading are the instruments (indicators, charts and others).
The main object in the fishing is the fish. For me the main object in the trading is the volatility. Why? Because like for the fish you have to wait whole day (some times weeks or even moths) just for several seconds to few minutes of huge market movements The problem with the volatility is that is can be very hard to recognize it correctly and like in the fishing you can catch a small fish instead of the big one. In trading you can make two things either take the profit before the huge movement in your direction or it can be false volatility with several rangy movements which must be very carefully avoided.
The problem is who is the fish, you or the market. The market is setting several baits so that you stay away when the real movement comes. If you wan…
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Natalia_Kisenko avatar

Very good article!

RahmanSL avatar
RahmanSL 26 Sep.

I too have compared trading the forex to fishing which requires tremendous amount of patience and interest....when the market is not moving much, I compared that to small fish nibbling on the bait but then, suddenly, a big fish comes along and strips line off which is similar to sudden market movement which cause the currencies to spike.

Yes, it's very important to keep abreast of geopolitical and economic news (fundamentals) because some sudden events will move markets which can be very different from what the technicals are showing.

Good article and well thought out : )

megajorko avatar
megajorko 26 Sep.

Thank you very much Rahman. I hope that this knowledge will help us to stop act as fish but be the real fisherman :)

RahmanSL avatar
RahmanSL 27 Sep.

Like many sports fishing can be addictive and, likewise with trading the forex market, we have to curb our passion : )

annamuzova avatar
annamuzova 27 Sep.

Very very interesting. Good article

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35/65
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We usually don't comment on other central bank decisions, but one has to say that the decision the Fed took was appropriate given the position of the U.S. economy... and it was perfectly communicated and flawlessly executed.
-ECB President Mario Draghi, January 2016
A technical trader once told me that fundamentals don't drive the markets and using it does not give traders an edge. He further stated that when the price moves in the opposite direction of what's expected, a fundamental analyst will say "it was priced in".
The fact remains that many, if not most new traders, will solely rely on technicals. Similar to all aspects of trading, fundamental analysis can be difficult to comprehend. As a result, it is also difficult to profit from it without a sound understanding.
While there are several aspects of fundamental analysis, the Federal Reserve made one thing very clear at their March meeting. I hope to convey this and how to profit during the Fed tightening cycle. This one piece of information should allow traders to profit that normally do not follow fundamental developments.
To provide a backdrop to the above quote from ECB's Draghi, it was made during a time where he had gre…
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gargantua avatar
gargantua 21 Apr.

good article

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33/58
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Forex Market Overview:
With the NFP report many think that september interest rate hike is out of the picture, but there appears to be slightest of chance that FED may increase interest rates this month. Rosenberg a top FED official said that "risks to the forecast are becoming increasingly two-sided". "That means that while a slowdown overseas remains a concern, the U.S. economy has proven resilient and could even overheat if Fed policy remains unchanged for too much longer." He also stated that the "modest" wage pressures so far this year mean the labor market is tightening and could well exceed "full employment" next year. For the rest of this year, U.S. GDP growth will likely rebound and run above a 2-percent rate over the next two quarters.
On the other hand, Minneapolis Fed President Kashkari said, “There doesn’t appear to be a huge urgency to do anything,” implying that the problems facing the economy cannot be solved by monetary policy so there is no pressing need for action from the central bank. He also pointed out that he wanted to see “more movement” in core inflation, which he said was “stuck” at a 1.6% annual rate.
Following the comments, the US markets plunged lower…
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brilliant avatar
brilliant 20 Sep.

very good

FXRabbit avatar
FXRabbit 20 Sep.

Nicely written!

fxsurprise8 avatar

interesting view

Illya avatar
Illya 7 Oct.

I like it!

Uladzimir avatar
Uladzimir 11 Oct.

интересная информация

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6/47
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US retail sales climbed 0.5% in May surpassing 0.3% forecasted by analysts. The Commerce Department said that retail sales gauged 2.5% compared with the same period a year ago.
Dukascopy Research Products [1] revived that:
US Federal Reserve was forced to keep the target range for the Federal Funds rate flat at 0.25-0.50% after its June
14-15 meeting (...) Domestic data has been uneven recently, with mild payrolls report considered to be the key
trigger for accepting the status-quo.

On the short-term basis, several overseas risks are still weighing on Fed’s decision to hold rates steady. Britain's vote to leave the EU, China’s lack of demand and miscalculated debt levels, Brazil’s political crisis and Japanese bond yields deepening further into negative territory.
The effect of a Fed interest rate hike could dampen the economic outlook, posing serious risks for equity markets.
Ray Dalio interviewed by Bloomberg Reporter Erik Schatzker [2] earlier this year said that the Fed’s next big move:
This point of view seemed me unappropriated at the time, however at the current standings, I give up my own bets on Fed’s rate hikes and curb myself to Mr. Dalio’s point [/2][/1]…
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BhimSha56166409 avatar

Great and Intresting

tangell avatar
tangell 28 July

good job

Sveetlana avatar
Sveetlana 29 July

useful informations

voldemar avatar
voldemar 29 July

nice article

FXRabbit avatar
FXRabbit 26 Aug.

Very interesting article!

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19/51
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An oil production freezing deal will be discussed on April 17th in Doha, Qatar.
Oil producing countries intend to freeze production without Iran’s support, who refuses to freeze or cut its output after years of sanctions.
The current global production is achieving record highs, prompting analysts to argue that an output freeze deal might not have a real impact in the oil market. International Energy Agency data’s (chart 1 & chart 2) points to an average production excess in 2015’s 4th quarter of 2 million barrels per day.
Eva Sjekelova [1] reporting Neil Atkinson, a senior executive at the International Energy Agency:
A freeze on production is perhaps rather meaningless. It's more some kind of gesture which perhaps is aimed
... to build confidence that there will be stability in oil prices.

Oil prices have been rebounding lately from January’s lows, relying almost on production freezing intentions. A dovish Fed, a weaker dollar and tiny recovery signals from China have boosted the process. Myra P. Saefong and Jenny W. Hsu [2] on China's oil consumption:
In February, China’s crude imports rose nearly 25% on-year to 31.8 million metric tons, equivalent to roughly 8
million barrels a day
[/2][/1]…
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fx_lmcap avatar
fx_lmcap 18 Apr.

Thankful.

Mariia avatar
Mariia 21 Apr.

Interesting information

wisdom_consultant avatar

well written!

rajib217 avatar
rajib217 23 Apr.

Nice explanation

fxsurprise8 avatar

oil looks a bit high here

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54/76
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Introduction:
Interest Rate is among the most important fundamental data that impacts the currency of a country. It's of vital importance for any trader to keep a watch on this important data for his or her trading activities. A change in Interest Rate viz. a hike or a cut could be a percursor to a long term bearish or bullish bias respectively on the currency.
Interest Rate is the also most important tool major Central Banks around the world like FED, ECB, BOJ, PBOC etc use to guide the economy and the overall markets to its desired goals. Interest Rates are set by Central Banks to majorly keep inflation within a limit and to promote or curb lending. For instance, if prices for essential items and inflation are ballooning in conjunction with better economic conditions, Central Banks will hike Interest Rate to curb money supply to control price rise and inflation.
How Rates are calculated? :
Board of Directors of Central Banks controls the monetary policy of its country. They set the short-term interests at which banks can borrow from one another. Central Banks gather various relevant economic indicators from its economy to decide on Interest Rates to keep as its is or to cut o…
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Natalia_Kisenko avatar

good job!

Jenny26 avatar
Jenny26 18 Feb.

nice article))

zarina avatar
zarina 19 Feb.

done a good article!

Olkiss70 avatar
Olkiss70 21 Feb.

useful work!

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30/76
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ECB decided to leave rates unchanged in its last meeting in January. Reporting Fergal O'Brien [1],
ECB President Mario Draghi has said the Governing Council will review its stimulus in March amid signs that falling
oil prices will push the euro region’s inflation rate back to zero.

Euro unemployment rate decreased from 10.5% to 10.4% last December, bringing tiny signs of relief for ECB Governing Council. Unemployment rate dropped in Germany to 6.2%, the lowest level since 2013. In the opposite side Finland sees its unemployment rate jumping to 9.5%.
Reporting Chris Williamson [2], Chief Economist at Markit, January’s
Rates of growth continued to diverge markedly, (...) Italy’s growth rate looks to have slipped to just 0.3% and France,
once again the laggard, has returned to stagnation,

while Spain lead the gains with PMI signalling 0.75% growth rate.
Although some Euro zone economies are delivering a sustainable growth, other ones are still providing signs of concerns with steady growth, narrowing stagnation. Facing a mixed economic environment, markets will sharply watch ECB next meeting, holding for super (Mario) stimulus, levelling expectations into a supplementary purchase package.[/2][/1]…
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Nihad avatar
Nihad 24 Feb.

Super MARIO and what the YELLIN' is all about. Thx for this interesting outlook

fx_lmcap avatar
fx_lmcap 24 Feb.

Thanks!

Tasha_Mk avatar
Tasha_Mk 25 Feb.

good luck!!!

Melody avatar
Melody 25 Feb.

Nice report!

Govagent avatar
Govagent 25 Feb.

This is useful, thanks. saves me the effort of searching some information, great job ^_^

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22/61
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Introduction
In this article, GBP/USD will be analyzed both fundamentally and technically and as known nothing is impossible in Forex, so different scenarios will be drawn to express about the most probable scenarios with the GBP /USD.
What is affected the move of GBP/USD nowadays:
Fundamental Analysis:
GBP/USD is affected now by two different policies by both Bank of England (BOE) and United States Federal Reserve (FED) and also affected sometimes by UK internal issues like last Scotland independence vote which spread fears about UK unity, finally pound and other currencies is affected due to strong growth in US in the last months which make US$ to be favored.
  • Different policies by BOE and FED:

One year ago, BOE hinted about possible rate hike after improvement of employment and inflation which hit 2%, but after strong fall of inflation to below 0, BOE still not able to talk about possible rate hike before next midyear.
In different, US FED is ready to raise interest rate for the first time from years, FED delayed its first rate hike more than once in order to prevent broad US$ gains which may dampen US growth, this time rate hike is very near but if something horrible hit …
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Durden avatar
Durden 22 Sep.


Great article, well written and useful

A bearish opinion on Pound ; )

Airmike avatar
Airmike 23 Sep.

nice article

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4/53
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Introduction

The understanding of fundamental and technical factors affecting a currency pair will be critical for the success of any trader. Whilst fundamental analysis will give the general direction of the trend in the medium to long term, the technical analysis will give the trader indications and signals of entry and exit.
This article takes a look at some of the fundamental factors from Australia affecting the Australian dollar. Technical analysis of the AUDUSD is also performed.
Monetary policy
  • Australia.
In the monetary policy meeting by the Reserve Bank of Australia (RBA) on the 7th of July 2015, the central bank left the cash rate unchanged at a record low of 2%. Fig 1 below shows the interest rates in Australia.
Fig 1: Australia Interest Rates
In the statement, the policymakers were of the view that the monetary policy needed to be accommodative since the economy is likely to be operating with a degree of spare capacity. To this end the record lows interest rates will likely remain in place.
  • USA
The Federal Reserve (Fed) is widely expected to start increasing its policy rate later this year, but some other major central banks are continuing to ease policy. Thoug…
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lelipuzik avatar
lelipuzik 28 Aug.

i like it!)

Yulia_Krasitskaya avatar

good job, respect)

davidrubin avatar
davidrubin 28 Aug.

very useful

Margoshka avatar
Margoshka 30 Aug.

great !!!!)))

anna_n avatar
anna_n 31 Aug.

you are great guru!

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13/30
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Introduction
On the 13th of September 2012 the United States of America's Federal Reserve bank (Fed) announced a third round of quantitative easing (QE3). Under QE3 the Fed was to launch a USD 40 billion per month, open ended bond purchasing program of agency mortgage-backed securities. On December 12 2012, the Federal Open Market Committee (FOMC) announced an increase of USD 45 billion to the open ended purchases bringing the total to USD 85 billion worth of stimulus. The EURUSD had opened at 1.29 on the 13thof September 2013 and following the announcement a bullish trend was unleashed. Below is the hourly chart of the EURUSD during that period.
Having witnessed the signs of economic growth, the Federal Reserve announced its intention to taper the QE3 program contingent upon continued positive economic data on 19 June 2013. Tapering is a gradual winding down of central bank activities used to improve the conditions for economic growth, in this case QE3. Below is an comical illustration of tapering.
Following the taper announcement in June 2012, stock prices tumbled and the EURUSD dropped to 1.3000 at the end of June 2013 from 1.3393 on the 19th of June 2013. Below is th…
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llolor avatar
llolor 11 Apr.

Thank you all

Armands avatar
Armands 14 Apr.

Oh, I would never trust those guys :( Though article is interesting :)

Olga18375 avatar
Olga18375 16 Apr.

Very interesting article!

Faster avatar
Faster 22 Apr.

intersting article

Elani avatar
Elani 29 Apr.

I also agree that it was the intention first in June and the action later in December!

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20/29
Ranking
A novice trader thought the market was a tonto. You put testing and optimization into it at one side and it starts coining money from the other side. Before using his new news-based strategy in real trading, the novice trader did a number of persevering and quicker-than-a-second tests and optimizations. He came to the conclusion that profits were bigger if he placed orders 2-3 before the news and removed them 2-3 minutes after.
A catchy-red, strong piece of news was going to be published — Interest Rate Decision from the US Federal Reserve. The wretched novice trader was eager to make a million and 2 cents on that move. The decision was accompanied by a report from Mr. Bernanke. As Bernanke was a serious guy, he kindda delayed his report. The market, which had drawn itself into a thin filament before the decision, continued to stay calm right after the moment of the decision.
Of course, the novice trader was not going to wait and simply removed the orders 2 minutes after the news. The novice trader thought that the US Interest Rate Decision was actually a worthless piece of news capable of stirring up neither the Wall Street, nor all the dollar-chained currency pairs, nor even the
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KirillSergeev avatar

just test

Likerty avatar
Likerty 7 Jan.

I guess every trader havehis sad story about teh very beginings of his trading:))

Skif avatar
Skif 9 Jan.

Хорошая статья !! не хватает графиков ..(((

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9/35
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Introduction: QE stands for Quantitative easing, A tranche of Monetary policy employed by Central Banks to Lower interest rates and in turn boost the economy. In short, this is achieved by the New money being used to buy financial assets likes bonds or Mortgage backed securities (MBS) which with a rising price forced on by the relentless buying will force the yield lower. A great article explaining more about QE can be found here by Scramble. This method has been used a handful of times in economic history, notably by the Bank of Japan a decade ago when they faced the possibility of a Keynesian liquidity trap and deflation. However in the last 5 years it has been used by the US, UK, and the Eurozone. In the US, there have been 3 rounds of QE, it first came about right after the financial crisis in late 2008 at which point the Federal Reserve started purchasing MBS’s. Alongside cutting the base rate to almost zero, it increased its balance sheet by around $1.4 Trillion. Then in late 2010 it came out with QE2 with an aim to buy $600 Billion of treasuries. Most importantly is in the last few days – 13th September – the Federal Reserve announced “QE3” "To support a stronger economic…
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Tsandes avatar
Tsandes 22 Sep.

Great article! Good luck I hope for the best.

alifari avatar
alifari 24 Sep.

good read

LinnuxFX avatar
LinnuxFX 26 Sep.

Nice article, good new start, hope you keep your articles at your best level...

captain avatar
captain 27 Sep.

Very imformative article.

doctortyby avatar
doctortyby 27 Sep.

US QE3 Infinity... Hyperinflation

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