Tag: forex

Has the momentum changed on the US dollar?

Posted by WFG – September 28, 2011

Does the currently rally in US dollar show a paradigm shift?

The US dollar has recently been trading stronger. This trend started after the last FOMC meeting announcement on September 21. Most people have the impression that the strength has been due to risk aversion and it’s relationship to the US dollar. But it is possible that because the fed has not increased its balance sheet to stimulate the economy after QE2, and therefore not printing more US dollars, the currency might be fundamentally worth more. This relationship is especially apparent when we look at the CAD/USD pair. Read the rest of this article

Small Businesses Using the Forex

Posted by WFG – August 18, 2011

With the US debt causing so much uncertainty in the economy, some small business owners are looking to the Forex. This is a relatively new experience but with the downgrade, some experts suggest it’s the right move, as the economy might not bounce back as quickly as it has done before.

For more information on this topic visit The Wall Street Journal.

Tips for Forex Trading

Posted by WFG – July 4, 2011

While many traders look into risk assessment and portfolio management, some areas of the industry need more work. These strategies may help, but in to gain Forex trading success you will need some attributes that are in your subconscious.

Firstly you should treat Forex trading as a business. Lots of people jump into this industry and think they can get rich quickly. These people don’t realize that in this industry it takes time to develop a profit and you need to master the details before pushing yourself. If you treat it as a business then you’ll have more discipline and take a better approach.

Keep things simple. Most traders won’t spend the time to learn the basics of the system and will often make things harder than they need to be. More often than not you can keep things simple and follow the strategies of other people. These are tried and tested, and will often bring you profits and help with risk assessment.

Following from that, it’s also important to not try and change the existing trend. Research how the trend is acting and follow the hypes in the market. This will come with experience but remember to maintain a steady strategy and don’t get too ahead of yourself.

Learning from experience may also see you come across untrusted sources. The Forex market is largely unregulated and it’s wise to be cautious of the advice you receive. Be wary of the helpers that say too much as most respected traders keep quiet.