Thursday, July 30, 2009

24 Hours Make Money Through Forex Trading


Forex Trading BasicsIn the Forex market currencies are traded in pairs, therefore to profit from an exchange rate move you need to buy the currency that you expect will build and sell the other. FOREX is a perfect market to invest in, as it is free from any external control and free competition. Mostly, all Forex trading are tentative and unlike the stock market trading as it conducted on the "interbank" market, which is commonly thought of as an OTC (over the counter) market.Forex BasicOpen 24 Hrs. Daily: Everyone is allowed to trade on your own schedule, because Forex is a true 24 hour international market. Everyone is allowed to TRADE any of the day or night and even set up trades to execute while away from your computer. You should know that the Dealing Station closes at 4:00 p.m. Eastern Standard Time every Friday. Even though it is open 24 hours daily, the actual business exchange week begins at 5:15 p.m. Eastern Standard Time every Sunday. The Forex Trade Market is an international entity. Forex Trade Market hours overlap one another, making certain that there's always an open and available market. Traders can set up exchanges 24 hours daily.Forex trading real trading times:New York - 8:00 am to 5:00 pm ESTLondon 3:00 am to 12:00 noon ESTSydney 5:00 pm to 2:00 am ESTLondon - 3:00 am to 12:00 noon ESTInvestments Beginnings: Build your account quickly and easily with only an initial small investment. People can test the market with a trading account that does not involve large amounts money (start small $25). Major Leverage: The Forex trading has at least one hundred more leverage than regular stocks. Leverage is valued as on of the most engaging factors of the Forex market. However, increase leverage can also mean increased risk. Leverage is a loan granted to a trader by a broker to strengthen that trader's trade profits. Leverage is a huge part of the Forex trading business. Liquidity: In the Forex Market Exchange 90 percent of all the currency transactions consist of 7 major currency pairs, that provides price stability, smoother trends, and stronger levels of liquidity. Forecasts are done daily, consisting of buy/sell entry plans across 17 currency pairs issued twice daily. This liquidity mainly comes from the banks which offer cash flow to companies, investors and market players.Trade Opportunities: There is always potential for profit in the Foreign Exchange Markets, whether your trade is a rising one or a falling one. Anyone can uncover opportunities in a rising or falling market remember that, no matter which way the market is going, both potential profits and yet there are always risks to be considered.Similar to other financial markets, traders can enter the Forex exchange at the market or deal rate (i.e. Market Order) or at a future rate or a Stop; Stop Loss or Limit Order. The market is always moving and since Forex trading involves buying and selling of currencies, this allows traders to operate effectively in a gain or loss market. This connection between the trade buyer and seller always plays a role in creating price changes, sometimes anywhere between drastic and non-dramatic, and all major movements.With the basic information in this article on the benefits in Forex exchange; you are better prepared to begin your own personal international financial journey with Forex. As you begin to understand the way trends are moving and changing, you will be better prepared to recognize and predict trade patterns. The information in this article only touches briefly on a few Forex basics; therefore it is a good idea to take advantage of the internet for additional research. You will find that many websites that offer practice accounts that are effective resource to get you started learning this incredible market opportunity.

Syestem Winning Tips for Forex Currency Trading


The most irresponsible thing you can do when it comes to trading forex is to place forex trades without a plan. You may as well replace your toilet paper dispenser with your money clip! Sensible forex traders analyse the market carefully first, make sure that that they understand the ins and outs of currency trading, and then work off of an action plan. This is what's known as a currency trading strategy.
Although the currency exchange market is constantly changing, you still need a currency trading strategy, certainly one that can accommodate unknowns and surprises. Here's a few tips that make for a solid Forex Currency Trading Strategy:

1. First and foremost, you should determine exactly how much capital you can afford to lose. You may feel that this is a little negative, but at the risk of sounding cliché, it's not, it's just realistic. The purpose of course is to make money trading forex, but the danger is also quite real that you'll lose some along the way. You will make some losses - it's normal! It's due to this that you should never invest money that you can't afford to reasonably part with. There are safety measures that you can put in place that will make you less likely to lose your total startup investment, using an effective money management strategy. This must be a part of your currency trading strategy - you'll be much better equipped than most.

2. Avoid putting all your capital in one currency. {Sounds similar to an old expression you may have heard several thousand times before? Never put all your eggs in one basket, and the same goes for forex trading. If you do, chances are much better that your investment will be wiped out if that currency bottoms out on you. As with all investing practices, diversification is key!

3. Examine the market. This is vital to a successful currency trading strategy! Which direction is the trend going? What's the overall mood among other traders? They all have a strategy too, and want to know what their peers feel about the market conditions.

4. Give yourself a preset timeline. How long are you going to stay in the market before taking your profits (or losses) and quitting for the day? It's important to know when to stop.

5. Learn the timing of the market. Timing is everything: Too late or too early and your potential profit disappears. When you learn to judge the market and make trades at the perfect moment, your habitual profits will rise. A good currency trading strategy will take into consideration this learning curve, and accommodate for a couple of mistakes in the beginning.

Above all, be prepared for a few surprises when it comes to forex trading. Currency trading strategies can offer some protection, the rest is up to resourcefulness and I say it, a spot of good forune.

Simulated Forex Trading

Untried traders who are interested in entering the world of Forex trading have more than one way to hone their skills in the market place. The availability of simulated Forex trading makes it possible to test themselves before diving into the deep end in search of a profit.
The advantage of working on a simulated program before beginning the real business of trading is clear; you can make a poor investment without losing a penny. It means that the new kid on the block can practice under realistic conditions and can afford to make the mistakes that he or she can learn from.
This simulated trading gives the full functionality of Forex trading and so can provide a real experience for the novice to help to build their confidence. As any trader knows, confidence is one of the things necessary to get ahead as too much caution can cost you opportunities.
Another valuable use of simulated trading is that it can help a new trader to develop their analytical skills. The prices quoted are real prices and the consequences of trading or not are used in calculating any alteration in price. Honing such an important aspect of trading as critical analyses of trends and developments is a huge advantage.
Any veteran of the market place will tell you that the best advice that can be given to a newcomer is "don't rush in". Jumping into trading could spell catastrophe for someone with no or very little experience, but by availing of a simulated Forex trading program a newcomer can get that experience and learn the tricks of the trade before really putting his money where his mouth is.

Free Your Currency and Forex Training


When you're investing in currency, you can't be ignorant about the multitude of factors that affect it positively or adversely. There are many places where you can find up to date information on how various currencies are performing and what's going on in the country relating to that currency. Automated Forex trading guides do take the news into account.
For example, did you know that recently, the British pound didn't fare so well compared to other currencies? A downward development in another country affected the British pound, which in turn acted as a trigger.

Saturday, July 25, 2009

Information On Forex Markets Worldwide

Forex is a buying and selling system also referred to as FX or foreign market exchange. Those concerned in the foreign exchange markets are some of the largest businesses and financial institutions from around the world. They deal in multiple currencies from many nations to produce a balance as some are going to gain money and those who fall down. The basics of forex are similar to the form of dealing found in any country, only much bigger and complex. Forex buying and selling involves individuals, currencies and trades from around the world, between every last country.


Different currency rates happen and change every day so the measure of the dollar on one particular day of trading might be different on the next trading day. Forex trading can be hard to keep track of so you must dedicate yourself to keep an eye out on your funds, especially if you have invested a great amount of them, there is a chance you could lose it all. Primarily, trading in the forex exchange occurs in Tokyo in New Your and in London as well as several other spots around the globe.

Forex Currency Exchange

Forex Currency Exchange Rate and How to Get Forex Success With the Rates.


If you are an active trader in the Foreign Exchange Market or the Forex, then you know the value of being regularly informed or updated of the current Forex exchange rate . Forex exchange rate is highly volatile. The exchange rate of a trading currency at one given time will not be the same the next day. To simplify the concept, theForex exchange rate of let’s say the Japanese Yen is 100 yen to 1 United States dollar, what it means is that 100 yen is equal to the value of 1 U.S. dollar. How do Forex traders profit from aForex exchange rate ? A trader buys a currency at a certain amount or exchange rate . The difference between the previous rate and the new rate when the currency was sold or exchanged is the profit that the trader made.

Participantant In Forex Market

Who are the participants in the FX Market?


The Forex market is called an 'Interbank' market due to the fact that historically it has been dominated by banks, including central banks, commercial banks, and investment banks. However, the percentage of other market participants is rapidly growing, and now includes large multinational corporations, global money managers, registered dealers, international money brokers, futures and options traders, and private speculators.

Introduction to Trading Forex

Fx market dealing is mainly about how much money is able to be made and some investors have found it quite easy to speedily take great sums of money in the uncertain forex market. Forex is the name of the foreign market where stocks are traded. On the web or in newsprints you will see the forex stock exchange as FX as well. Forex trading takes place through a agent or a financial institution sometimes where you are able to purchase other types of stocks, bonds and investments.

Active Options Trading In Mirant



he best simple account for this barter is that the broker was affairs to abutting the Jan. 15 calls, and rolling out to acknowledgment in the March and June calls. The January options of advance are due to expire tomorrow. However, the accessible absorption in the Jan. 15 calls is currently alone 23,000, so what is with the added 23,000? Well, the chump could accept absitively that he capital added March and June calls, so he awash the Jan. 15 calls to the bazaar makers for deltas. The chump can again boring shop for banal in the bazaar to awning the abbreviate Jan. 15 calls.
This broker may appetite to abide a bullish bet because the banal was as aerial as $25 as afresh as September. Of course, you can say that about a lot of stocks too. Bullish rolls like these do not beggarly that investors should run appropriate out and shop for the shares. But it is important to agenda if you watch Mirant that at atomic one broker is bullish for addition three to six months.

Dream Big Time In Real Time

Forex exchange is a windstormenvironment that can either boostyouwith a huge amount of profit, or leave you laid flat back with a dramatic loss. Just like stock exchange,forex trading does show the harder site of investment if you practice any wrong moves.It is not to say that forex exchange is not a wise investment plan to make a living,
but it is more like a challenge you have to win. You need to overcome a lot of complex situations and business plans, as many successors did, to meet the best of forex trading.

Thursday, July 23, 2009

The Express FX Course

  • Market Traders Institute's Express FX brings you the "Essentials of the Forex." The Express FX Trading Course has been designed to help the novice or beginning Forex trader understand how the Market works, and give them a broad overview of Currency Exchange.


    With the Express FX course you will receive:
    • 6 Comprehensive CD's and Workbook
    • FREE, one month's access to MTI 4.0 Charting
    • FREE, one month access to MTI FX Advisor
    • FREE Access to MTI's Live Trade Calls
    • FREE Access to MTI's Forex Trade Indicators

Monday, July 20, 2009

Forex Trading – Fundamental vs. Technical Analysis

Forex Trading- Fundamental vs. Technical Analysis

Which Forex trading strategy represents your style? While the Forex market differs from traditional stock markets, the fundamental trading strategies of fundamental and technical analysis can be applied. Understanding both styles and how to apply to the Forex market will enable you to create a strategy and a style of trading that is best suited to your risk tolerance and your financial goals.

Fundamental Analysis

When a trader utilizes fundamental analysis when executing their Forex traders, they are basing their valuation of currencies on crucial economic reports, otherwise called economic indicators. Examples of economic indicators for the Forex market can include interest rates, gross domestic product, economic news releases and unemployment rates for specific countries. For example, comparing unemployment rates of two countries can be considered as a fundamental analysis on the Forex market. News in relation to this economic indicator can be applied when making trading decisions.

Other possible economic indicators when applied to Forex trading can include Trade Balance numbers and the Consumer Price Index. When utilizing this trading strategy, traders must not only determine which economic indicators that they will be utilizing, but they must be alert to search and apply news and changes with regards to those indicators as they apply to currencies.

Technical Analysis

Technical analysis refers to utilizing a system, whether manual or automated, that looks at price movements among currencies. The systems will use technical indicators, working to provide the trader with advice on when to buy and sell pairs of currencies on the Forex market. Some traders prefer to select and monitor their own while others prefer to rely on automated currency trading software systems.

There are a variety of benefits to utilizing technical analysis to trade Forex, including:

  • Trends are easily found. When reviewing for price changes, technical analysis methods reveal the important trends necessary to make well informed trades.
  • Charting is easy and inexpensive to create and utilize. Whether you are manually tracking price movements through your own spreadsheets or are using a software program, is simple to understand.
  • Patterns in price are easily noticed, easy to follow and strong predictors of future currency behaviour.

Both technical and fundamental analysis provides a wealth of information in which to trade currencies on Forex. While many traders will utilize both strategies, most experts will recommend learning and mastering one versus trying to learn and implement both simultaneously.

Forex Signals

My name is Jordan and I am a full-time Forex trader. Not some self professed independently wealthy 'banker' who wants to show you a secret system, not some market wizard or internet marketer who doesn't know a thing about trading the markets, just a professional trader who makes a good living trading Forex.

The Forex Signals I provide are from JCL's Signal System and are to
help you learn how to trade so that you can earn extra income and become a full time trader yourself. This is why I do not provide some black box system signals but teach you how to trade yourself while providing you with the system signals to make it easier for new traders to begin making money trading Forex from the start.

You've come to the right place!

Forex Trading System

We are trend traders and trade a Forex trading system that is only buying pullbacks in up trends and selling rallies in downtrends. However, when trading a trend Forex trading system the first thing that you need to do is define the trend and we define the trend as by being an uptrend when the True Trend is positive and is a downtrend when the True Trend is negative.

True Trend = indicator which determines the greater trend of the currency pair being traded.


Trend Following Trading System

The Conquer is a swing/position trading system gains short term pips while in the process building into positions by allowing portions of winning trades to run and compound together increasing profits to ride the whole trend. Trades are only entered in the direction of the current trend defined by the true trend indicator when the Stochastic is oversold/bought against the trend creating a rubber band snap back effect as prices resumes back toward the trend.

The consists of 2 separate trading methods that together make up the Forex Trading System; the zero line cross & the drop in.

The amount of trades vary form week to week. We are trading eight currency pairs and usually when setup begin to trigger they trigger in groups. For example, with all pairs being extremely overbought/sold for the last ten day in the direction of the trend we have only had three trades this past week.

Ten days ago we were busy with trades (which have since taken profit and pieces of those trades ares still open and running with stops at break even (entry points) or existing trades locking in further profit). These trades have produced (with open trades) over a 8.5% return in those ten days - which is excellent! Yearly we are looking for mid-double digit gains with very low draw down (less than 10%).


Forex Trading System (Conquer)

Trading Time

The Conquer is traded off of the four hour time frame (H4) and the eight hour time frame (H8).


The 4 hour time frame can have a possible system signal period six times per day. You need to be available for at least three of the signal periods: 0:00, 4:00, 8:00, 12:00, 16:00 & 20:00 GMT.

The 8 hour time frame can have a possible system signal three times per day: 0:00, 8:00 & 16:00 GMT.

0:00 GMT = 8:00pm EST

Both time frames are traded on eight currency pairs (plenty of system signals) and
there are email and sms alerts to help you know when there is a new trade.

System Money Management

Along with our entry and exit rules we place a high importance on our money management. This is actually the most important piece of our forex system. Our position sizes and risk to reward ratios. If a series of trades stop out our loss is minimal and because of the high risk to reward we are using on each trade (ranges from 2:1 to great than 9:1) we know it only takes a couple of winning trades to recover from any draw down we might experience and expect to experience as is normal for all Forex trading systems. In other words, we expect to have losses and our trading plan is set accordingly so that those losses are small and we can recover quickly and move onto new account highs.

To sum it up, I have no idea what is going to happen in the markets ever (and I make a living trading!) so I am just following my All of the work went into developing the Forex trading system in order for me to be able to simply follow the rules.

Beginner Forex Currency Trading: What Is It All About?

For a beginner forex currency trading may seem to be a whole new world but in fact the basics are quite easy to learn. You just need to understand the buzz words and trading terms and grasp a basic understanding of how the markets work. Making big money in a short time is what forex currency trading is all about! It is possible for investors to make a lot of money very fast because the rates of exchange on the foreign market can rise and fall quickly. This means of course that it is risky and there is also a chance of losing a lot, just like most things in life that have the potential of big returns. As you will know if you have ever exchanged currency for a vacation, the rates are constantly changing. For example you may change $100 into another currency planning to travel, and then find that you do not need it and change it back. The rate will probably have changed in the meantime and you may even have made a profit. Forex traders deal in currencies hoping to make a profit all of the time, but instead of changing money at the bank they use a broker. Most transactions these days are handled online. In many ways it is not so different from stock trading. There is the same potential to trade in margins where a small balance held by your broker can control much larger deals. One difference from stock exchange trading is that forex traders are not limited to dealing in their own country. You can trade any two currencies regardless of where you live. This also means that the market is international. Because of time zone differences, it is open 24 hours a day from For a beginner forex currency trading may seem to be a whole new world but in fact the basics are quite easy to learn. You just need to understand the buzz words and trading terms and grasp a basic understanding of how the markets work.Making big money in a short time is what forex currency trading is all about! It is possible for investors to make a lot of money very fast because the rates of exchange on the foreign market can rise and fall quickly. This means of course that it is risky and there is also a chance of losing a lot, just like most things in life that have the potential of big returns.

As you will know if you have ever exchanged currency for a vacation, the rates are constantly changing. For example you may change $100 into another currency planning to travel, and then find that you do not need it and change it back. The rate will probably have changed in the meantime and you may even have made a profit.Forex traders deal in currencies hoping to make a profit all of the time, but instead of changing money at the bank they use a broker. Most transactions these days are handled online. In many ways it is not so different from stock trading. There is the same potential to trade in margins where a small balance held by your broker can control much larger deals.

One difference from stock exchange trading is that forex traders are not limited to dealing in their own country. You can trade any two currencies regardless of where you live. This also means that the market is international. Because of time zone differences, it is open 24 hours a day from Monday morning in Australia to Friday afternoon in New York.Each currency is represented by 3 letters: USD for the US dollar, GBP for the British pound, EUR for the Euro, JPY for the Japanese Yen, CHF for the Swiss franc, CAD for the Canadian dollar, AUD for the Australian dollar etc. The exchange rate between two currencies may be expressed like this: USD/CHF 1.14. This means that to buy one US dollar you will need 1.14 Swiss francs.

If you want to start out in forex trading you will need to look for a broker or investment management company that you trust. It is worth shopping around and checking online forums for recommendations. Check out how long the company has been in business and what your rights and liabilities will be. Read all of the fine print.You will probably also want to use a bot to do your trading for you. This is automated forex trading software that can trade 24 hours a day according to rules that you set for it. There is usually a demo option so that you can test out the whole system for a while before you let it trade with real money. There are many forex robots on the market and most of them come with full instructions for beginner forex currency trading.

Yen extends gains against dollar

LONDON (AFP) — The dollar fell Friday against the yen but rose against the euro as investors sought safe-haven currencies and awaited US consumer confidence data and the latest company results.

In afternoon London trade, the European single currency fell to 1.3926 dollars from 1.4024 dollars in New York late on Thursday.

The dollar slid to 92.44 yen from 92.96 yen late Thursday.

Many investors regard the dollar and yen as safe investments in times of economic uncertainty.

The Japanese unit resumed its rally as investors braced for potentially disappointing US consumer data and earnings reports, dealers said.

"The clear winner has been the yen," said economist Derek Halpenny at The Bank of Tokyo-Mitsubishi UFJ in London.

"It is the only major currency that has managed to advance against the dollar over the period since the equity markets in the US peaked on June 12.

"Until sentiment shifts in the financial markets, the likelihood is that yen appreciation could persist."

Later Friday, the foreign exchange market will digest US external trade data and University of Michigan consumer sentiment surveys.

"The markets will also be watching the progression of the second-quarter US earnings season, and US Treasury Secretary Geithner, who will be testifying before the House Financial Services Committee on the derivatives markets this afternoon," added Lloyds TSB Corporate Markets analysts in a note.

Meanwhile the Group of Eight (G8) meeting in Italy was drawing to a close with little impact on foreign exchange market sentiment.

Elsewhere, Japanese Economic and Fiscal Policy Minister Yoshimasa Hayashi said that the yen's rise posed a threat to Japanese exporters.

"For this reason, we need to keep monitoring moves in the stock and currency markets closely," he told reporters.

Markets are watching Japanese officials' comments carefully for any signs that Tokyo may be considering intervening in the market to curb the yen's rise, although analysts say it is unlikely to make a move at current levels.

Traders were also digesting data showing that Japanese wholesale prices dropped by a record 6.6 percent in June from the previous year, deepening concerns that the economy is heading into another bout of deflation.

In London trade on Friday, the euro was changing hands at 1.3926 dollars against 1.4024 dollars late on Thursday, 128.71 yen (130.42), 0.8587 pounds (0.8580) and 1.5166 Swiss francs (1.5120).

The dollar stood at 92.44 yen (92.96) and 1.0895 Swiss francs (1.0779).

The pound was at 1.6212 dollars (1.6341).

On the London Bullion Market, the price of gold fell to 910 dollars an ounce from 911.75 dollars an ounce late on Thursday.

Forex Account Chart




(Chart courtesy of FX Solutions' FX AccuCharts. Price on 1st pane, Slow Stochastics on 2nd pane; horizontal support/resistance levels in yellow; uptrend lines in green; downtrend lines in red; 50-period simple moving average in light blue.)

7/09/2009 "" USD/JPY "" Yen strengthening this week has manifested itself in a dramatic fashion on USD/JPY, a daily chart of which is shown. Needless to say, the 300+ pip plummet in the pair yesterday, not to mention the even more drastic drops in the yen crosses, highlighted the sheer magnitude of the yen"s very recent dominance. The drop on USD/JPY reached a low below 92.00 before relenting and retracing. That low point represents the lower border of a parallel downtrend channel that price has been traversing since the early April high. Therefore, yesterday"s move reached a significant target low for short traders. But the bearishness in this pair is likely not over yet. A key further support target to the downside resides in the important 91.00 region. Any substantial breakdown below that level could ultimately target the key 87.00 level. Tentative upside resistance in the context of the current downtrend resides in the 94.00 price region.

James Chen, CMT

Chief Technical Strategist

FX Solutions

IMPORTANT NOTICE: These comments are for information purposes only. The information contained on this document does not constitute a solicitation to buy or sell by FX Solutions, LLC., and/or its affiliates, and is not to be available to individuals in a jurisdiction where such availability would be contrary to local regulation or law. Opinions, market data, and recommendations are subject to change at any time. Forex trading involves substantial risk of loss and is not suitable for all investors.

Trading the 24/5 Forex Waves for Profit

Forex- Trading the Waves ArticleJust like surfing the ocean waves, there is a right time of day to catch the incoming or outgoing Forex tide waves. When the time comes and “the surf is up”, there is also an exact right moment to harness the maximum power of the individual wave as it approaches (on the cusp of breaking) and rushes in to shore. This is what support and resistance is in Forex, why it is so important, and why knowing where these levels are, having them plotted on your charts and trading them, and only them, is critical to trading Forex successfully.

The 24 hour cycle in the trading day has very distinct moments of opportunity to profit due to higher liquidity (more market participants with deep pockets) than other times. Arriving late to the wave breaking party is something a trader learns to avoid. Arriving on time or just ahead of time has tremendous benefits, including reducing the risk of trade failure while simultaneously maximizing the potential to profit in full from a given move. Catching the wave as it breaks and riding it in to profit shores is what makes money in this market. Many other lesser waves may come and go. A good surfer knows that it is worth by-passing the distractions while waiting for the best waves.

Forex traders often keep very strange hours due to the wave-trading windows of opportunity (especially the US East Coast traders, often up in the middle of the night US time to catch the London/Europe wave).

This article is a brief summary of the global trading sessions in approximate order of wave-trading priority. Also included are several of the regular special events in the currency calendar year.

In approximate order of priority –

1. London/Europe Open (Tide Coming In). This occurs from around 6.00 am London time, increasing in velocity by 7.00 am and in full swing by 8.00 am. In a bull market environment, Europe frequently sells the US Dollar down hard during this period of time while buying up their own currencies (subject to news data releases due and the US futures data). Being on board long at the beginning of this session (or when this session has finished selling EU or GU down in the wake of news and there is evidence of support coming in), is critical if market is going to head north that day. The price action begins here and generally continues tracking through until the US equity markets open. In a bear market, the reverse occurs, with price heading south with force during this time.

2. US Open. (Rip Tide Potential Beware). This session commences at 7am US ET. This is “Game On” time when the serious counter-trend challenge often begins. The US commences work for the day – it is the time of day when the USD is most likely to find or extend its support, or conversely, in a bull market, the US traders add their weight to the Dollar selling pressure. An hour earlier, at 6.00 am US EDT, the LIBOR rates (London Interbank Offered Rate - the short term interest rate at which banks loan to each other for the next 24 hours) are set in London. It happens on occasion that once the daily LIBOR rates are set (especially on a Friday, ahead of the weekend LIBOR rates), a given currency that has been performing very well may be sold off hard immediately after the LIBOR fixings. Some traders prefer not to trade on Fridays for this and other reasons (including the Quad Witching* every quarter) related to volatility and unpredictability ahead of the weekend.

3. US Equities Pre-Open. (Tide Wave Pre-Peak). Typically in a bull market, equity markets do much of their buying in the first 1 or 2 hours of market open. This speculation is often reflected in the currency market as it tracks the futures data. The majors often gain ground at the USD’s expense during this time. Red futures in the time slot pre-open, of course, indicate that market may go short that day, hence look to trade the majors short if so.

4. US Close. (Tide Going Out). Typically this occurs from around 7.30 pm US EDT, picking up speed around 9.00 pm. The US traders are bedding down the Dollar for the night, often buying it up at this point through until around midnight. Usually a good time to short the majors, not normally a good time to open a long position. After midnight, Asia then takes over, often reversing this move in anticipation of the upcoming Europe session.

5. Overlap US and Europe while the Dow is trading. (Tide Peak). This time of day is the point when market is at its most liquid. All major players are present and participating fully. This often results either in tight grid-lock between bulls and bears, or when sentiment shifts as a result of good/bad earnings or good/bad economic data, in forceful moves in either direction.

New traders needing a free international digital time clock that can be set to 4 international time zones (e.g. London, Berlin, New York, Tokyo etc) can obtain one from here (scroll down for the free download version, very good)


Forex Top Story


Greenback Falls Even As Jobless Claims Drop
7/16/2009 2:36 PM ET

(RTTNews) - The dollar failed to make up much of this week's losses versus other majors on Thursday as traders expressed increased appetite for riskier, higher-yielding currencies following gains in equities markets.

With investors once again feeling an economic turnaround may be on the way following an abortive start earlier in the year, the dollar has fallen out of fashion among those looking to play the recovery.

On the jobs front, first time claims for unemployment benefits continued to decrease in the week ended July 11th, according to a report released by the Labor Department on Thursday, with initial jobless claims falling by more than economists had been expecting.

The report showed that jobless claims fell to 522,000 from the previous week's revised figure of 569,000. Economists had been expecting jobless claims to fall to about 530,000.

The dollar dropped to a 16-day low of 1.4165 in early dealing versus the euro Thursday morning. The pair has been unable to sustain much direction over the past few months amid alternating concerns about both US spending and European monetary policy.

Meanwhile, the dollar hit a 2-week low of 1.6479 versus the sterling, moving closer to June's 7-month low of 1.6744.
Elsewhere, the Bank of Japan raised its economic assessment for the third month, citing an increase in public investment and pick-ups in exports and production.

In its latest monthly report of recent economic and financial developments, the central bank said Japan's economic conditions have stopped worsening.

Still, the dollar was able to hold most of yesterday's gains versus the yen, staying near 93.50. Earlier in the week, the dollar hit a 5-month low of 91.87 before stabilizing.

The dollar was stable versus the loonie on Thursday, holding near 1.1200 after hitting a monthly low of 1.1113 during the previous session. Even with the price of oil stuck in the mud near $60 a barrel, the petro-linked loonie has gotten a boost from renewed faith in the Canadian economy.

Back in the US, the Federal Reserve Bank of Philadelphia released a report on Thursday showing that its index of activity in the manufacturing sector fell by more than economists had been expecting.

The Philly Fed said its index of current activity fell to a negative 7.5 in July from a negative 2.2 in June, with a negative reading indicating a contraction in the sector. The index had been expected to slip to a reading of negative 4.8.

by RTT Staff Writer

For comments and feedback: contact editorial@rttnews.com