U.S.: more rate cuts ahead?
The Federal Reserve has 50/50 chance to cut rates again by 50-25 basis points during this week meeting, as the worst economic recession since 1982 is permeating various levels of the U.S. economy. November mild inflationary numbers support a new rate cut decision. The Producer Price Index slid in fact for the fourth straight month by 2.2% and it rose only 0.4% annually. While inflation is contracting, the job data continues at the contrary to deteriorate to the 26-year high. For the week ending December 6th, payrolls jumped to 573,000 (530,000 expected) from 515,000 registered the previous week. The more stable four weeks moving average is now at 540,000 from 526,000, the highest level since 1982. In effect, after the financial institutions, the credit crunch is hitting consumers and the negative trend should continue for next year as well. In November, retail sales fell 1.8% (-2% expected) from October’s -2.9%, mostly due to a reduction of car sales.
Angelo Airaghi is a Commodity Trading Advisor, registered with the National Futures Association and the Commodity Futures Trading Commission. He has been an active professional since 1990 working for major international financial companies. In the past 10 years, Angelo Airaghi has been an analyst and commentator for national and international media.
Wednesday, December 31, 2008
Tuesday, December 30, 2008
U.S.: low interest rate scenario for now
U.S.: low interest rate scenario for now
With a strong move, the Federal Reserve overcame expectations last week and cut interest rates by 75 basis points to 0.25%. Rates should stay low for most part of 2009, since the Fed confirmed its desire to restart the economic growth in the shortest period of time. In effect, recession has worsened in the final part of 2008: more people are out of work, consumes are slumping and housing downtrend continues. In November, housing starts fell almost 19% month on month and are down 47% on a yearly basis by an estimate of the Commerce Department. Permits declined almost 16% and more weakness is expected in the near future. As a result, the Gross Domestic Product (GDP) could slump again in the last three months of 2008, probably more than the tiny move registered during the previous three months.
Angelo Airaghi is a Commodity Trading Advisor, registered with the National Futures Association and the Commodity Futures Trading Commission. He has been an active professional since 1990 working for major international financial companies. In the past 10 years, Angelo Airaghi has been an analyst and commentator for national and international media.
With a strong move, the Federal Reserve overcame expectations last week and cut interest rates by 75 basis points to 0.25%. Rates should stay low for most part of 2009, since the Fed confirmed its desire to restart the economic growth in the shortest period of time. In effect, recession has worsened in the final part of 2008: more people are out of work, consumes are slumping and housing downtrend continues. In November, housing starts fell almost 19% month on month and are down 47% on a yearly basis by an estimate of the Commerce Department. Permits declined almost 16% and more weakness is expected in the near future. As a result, the Gross Domestic Product (GDP) could slump again in the last three months of 2008, probably more than the tiny move registered during the previous three months.
Angelo Airaghi is a Commodity Trading Advisor, registered with the National Futures Association and the Commodity Futures Trading Commission. He has been an active professional since 1990 working for major international financial companies. In the past 10 years, Angelo Airaghi has been an analyst and commentator for national and international media.
Monday, December 29, 2008
Today's Best Stocks To Trade!
Free Research Report
Two Simple Rules To Trade Short Term PowerRatings
Two Simple Rules To Trade Short Term PowerRatings
If you focus on PowerRatings, Entries and Exits may possibly be the most important part of learning how to build profitable trading strategies. We published detailed research showing how you can potentially maximize your edge.
PowerRatings simulated results are based upon a holding period of five days. If a stock had a PowerRating of 10, its simulated returns are based upon buying a stock on the opening and exiting the stock five trading days later. But, as we will teach you here, one can dramatically improve the simulated returns by adding two simple trading rules.
Sunday, December 28, 2008
3 Ways to Trade Forex News
Surely a comprehensive survey of every user of every currency is impossible. However, there are ways to aggregate and access some information in one place. This is the purpose of news and announcements. News comes from a variety of sources--both commercial and governmental. In the Forex, an emphasis is placed on the value of information or news from government sources. This is fine and is certainly a location on which I place a lot of my own attention, but commercial sources and general investor commentary can do a lot to improve your trading as well.
The purpose of this article is to provide some basic step-by-step methods you can employ today to take advantage of forex news in the market. I have some experiences that I will share to show how you can find some great trades and how you can identify the duds before they become real bombs in your portfolio. The examples I am using in this article are not the only possible trades available. There are a variety of events each month that can be used to time a good trade. It is useful to watch ongoing news stories that are currently dominating the headlines and minds of investors to identify trading opportunities. The significance of one piece of news over another will change over time. An easy gauge to tell what is important and what can be minimized is the news coverage itself. If one piece of information or speculation about that information is dominating the scene, then it is clearly something you need to be aware of.
As we proceed through this article, I will share some rules that I have used in the past to profit from news events. However, I think it is somewhat foolhardy to rely completely on a set of rules established in the past. Adjusting your price targets and stops to market volatility and your own risk tolerance is very important. Similarly, while I consider myself a swing trader--willing to hold a position for between 2-3 days and 2-3 weeks--there is a lot of room for good day- or shorter-term traders and long-term traders as well. I will periodically take some very short-term trades around a specific announcement, and I will share those circumstances with you in this article. Understanding the news is very important for every trader, especially those looking at the long-term play. In my book, Profiting with Forex, I spend a great deal of time illustrating the long-term effects of fundamental changes on the Forex.
Before we begin diving into specific strategies, it is important to accumulate our arsenal of trading weapons. Two of the strategies I will be discussing rely on the use of an outright long or short position. You could take this position in either the spot Forex market, which most of you are probably using, or in the exchange-listed currency futures market on the CME. The third strategy begins diving into the world of options. For those of you familiar with equity options, currency-futures and some spot Forex dealers offer similar instruments for trading. Recently exotic, single-payment and binary options have also become popular. I will refrain from going into too much detail here and instead just pick one type as an example. Check them out on your own, and see how they work for you.
Example #1
The first technique I have to share comes with a couple of tips. First, I have found that news that involves the U.S. dollar usually has the biggest impact on the market as a whole. I am sure most traders are already aware of this, but with very few exceptions they tend to be the most closely watched by the greatest number of participants. Each month there are some ï'hotï' news announcements, one of which is the unemployment report, which is released on the first Friday of each month. The trick with this, however, is that the largest moves are usually made when the numbers miss or beat expectations. But be careful. The correction usually happens very quickly. I use an easy technique to get me into the market before the move occurs with a generous stop and limit order on the other two sides of the trade.
The purpose of this article is to provide some basic step-by-step methods you can employ today to take advantage of forex news in the market. I have some experiences that I will share to show how you can find some great trades and how you can identify the duds before they become real bombs in your portfolio. The examples I am using in this article are not the only possible trades available. There are a variety of events each month that can be used to time a good trade. It is useful to watch ongoing news stories that are currently dominating the headlines and minds of investors to identify trading opportunities. The significance of one piece of news over another will change over time. An easy gauge to tell what is important and what can be minimized is the news coverage itself. If one piece of information or speculation about that information is dominating the scene, then it is clearly something you need to be aware of.
As we proceed through this article, I will share some rules that I have used in the past to profit from news events. However, I think it is somewhat foolhardy to rely completely on a set of rules established in the past. Adjusting your price targets and stops to market volatility and your own risk tolerance is very important. Similarly, while I consider myself a swing trader--willing to hold a position for between 2-3 days and 2-3 weeks--there is a lot of room for good day- or shorter-term traders and long-term traders as well. I will periodically take some very short-term trades around a specific announcement, and I will share those circumstances with you in this article. Understanding the news is very important for every trader, especially those looking at the long-term play. In my book, Profiting with Forex, I spend a great deal of time illustrating the long-term effects of fundamental changes on the Forex.
Before we begin diving into specific strategies, it is important to accumulate our arsenal of trading weapons. Two of the strategies I will be discussing rely on the use of an outright long or short position. You could take this position in either the spot Forex market, which most of you are probably using, or in the exchange-listed currency futures market on the CME. The third strategy begins diving into the world of options. For those of you familiar with equity options, currency-futures and some spot Forex dealers offer similar instruments for trading. Recently exotic, single-payment and binary options have also become popular. I will refrain from going into too much detail here and instead just pick one type as an example. Check them out on your own, and see how they work for you.
Example #1
The first technique I have to share comes with a couple of tips. First, I have found that news that involves the U.S. dollar usually has the biggest impact on the market as a whole. I am sure most traders are already aware of this, but with very few exceptions they tend to be the most closely watched by the greatest number of participants. Each month there are some ï'hotï' news announcements, one of which is the unemployment report, which is released on the first Friday of each month. The trick with this, however, is that the largest moves are usually made when the numbers miss or beat expectations. But be careful. The correction usually happens very quickly. I use an easy technique to get me into the market before the move occurs with a generous stop and limit order on the other two sides of the trade.
Saturday, December 27, 2008
Forex News Trader
How do the majority of profitable Forex traders truly profit in the FX market? One way… they trade the news!
Forex News Trader was developed to give traders the edge they need to learn how to trade based on economic news events from around the world. The same edge the institutions use to make hundreds of millions and even billions of dollars in profit each year.
Forex News Trading will provide you with the information you need to give you a true insider’s understanding of the Forex markets. You will feel confident in your trading, and never doubt your trades again.
Does this mean you will win every trade? No, of course not, but armed with the knowledge Forex News Trader will provide you, you will never be afraid to take that next trade - as the odds will now be tipped in your favor.
Each and every month there are a tremendous number of news releases for the Off Exchange Retail Foreign Currency Market (FOREX). Many of these events and announcements move the markets considerably. But how do you properly capitalize on these moves? Get it wrong and you could be wiped out. Get it right and you can be in a small group of trading elite, consistently pulling pips out of the market each and every week.
Forex News Trader was developed to give traders the edge they need to learn how to trade based on economic news events from around the world. The same edge the institutions use to make hundreds of millions and even billions of dollars in profit each year.
Forex News Trading will provide you with the information you need to give you a true insider’s understanding of the Forex markets. You will feel confident in your trading, and never doubt your trades again.
Does this mean you will win every trade? No, of course not, but armed with the knowledge Forex News Trader will provide you, you will never be afraid to take that next trade - as the odds will now be tipped in your favor.
Each and every month there are a tremendous number of news releases for the Off Exchange Retail Foreign Currency Market (FOREX). Many of these events and announcements move the markets considerably. But how do you properly capitalize on these moves? Get it wrong and you could be wiped out. Get it right and you can be in a small group of trading elite, consistently pulling pips out of the market each and every week.
Friday, December 26, 2008
KEY FEATURES OF ACETRADER:
KEY FEATURES OF ACETRADER:
Intra-day Strategies
Performance in 2006
Intra-day Strategies
- Up-to-the minute update around the clock
- Provide users with our views and recommendations at that moment
- A unique 20-30 pips range forecast for close monitoring of the intraday movements
- Aim at quick 30-45 pips profits trades throughout the day for intra-day traders
- Updated 3 times a day with interim up-to-the minute special updates
- Provide users with our views and recommendations at that moment
- Aim at 60 - 90 pips overnight trades for position traders
- Sound alert is now available in AceTrader. You don't need to be 'glued' to the screen any more. Whenever there is a change in Strategy/Entry Level, Position, Objective or Stop-Loss, you'll hear a beep sound. You can focus on something else and check us out only when you hear the alert.
- Updated every Monday to give a forecast and trading recommendations for the week.
- Specially designed for position traders looking for bigger moves of 100 points or more.
- Monthly forecast
- Gives an overall market overview of one month and slightly longer
- Provides detailed analysis of USD/YEN, EUR/USD, USD/CHF and GBP/USD every day, highlighting important support and resistance levels, retracement and projection analysis, and technical indicators used in forming our trading recommendations.
- With this, you'll know what is likely to happen during the day and what to expect next when a certain support or resistance is broken.
- Bi-weekly detailed explanation of Elliott wave count of the selected major currencies
- Includes Larger Degree Wave Count
Performance in 2006
Thursday, December 25, 2008
GBP/USD is Trying To Base?
As the economic numbers are worsening in the U.S., the Federal Reserve might cut rates again in one the coming meetings. The U.S. dollar, in the mean time, appears to be topping against major currencies.
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The economic growth is worsening in the U.S.
Economic numbers are worsening in the United States, as consumes are contracting, housing has not found a bottom yet and unemployment is rising. So, in an effort to stop what appears to be landslide, the Federal Reserve could lower rates again in one of the coming meetings. In November, payrolls declined by 533,000, while October’s data was revised to 320,000 from 240,000 and September’s to 403,000 from 284,000. Unemployment rose 0.2% month-on-months to 6.7%, from 6.5% in October which represents the highest level of the past 15 years. Like the previous months, job losses were broad based and only the government sector added new positions. In reality, the deep economic contraction is permeating various levels of the U.S. economy. Factory orders, as an example, slumped 5.1% (-3.0% expected) in October, the worst down move of the past eight years, after sliding 3.1% in September. Demand for durable goods declined 6.9%, while non-defense capital goods excluding aircraft, an indicator for capital spending, slid 5.0% after falling 3.4% in September. Since a few months, both the manufacturing and the service industries are in steep downtrend and more weakness is expected in the near future.
Angelo Airaghi is a Commodity Trading Advisor, registered with the National Futures Association and the Commodity Futures Trading Commission. He has been an active professional since 1990 working for major international financial companies. In the past 10 years, Angelo Airaghi has been an analyst and commentator for national and international media.
This article contains the following sections:
# The economic growth is worsening in the U.S.
# Europe: a bold rate cut, more are coming
# GBP/USD: a strong rebound is possible?
Advertisement
The economic growth is worsening in the U.S.
Economic numbers are worsening in the United States, as consumes are contracting, housing has not found a bottom yet and unemployment is rising. So, in an effort to stop what appears to be landslide, the Federal Reserve could lower rates again in one of the coming meetings. In November, payrolls declined by 533,000, while October’s data was revised to 320,000 from 240,000 and September’s to 403,000 from 284,000. Unemployment rose 0.2% month-on-months to 6.7%, from 6.5% in October which represents the highest level of the past 15 years. Like the previous months, job losses were broad based and only the government sector added new positions. In reality, the deep economic contraction is permeating various levels of the U.S. economy. Factory orders, as an example, slumped 5.1% (-3.0% expected) in October, the worst down move of the past eight years, after sliding 3.1% in September. Demand for durable goods declined 6.9%, while non-defense capital goods excluding aircraft, an indicator for capital spending, slid 5.0% after falling 3.4% in September. Since a few months, both the manufacturing and the service industries are in steep downtrend and more weakness is expected in the near future.
Angelo Airaghi is a Commodity Trading Advisor, registered with the National Futures Association and the Commodity Futures Trading Commission. He has been an active professional since 1990 working for major international financial companies. In the past 10 years, Angelo Airaghi has been an analyst and commentator for national and international media.
This article contains the following sections:
# The economic growth is worsening in the U.S.
# Europe: a bold rate cut, more are coming
# GBP/USD: a strong rebound is possible?
About AceTrader
About AceTrader
We provide genuine real-time forex market commentaries and trading recommendations to both Reuters and Internet users. Led by world renowned technical analyst, Wilson Leung, we have a team of 7 analysts monitoring the market and updating our recommendations and commentaries 24 hours a day. Wilson Leung has over 20 years of experience in forex market. He is a regular speaker at Technical Analysis seminars all over the world and has conducted over 100 such seminars with Reuters for forex traders in Asia, Continental and Eastern Europe, Scandinavia, CIS and the Middle East.
Our key strengths are:
| As the Internet operation arm of Trendsetter Financial Markets Limited, AceTrader provides 24-hour realtime forex trading recommendations and market commentaries to online traders through our website. These trading recommendations and market commentaries were originally available to institutional traders through Reuters network only. Now it's available to all individual online traders. |  |
We provide genuine real-time forex market commentaries and trading recommendations to both Reuters and Internet users. Led by world renowned technical analyst, Wilson Leung, we have a team of 7 analysts monitoring the market and updating our recommendations and commentaries 24 hours a day. Wilson Leung has over 20 years of experience in forex market. He is a regular speaker at Technical Analysis seminars all over the world and has conducted over 100 such seminars with Reuters for forex traders in Asia, Continental and Eastern Europe, Scandinavia, CIS and the Middle East.
Our key strengths are:
- Precise Recommendations
No-nonsense clear-cut recommendations that include specific entry, stop, target levels. - Full coverage of the market
As long as the market is open, we're there providing insights to you. - Real-time updates
Foreign exchange is a fast market, with real-time being the vital ingredient for success; analysis from an hour ago can sometimes become useless. - Multi time-frame recommendations
To profit from the market, one needs to know the short term, medium term and long term trend. Providing intra-day, daily, weekly and medium term analysis and recommendations is our unique feature.
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