Forex and stock traders are looking for the consistently wrong investor, trader and take the opposite position. This will obviously lead to winning trades for them. All traders have read trading books that point out that increasing volume is good for the continuation of the trend. Many new stock traders will try and fight the trend.
Thursday, May 30, 2019
EUR/USD has declined for a third straight day
Wednesday, May 29, 2019
GBP/USD 5.29
After starting the week with slight losses, GBP/USD has paused in the Wednesday session. Currently, GBP/USD is trading at 1.2650, down 0.02% on the day. On the release front, there are no British events. In the U.S., the sole event is the Richmond Manufacturing Index, which is projected to climb to 6 points. On Thursday, the U.S. releases Preliminary GDP and unemployment claims.
Inflation in the U.K. has been moving higher. Consumer inflation pushed above the 2% level in April, with a gain of 2.1%. This marked a 4-month high. The upward trend has continued with shop price inflation, which accelerated to 0.8% in May, up from 0.4% in the previous release.
The U.S. consumer remains very optimistic about the economy, according to the latest CB consumer confidence index. The index jumped to 134.1 in May, up from 129.2 in the April release. This score easily beat the estimate of 130.1 and is close to 18-year highs. Retail sales were soft in April, but the sharp improvement in consumer confidence has raised hopes that retail sales data will improve in May.
•1.2615 is providing support
•1.2723 is the next resistance line
•Current range: 1.2615 to 1.2723
It is getting ugly out there and despite a backdrop of geopolitical risks that could squeeze supplies, the latest trade war threats from China could cripple global growth and thus take down oil prices. West Texas Intermediate crude is down 2.1% off its worse levels, while Brent’s decline is closer to 1.6% as no end appears in sight for the trade war. Crude is falling through key support levels and is quickly erasing the effects of the OPEC + production cuts. WTI’s end of year rally to mid-April has seen price give back roughly 40% of those gains.
Inflation in the U.K. has been moving higher. Consumer inflation pushed above the 2% level in April, with a gain of 2.1%. This marked a 4-month high. The upward trend has continued with shop price inflation, which accelerated to 0.8% in May, up from 0.4% in the previous release.
The U.S. consumer remains very optimistic about the economy, according to the latest CB consumer confidence index. The index jumped to 134.1 in May, up from 129.2 in the April release. This score easily beat the estimate of 130.1 and is close to 18-year highs. Retail sales were soft in April, but the sharp improvement in consumer confidence has raised hopes that retail sales data will improve in May.
•1.2615 is providing support
•1.2723 is the next resistance line
•Current range: 1.2615 to 1.2723
It is getting ugly out there and despite a backdrop of geopolitical risks that could squeeze supplies, the latest trade war threats from China could cripple global growth and thus take down oil prices. West Texas Intermediate crude is down 2.1% off its worse levels, while Brent’s decline is closer to 1.6% as no end appears in sight for the trade war. Crude is falling through key support levels and is quickly erasing the effects of the OPEC + production cuts. WTI’s end of year rally to mid-April has seen price give back roughly 40% of those gains.
USD/JPY 5/29
The US dollar is stronger this morning, although not markedly so. This follows on from a modestly stronger performance overnight, notably against the euro (EUR) and the sterling (GBP) both of which are suffering in the aftermath of the European elections and Italian budget woes.
Regional currencies are holding their own for now, but the sentiment remains fragile, and it will not take a lot for investors to hit the exit button on emerging markets and therefore many of the Asian regional currencies.
In Japan, the USD/JPY fell as investors bought yen on safe-haven flows, leaving the cross at 109.40. Strong technical support lies at 109.00 with any negative pronouncements from Trump or escalations on the trade front possibly setting off a test of this level. A daily close below 109.00 implies a deeper correction to USD/JPY is imminent.
Tuesday, May 28, 2019
charts Fibonacci
Fib Price Retracement Lines with the extensions turned on. You need to be aware of is that there are about as many rules methods for drawing in fibonacci as there are traders out there talking about them! Many traders and analysts disregard fibs entirely, as there are many traders who keep redoing in their fibs until the chart shows them what they want to see. By redrawing I mean choosing different highs and lows to measure until magically, the fibonacci line up with the trader's analysis.
While this complaint is valid, knowing that fibs indicator are only another indicator of many and that nothing works perfectly every time can give a trader enough confidence to use them effectively. There are many retail trading platforms that don't give data for more than ten or twenty years back in time. When you see the AUD/USD at all-time highs on your platform only able to see back to 1990 , be aware that this pair has traded much higher than now back in the 1980's. In this case, using Fib extensions can be very helpful.
Saturday, May 25, 2019
How to learn to be a successful Forex trader
How to learn to be a successful stock, forex , trader with a solid trading plan.
Learning to trade the investment markets you need to have skill and knowledge. The successful traders have learned how to trade and cut their trading losses. Here are some ideas on how to learn to trade the stock, futures, forex markets.
You need to learn from the ground up. You need to educate yourself about what forex market you want to invest in. You need to learn that in trading you will have losses, trading is risky that's why you need to educate yourself. The more you learn about investing the more confidence you will have when you place a trade. To make money trading you need have your own trading strategy and have your own profit and loss objectives. You must developed this yourself from trial and error.
You need to learn to be flexible in your stock trading style,not everything in a trade is cut and dried. When you place a forex trade from your own research you will be more successful. Take your time this is one of the secrets to profitable trading,don't be in a hurry just to place a trade out of boredom. Make sure to study the markets ,forex or stocks.Try paper trading first to get confidence in an investment trading strategy. This will make you confidant when you start to use real money to trade with. Scalping Strategy Course (DVD + Online) You need to developed a money management system that works for you. A plan of how much to put back into your account and how much to take out. This should be in percentages not dollar amounts. Most experienced traders try and profit 2% a day on the amount at risk in a trade. Make sure you set your targets and stops for each trade. Do not let your losses effect your confidence its part of any trading learning experience.
Learning to trade the investment markets you need to have skill and knowledge. The successful traders have learned how to trade and cut their trading losses. Here are some ideas on how to learn to trade the stock, futures, forex markets.
You need to learn from the ground up. You need to educate yourself about what forex market you want to invest in. You need to learn that in trading you will have losses, trading is risky that's why you need to educate yourself. The more you learn about investing the more confidence you will have when you place a trade. To make money trading you need have your own trading strategy and have your own profit and loss objectives. You must developed this yourself from trial and error.
You need to learn to be flexible in your stock trading style,not everything in a trade is cut and dried. When you place a forex trade from your own research you will be more successful. Take your time this is one of the secrets to profitable trading,don't be in a hurry just to place a trade out of boredom. Make sure to study the markets ,forex or stocks.Try paper trading first to get confidence in an investment trading strategy. This will make you confidant when you start to use real money to trade with. Scalping Strategy Course (DVD + Online) You need to developed a money management system that works for you. A plan of how much to put back into your account and how much to take out. This should be in percentages not dollar amounts. Most experienced traders try and profit 2% a day on the amount at risk in a trade. Make sure you set your targets and stops for each trade. Do not let your losses effect your confidence its part of any trading learning experience.
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