UFXBank Daily News: Canadian Dollar appreciates to highest level since Nov 2007

Posted by admin on July 27, 2011 under forex market | Be the First to Comment

USD Dollar (USD) – In forex trading, the dollar slumped against most of the major currencies before the U.S. House of Representatives vote on a plan to cut government spending in exchange for raising the debt ceiling. The CB Consumer Confidence report came out at 59.50, better than the expected 56.00 and New Home Sales came out at 312K, worse than the expected 320K. The Stock Markets in the U.S. closed negative as the Dow Jones fell by 0.73% and the NASDAQ fell by 0.10%. Crude oil rose by 0.4% and closed at $99.15 a barrel. Gold (XAU) advanced by 0.30% and closed at $1,616.80 an ounce. Today, the Core Durable Goods Orders are expected at 0.50% vs. 0.70% previously, and Crude Oil Inventories are expected at -1.30M vs. -3.70M previously.

Euro (EUR) – The Euro rose against the U.S. Dollar and remained around the 1.4500 area. As long as the pair trades above the 1.4480 level, the momentum for the pair is bullish towards the 1.4700 zones. Overall, the EUR/USD traded with a low of 1.4356 and with a high of 1.4535. Today, the German CPI is expected at 0.30% vs. 0.10% previously.

EUR/USD – Last: 1.4505

British Pound (GBP) – The Pound strengthened against the greenback before the debt vote in the U.S. The GDP annual advanced reading showed an expected decline at 0.20%. Further appreciation for the pair is possible if the resistance level of 1.6370 is breached, otherwise we might see some technical adjustment down to 1.6280 zones. Overall, the GBP/USD traded with a low of 1.6265 and with a high of 1.6323. Today, the CBI Industrial Trends Orders are expected at -3.00 vs. 1.00 previously.

GBP/USD – Last: 1.6427

Japanese Yen (JPY) – The U.S. dollar fell against the Yen to the lowest level since the earthquake in Japan last March, as U.S. president Obama addressed the nation on the economy. Trading below the resistance level of 78.00 keeps the trend negative for the pair. Overall, the USD/JPY traded with a low of 77.77 and with a high of 78.68. No economic data is expected today.

USD/JPY-Last: 77.83

Canadian dollar (CAD) – Canada’s dollar appreciated to the highest level since November 2007 as the greenback declined against all of its most-traded counterparts on concern that the U.S. may fail to reach an agreement on raising its debt cap. The pair broke the support level of 0.9440 and held; if the rate remains below this support level, we can see the Canadian Dollar at 0.9350. Overall, the USD/CAD traded with a low of 0.9434 and with a high of 0.9474. Today, no major economic data is expected.

USD/CAD – Last: 0.9436

Forex Market review – The Dollar Index’s lowest daily close in six weeks

Posted by admin on June 27, 2010 under daily forex analysis, Daily Forex review, forex market | Be the First to Comment

Forex Market review

This Friday saw the Dollar Index’s lowest daily close in six weeks. The level of overall forex trading investor sentiment and the strength of the USD’s own fundamental backdrop will influence the Greenbuck, as both of these subjects are facing dramatic changes with a scheduled G20 meeting, deteriorating financial conditions in already unstable economies and the prominent risk of a negative nonfarm payroll reading on Friday. 

While risk appetite level, the relative economic health and level of yields behind the greenback are in flux, the currency’s status as a safe haven can easily overwhelm most other concerns that develop along the way.

Most common flaws involved in Forex trading

Posted by TomShort on December 21, 2009 under Daily Forex review | Be the First to Comment

Several traders get attracted to the sophistication provided by the multi indicators and make use of them in their Forex trading systems. A number of the confluence system indicators can show traders price movement. Because of this, Forex traders either end up over bought or over sold technical indicators like the momentum indicators, stochastic indicators, candle stick chart pattern recognition and Bollinger band break out neural networks that are supposed to be false intelligent systems. The technical indicators show traders signals that are similar to purchase or sell making the signal generated to be right.

Theoretically it sounds good however, in reality to arrive at a conclusion may be tough. As a result, the Forex traders are confused in taking correct decision. They wither enter too late or early still without being able to take a decision to enter the market. The major flaw is because of the use of useless trading system that does not serve the purpose of making gains, however confuses the traders and complicates the Forex trading unless the trader loses.

Another terrific flaw found in Forex trading is of an emotional nature between interwoven into the process. It is greed of the trader. A gainful Forex trade leads to exuberance and over joy, however it is the time when greed comes in and crosses the aspects of risk management. If traders are hooked to win out of greed they over ride all aspects to see more gains, only to see then crash to earth. They wait for the process to regain, however in dismay, some time and with worst possible losses.  It is the time when feat crops up and paralyses traders not making them to open any position. Therefore, while traders; traders must not override the emotional side of trading. They should stick to discipline of the trade that can protect them from committing the flow of Forex trading.

Another type of flow can happen when traders are unconcerned persons, lazy with no drive to obtain profits or feels the need to be gainful. These people would have entered into Forex trading because of the hearing it as an easy game. It is not a trade for them that involve skill, preparation, trade investment and trade management. It is a fun game for them, where loses do not make any kind of difference to then. Such persons can male a wrong footing with a wrong purpose. Flaws in Forex trading come because of the inadequate knowledge of the traders. Few of the losers start with best aim in the trade. Even if, they has obtained some knowledge from here and there, they may find it tough to apply them practically in the trade, Inadequate knowledge can be the major flow that stops traders from achieving success.