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Wednesday, April 16, 2008

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Thoughts On Forex

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If you take the time time to learn the art of forex trading you can potentially earn $3,000 or more per month by working about 4 hours per day. Forex trading can be the best home based business you can dream of.
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The more questions you ask, the more you�ll educate yourself about all aspects of foreign currency trading. It can be useful to subscribe to some electronic forex publications as well. With ongoing education and networking, you�ll soon be trading like a pro
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The highly liquid and volatile currency markets offer opportunities for speculators every day. Most speculators tend to focus on the so-called �majors,� which are the most actively traded currencies and include the U.S. dollar, the euro, the Japanese yen, the British pound, the Swiss franc, the Australian dollar and the Canadian dollar.

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FAIR VALUE
The concept of fair value in any currency is largely that of CBers and economists and not much about trading. Almost always currencies overshoot from the fair value areas some 20-30% in their medium-term trend and what makes all hard currencies range in reasonable areas overtime since we had this floating regime in 1971 must the ability of relevant CBs to control the currency ranges and their real economy's weakness or strength to support those ranges. ECB folks were not joking when they said Eur/usd was some 25% undervalued from the fair value when Eur/Usd was below parity levels two years ago. Same goes for BOJ when they were saying Yen was some 10-20% overvalued when it was trading around 100 some three years ago too. That is how these folks view the markets and try to guide the market. Of course, when US Treasury folks say "Dollar is still strong" when it is falling, they are begging the market to sell more dollars
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Forex made Easy News From Around The World

Daily Forex Market Commentary for October 18, 2006

Thu, 19 Oct 2006 01:11:00 GMT
Forex Market Commentary for October 18, 2006
GFT Daily Forex Market Commentary by Cornelius Luca


The dollar fell broadly on Tuesday amid a very strong TIC data report, a very strong core PPI and a very weak industrial production...



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