Author: FX

Trading Leveraged Products is risky The USD Index is down at 104.55 for a 3rd day in a row. Wall Street rebounded with the US500 +0.75% (3963) gain breaking a string of five straight losses. Treasury yields rose slightly following the deceleration in unit labour costs & rise in jobless claims. However, the 2/10yr yields are still shouting Recession – the curve remains -83bps. China confirms weak activity once again (Nov. CPI -0.2% m/m from 0.1% m/m). UK regulators fine Santander £107mn for anti-money laundering failures The US is set to levy fresh sanctions against…

Looking to trade chart patterns today? I’ve got a couple of wedge formations on USD/CHF and AUD/USD right here! Check out this retest and potential breakout: USD/CHF 1-hour Forex Chart Breakout alert! The wedge consolidation on USD/CHF has been getting tighter and tighter, which means that the pair must be gearing up to bust out soon. But which way will it go? Moving averages are pointing to a potential bearish move, as the 100 SMA is below the 200 SMA to reflect downside pressure. If USD/CHF closes below the wedge support around the .9350 minor psychological mark, we might just…

#PayPal,Weekly #PayPal’s stock price has eroded around -76% since forming the ATH peak (309.47) in July 2021 until today. The bearish trend of 2021 was extended in 2022 by erasing all the gains that had been accumulated since 2018. The current bearish trend is due to various factors, including its declining revenue. In the previous quarter, the financial report showed that the company’s revenue fell by -18% compared to the same period last year. Indeed, stock prices do not always rationally reflect the value of a business. One flawed but reasonable way to assess how sentiment around a company has…

If you were born in the 80s or 90s, you would have remembered a game called “pinball”. This game had a solid ball that would bounce off obstacles. Each obstacle or target that was hit would earn you some points. The goal of this game is to keep the pinball from falling while hitting the targets at the same time. Trading the forex markets is like playing pinball. The pinball would be price. Price should bounce off obstacles, which are the supports and resistances. Each time price bounces off one of these levels, it should move towards the next support…

Introduction to the Ichimoku Cloud Indicator The Ichimoku Kinko Hyo Indicator is one of the few technical indicators which can claim to be a complete trend following trading system. The Ichimoku Cloud Indicator uses the long-term trend component of the Ichimoku Kinko Hyo system so that traders may combine it with other short-term trend indications. What is the Ichimoku Cloud Indicator? The Ichimoku Cloud Indicator is a long-term trend following technical indicator which is based on the Ichimoku Kinko Hyo Indicator. This indicator plots a cloud-like area which is called the “Kumo”, which means “Cloud” when translated from Japanese. This…

USDIndex, H1 US initial jobless claims edged up 4k to 230k in the week ended December 3 following the -15k drop to 226k in the November 26 week. Claims are up from the 5-month low of 190k in the September 23 week, and a 53-year nadir of 166k in March, but are down from the 241k from the November 18 week which was the highest since mid-August. The 4-week moving average ticked up to 230k after edging up to 229k previously. Initial claims not seasonally adjusted surged 87.1k to 286.4k after dropping -49.7k to 198.3k. The US holidays are a…

Trading any kind of tradeable instrument, whether it be in the stock market, indices, bonds or commodities, is a difficult endeavor. Trading the forex market is a different beast. The forex market is probably one of the most difficult types of trading market that traders could dabble with. This is because unlike the above aforementioned tradeable instruments, currency pairs entail that traders are trading in a tug of war of supply and demand between two currencies. For example, a trader is looking to trade the EUR/USD pair. There are several factors that could occur. The EUR might gain demand and…

Introduction to the Hull Moving Average – HMA Indicator Traditional moving average lines such as the Simple Moving Average (SMA) often have a couple of weaknesses. They are either too lagging or too erratic. Traders try to compensate for these weaknesses by adjusting the number of bars which the moving average line would calculate for. However, adjusting the number of bars used only moves the characteristics of the moving average line along a spectrum of being too lagging or too erratic. The Hull Moving Average was developed to address these weaknesses. What is the Hull Moving Average – HMA Indicator?…

Xiaolu Chu According to CnevPost, Tesla (TSLA) sold a record 100,291 China-made vehicles in November, up 89.73% Y/Y and up 39.87% from October. Between January-November, company sold 655,069 China-made vehicles, up 62.86% Y/Y. Shanghai plant produces the Model 3 sedan and Model Y crossover. Cars for export are produced in the first half of each quarter, and cars for local delivery in the second half. Of 71,704 vehicles sold by Tesla Shanghai in October, 54,504 were exported and 17,200 vehicles were delivered locally. Purchase subsidies offered on models below RMB 300,000 will expire at the end of the month. The…

Trading with the trend is one of the most basic prerequisites for a high probability trading strategy. Although there are other types of trading strategies that does tend to produce high probability trade setups aside from trend following strategies, trend following strategies do tend to produce very high probability trade setups. This is because trading with the trend implies that traders are trading in the direction of the market’s long-term momentum. Trading in the direction of the trend significantly increases the probability of a trading strategy. The only variable left to be answered would be when or where to take…