Educations

Oil breaks Thursday’s low as reversal continues

Oil breaks Thursday's low as reversal continues

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Crude drops The market has been turned on its head in the past hour as the US dollar jumps and everything else slumps. Oil was at the leading edge of the reversal after topping out at $53.31. The reversal has boosted USD/CAD to 1.3272 and the move has yet to stall out. Update: There has…
US stocks open lower. 5 day higher close string in jeopardy

US stocks open lower. 5 day higher close string in jeopardy

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Major indices down about -0.5% The major US indices are opening in the red. That jeopardizes the 5 day higher close for each of those indices. The snapshot of the market shows: S&P index -13 points or -0.51% at 2583.63 NASDAQ index -39 points or -0.56% at 6947.14 Dow industrial average -117 points or -0.49%…
An overview of how many trades per month

An overview of how many trades per month

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A look at the different factors influencing the number of trades one makes ForexLive Well, how often should I expect to trade? One question that many beginner traders ask is, 'How many trades should I take each month?' It is obvious why it is asked as traders are trying to calculate what their potential gains…
The dollar index is non-trending and looking for the break after 2018s run higher

The dollar index is non-trending and looking for the break after 2018s run higher

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2018 was bullish but the last 2 1/2 months went sideways In 2018, the dollar index moved higher with the price mostly trading above it's 100 day MA since the break higher in April (see blue line in the chart below).  There was a 6 day period in September when the price closed below the…
Algorithmic trading: Do the masters of the old school have a future?

Algorithmic trading: Do the masters of the old school have a future?

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A glance into algos and how they compare with the human elements of trading ForexLive Man vs Machine Once upon a time in the financial world it was all about getting the right 'man' to do the trading. Now, you may be forgiven for thinking that it is all about getting the right machine.  The…
Why you get huge currency moves at this time of day

Why you get huge currency moves at this time of day

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Huge, huge moves in currencies in the past few minutes: The thing about this time of day, and I repeat this over and over again, is the forex market is at its thinnest for liquidity for the entire 24 hour cycle. The only active FX markets are NZ and Australia. So, if it rains, it…
Making the best use out of moving averages

Making the best use out of moving averages

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A look at one of the most used tools in a trader's trading arsenal A moving average is a simple tool that traders use for different purposes. The main advantage is that it makes trading smoother and if used correctly, can lead to favorable trading results. A simple moving average is calculated by adding the…
There is good volatility and there is bad volatility

There is good volatility and there is bad volatility

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Stanley Druckenmiller on how markets have changed When Stanley Druckenmiller complains, you know it's tough. He's a billionaire and undoubtedly one of the greatest traders of all time. He laments how algos and quants have changed the game. "I made 30 percent a year for 30 years. Now, we aren't even in the same zip…
Ray Dalio helps put recent economic & market moves in perspective

Ray Dalio helps put recent economic & market moves in perspective

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Ray Dalio is the founder one of the world's largest hedge funds, Bridgewater Associates. He is one of the 100 wealthiest people in the world. If you are unfamiliar with how Dalio understands the economy and markets (ie. his mental model of how these work) this article he shared over Christmas is a good read.…
Sizing up market expectations in trading is more important than you think

Sizing up market expectations in trading is more important than you think

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A lot about trading is about anticipating what to expect ForexLive One of the beauties of trading is that every trader has their own unique style and approach when going about their business in the market. Each and every one of us has their own trading compass. But even so, one of the most important…