Tag Archive Dollar

Banking on the Yuan




Banking on the Yuan in one of our recent trades.

We had been keeping a close eye on the Yuan reaching the price of around 7 to the Dollar.

The Chinese have in recent times been devaluing their currency to help bolster exports, so we chose to take a long position towards the 7000 area, however this area looks like a strong buffer and price could soon be taking a reverse action from the build up of sellers in the area which we believe to be having an effect at 69713.5.

Noting a trade war between the US and China, could create a space for the Yuan to operate as a rival reserve currency.

We’ve decided to take the money off the table and be grateful for the £199.90 before price heads south.

the Yuan

(Our trading and image was done using an account with UK based broker IG)

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 




Strong Pound or Dollar Weakness




Is it a Strong Pound or Dollar Weakness?

Still monitoring the current economic data, indices recently have been tumbling.

We’ve taken a trade in cable, taking in to account recent economic news relating to UK trade balance, this has shown a deficit of -£1.2 billion, which looks to have missed the market expectations.

Also noting however, is the news of the UK and EU negotiating diplomats who have come out and recently announced they’ve made progress in the Brexit talks, as both sides now seek to reach agreements in continuing in talks. This news will have given the Pound a boost while having a downside effect on the FTSE 100.

The Dollar on the other hand has weakened, recent data regarding NFIB Small Business Index which is a survey of small businesses showed the score as 107.9 which is less than previous months and missed market expectations of 108.9.

We unfortunately didn’t get the GBPUSD trade in the market as early as hoped, we’d have wanted as close to the 13000 as possible, we believe the strong Pound or Dollar weakness could continue some more up until the area below the 13400 price, an area that could still look to be containing many more sellers.

strong pound

(Our trading and image was done using an account with UK based broker IG)

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 




Still Holding for the Sale of Gold




Still holding for the sale of gold.

With the stronger US Dollar and rising US Treasury yields these both put pressure on gold prices, we still believe Gold could still be heading down for the price to touch the 1150 mark.

1150 still looks to be a strong area of Buyers to get in on the sale of gold and buy cheap and take price back up.

Even with a sale of gold, the commodity is still an investment, seen as a safe asset.

For the time being, price has been stuck at around the 1200 price area, and could still contain sellers waiting to drive price further down.

While we wait and keep hold of this trade, we’ll keep an eye on US Dollar and economic data as these could have a major influence on gold price.

sale of gold

(Our trading and image was done using an account with UK based broker IG)

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 

Trading CAD/JPY for Profit




Deciding this week on trading CAD/JPY forex pair for profit.

We intended on staying in the trade for only a short time rather than long term, knowing the Canadian Dollar is massively affected by oil prices, this is because of Canada’s export of energy, we had a slight concern over volatility.

Next week could be interesting for the Canadian Dollar and trading CAD/JPY due to the Bank of Canada monetary policy announcement that could add intense volatility to the Canadian Dollar.

Also the ongoing trade tensions that the Canada could have with the US with tension over trade with China is a risk for the Canadian Dollar.

We also took note of the Bank of Japan’s latest QE policy and how it deals with the latest inflation battle and at the same time, trying to give the Japanese Yen some strength to help it’s economic activity.

Still we managed to trade the CAD/JPY and take some profit of £143.90 for the fund.

Trading CAD/JPY

(Our trading and image was done using an account with UK based broker IG)

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 




Interest Hike gives Strength to the Dollar




With good data coming from the US we entered the USDCHF with expectation on the Dollar gaining strength from an interest rate hike.

Federal Reserve Chair Jerome Powell briefed the media on the Fed decision, markets had been waiting eagerly. Many had been anticipating a hike including ourselves, so wanted to get priced in to the market.

A recent downfall in price from above the 10000 mark had shown a quick sell off so investors and speculators of the Dollar and Swiss Franc could hope for a good position in the market.

We could see buyers at around about the 9800 mark waiting for the moment.

When the announcement  of the interest hike and been made by the Fed Chair we were in a good position to enter a Buy trade.

We still had to be a little cautious as always, knowing some news from coming out of Switzerland on the same day for the Swiss PPI m/m data – a leading indicator of consumer inflation, this data was released before the US data, coming in better than forecast gave some analysis on it’s potential impact on the USDCHF direction.

We entered the Buy trade for a short period of time, the Dollar strength could only be temporary, a huge amount of sellers could be lurking at around the 10000 and above zone.

We still managed a good profit.

Interest Hike

(Our trading and image was done using an account with UK based broker IG)

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 




 

Take Profits From Euro Weakness




Looking at the technical analysis showing the EURUSD set to breakout after months of sideways movement due to potential Euro weakness.

Soon we’d be looking at potential breakouts, possibly to the downside.

We could be seeing return of US Dollar strength as we move further into 2nd quarter as well as taking into account the Eurozone that has seen such a dramatic drop in growth over recent months proving to make further Euro weakness.

The ECB has started to reduce the quantitative easing due to the strong recovery in the region with real GDP has expanding for 19 consecutive quarters, meaning  it doesn’t need the excess liquidity provided by flooding the market with cheap Euros.

We exited with a nice £644.50 for the fund.

Euro weakness

(Our trading and image was done using an account with UK based broker IG)

If you want to learn how to make money online, then click here to learn about one of our Traders

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 




 

Short Term Profit of £24.60 on Pound Strength




With a recent surge of the Pound hitting the highest level since the Brexit vote June 2016 added with a Dollar weakness after the uncertainty of US trade policy helped the GBP to an increase of a 21 month high of 1.4345

Before the release of unemployment data with expectations of strong employment and wage growth could be a contributing factor for a chance by the Bank of England to raise rates in the coming  month.

Expectations have for some time think the Bank of England will raise interest rates thus giving the Pound more strength.

We took a quick opportunity to take a short term trade going long GBPUSD while the news was good.

Not bad for a quick £24.60 profit.

Pound

(Our trading and image was done using an account with UK based broker IG)

If you want to learn how to make money online, then click here to learn about one of our Traders

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 

A quick GBPUSD Long position for £143.60 profit

With some vital USD data due out today concerning CPI and US retails sales, the forecast for both wasn’t looking good a GBPUSD Long Position trade was for the taking.

With Brexit potentially weighing on GBP it has kept a steady level and managed some strength for a help to push up for a GBPUSD Long position, we managed to take £143.60

This could be a clue to the banks getting in a good position to hedge in case of good US data which will strengthen the Dollar and go short.

Either way, we did our analysis and took our opportunity to take a quick position.

GBPUSD Long Position

(Our trading and image was done using an account with UK based broker IG)

If you want to learn how to make money online, then click here to learn about one of our Traders

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 




Gold Short Trade for New Year Profit

With stock markets around the world on a somewhat new year surge, from a correlation point of view we thought we’d short Gold, added to this the recent weakness in the US Dollar supported a growth in the price of gold, however a new year strengthening of the dollar after a discussion of tax cuts and further interest rate hikes meant the surge in gold prices was a temporary phase.

The markets will also be waiting for Friday’s Non- Farm Payroll results which could go either way for the Dollar and could prove turbulent for gold

We went with a quick trade for a healthy £317.00 profit, a good result as we wanted to be in and out before further change in the market news.

Gold

(Our trading and image was done using an account with UK based broker IG)

If you want to learn how to make money online, then click here to learn about one of our Traders

*Please Note, Binary Options and Forex trading can carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 

 




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