Showing posts with label foreign currency. Show all posts
Showing posts with label foreign currency. Show all posts

Tuesday, January 17, 2012

Investopedia: Currency All-Time Highs And Lows

There is little question that the end of the Bretton Woods system of fixed currency rates in the 1970s led to major changes in the global financial markets. Forex trading has become an enormous global market and it is hard to listen to an hour of financial news TV without hearing some mention of what's going on with the dollar. (The line between profitable forex trading and ending up in the red may be as simple as choosing the right account. For more, see Forex Basics: Setting Up An Account.)

Although fixed rates meant that for much of financial history the topic of forex rates was rather dry and academic, things have certainly changed since then. There has been a remarkable increase in trading volume and volatility and many major currencies have seen major swings in the floating market since 1990.


Read the full column here:
http://www.investopedia.com/articles/forex/12/currency-all-time-highs-lows.asp

Friday, October 14, 2011

FinancialEdge: How Will China's Currency Moves Affect The U.S.?

Much of the financial media may still be focused on the accelerating downward spiral of Greece or the anti-Wall Street protests in New York City, but China took a page from Glenn Close's book Wednesday and reminded the markets that it will not be ignored. The real question, though, is whether China's currency combat techniques and prickly sense of sovereignty represent a clear and present danger to U.S. businesses, consumers and investors.
What Happened 
The exchange rate between the U.S. dollar and the Chinese yuan has been a matter of contention between the two governments for quite some time. Put simply, the U.S. accuses China of manipulating the currency exchange rate. Strictly speaking, that is exactly right as it must be for unilaterally fixed exchange rates. In practice, the USD/CNY currency rate trades at a rate higher where it would be in a free-floating market, making China's exports cheaper than they would otherwise be and making imports into China correspondingly more expensive.

Read the full column here:
http://financialedge.investopedia.com/financial-edge/1011/How-Will-Chinas-Currency-Moves-Affect-The-U.S.aspx#axzz1aPf3YKKm

Monday, September 12, 2011

Investopedia: The British Pound - What Every FX Trader Should Know

Foreign exchange, or forex, trading is an increasingly popular option for speculators. Ads boast of "commission-free" trading, 24-hour market access, and huge potential gains, and it is easy to set up simulated trading accounts to allow people to practice their trading techniques.


With that easy access comes risk. It is true that forex trading is a huge market, but it also true that every single wannabe forex trader is going up against thousands of professions working for major banks and funds. The foreign exchange market is a 24-hour market and there is no exchange – trades take place between individual banks, brokers, fund managers and other market participants – but 10 firms dominate nearly 75% of the volume.


To read the full piece, follow the link below:
http://www.investopedia.com/articles/forex/11/british-pound-what-every-fx-trader-should-know.asp

Tuesday, September 6, 2011

Investopedia: The Swiss Franc: What Every FX Trader Needs To Know

Foreign exchange, or forex, trading is an increasingly popular market for investors and speculators. The markets are huge and liquid, trading occurs on a 24-hour basis, and there is enormous leverage inherent in the system. Moreover, it is opportunity to trade on the relative fortunes of countries and economies as opposed to the idiosyncrasies of companies. (For related reading, see 10 Ways To Avoid Losing Money In Forex.)


Despite many attractive characteristics, the foreign exchange market is vast, complicated and ruthlessly competitive. Major banks, trading houses and funds dominate the market and quickly incorporate any new information into the prices.


To read the full piece, please click below:
http://www.investopedia.com/articles/forex/11/swiss-franc-primer.asp

Wednesday, August 24, 2011

Investopedia: The Hong Kong Dollar -- What Every FX Trader Needs To Know



Foreign exchange, or forex, trading is an increasingly popular market for investors and speculators. The markets are huge and liquid, trading occurs on a 24-hour basis, and there is enormous leverage available to even a small individual trader. Moreover, it is opportunity to trade on the relative fortunes of countries and economies as opposed to the idiosyncrasies of companies. (For related reading, see The New World Of Emerging Market Currencies.)

Despite many attractive characteristics, the foreign exchange market is vast, complicated and ruthlessly competitive. Major banks, trading houses and funds dominate the market and quickly incorporate any new information into the prices. In fact, just 10 firms control about 75% of foreign exchange volume, and it is all but impossible for a currency trader to know who they are trading with at any particular moment.


To read the primer, follow this link:
http://www.investopedia.com/articles/forex/11/hong-kong-dollar-primer.asp

Monday, June 27, 2011

Investopedia: The Euro - What Every Forex Trader Needs To Know


Foreign exchange, or forex, trading is an increasingly popular market for investors and speculators. The markets are huge and liquid, trading occurs on a 24-hour basis and there is enormous leverage available to even a small individual trader. Moreover, is the forex market presents the opportunity to trade on the relative fortunes of countries and economies as opposed to the idiosyncrasies of companies. (For more, see Forex Leverage: A Double-Edged Sword.)

Despite many attractive characteristics, the foreign exchange market is vast, complicated and ruthlessly competitive. Major banks, trading houses, and funds dominate the market and quickly incorporate any new information into the prices. In fact, just 10 firms control about 75% of foreign exchange volume and it is all but impossible for a currency trader to know who they are trading with at any particular moment.


Click here to read the complete column:
http://www.investopedia.com/articles/forex/11/euro-what-every-fx-trader-needs-to-know.asp

Thursday, June 23, 2011

Investopedia: The Japanese Yen - What FX Traders Should Know


Foreign exchange (forex) trading is an increasingly popular market for investors and speculators. The markets are huge and liquid; trading occurs on a 24-hour basis, and there is enormous leverage inherent in the system. Moreover, it is an opportunity to trade on the relative fortunes of countries and economies, as opposed to the idiosyncrasies of companies.


Despite many attractive characteristics, the foreign exchange market is vast, complicated and ruthlessly competitive. Major banks, trading houses and funds dominate the market, and quickly incorporate any new information into the prices.

Foreign exchange is not a market for the unprepared or ignorant. To effectively trade foreign currencies on a fundamental basis, traders must be knowledgeable when it comes to the seven major currencies. This knowledge should include not only the current economic stats for a country, but also the underpinnings of the respective economies and the special factors that can influence the currencies. (For more, see Top 8 Most Tradable Currencies.)


To read the full column, please click below:
http://www.investopedia.com/articles/forex/japanese-yen-what-fx-traders-should-know.asp

Tuesday, June 21, 2011

Investopedia: The U.S. Dollar - What Every FX Trader Needs To Know


Foreign exchange, or forex, trading is an increasingly popular option for speculators. Ads boast of "commission-free" trading, 24-hour market access and huge potential gains, and it is easy to set up simulated trading accounts to allow people to practice their trading techniques. (For more, see Forex Trading: A Beginner's Guide.)


With that easy access comes risk. It is true that forex trading is a huge market, but it's also true that every single wannabe forex trader is going up against thousands of professionals working for major banks and funds. The foreign exchange market is a 24-hour market and there is no centralized exchange – trades take place between individual banks, brokers, fund managers and other market participants – but 10 firms dominate nearly 75% of the volume.


To read the full column, click the link:
http://www.investopedia.com/articles/forex/11/us-dollar-forex-traders-should-know.asp