The Complete Guide to Non-Farm Payrolls (NFP)
Non-farm payrolls data releases are influential on both economic policy and financial markets. Discover what non-farm payrolls are, the upcoming NFP dates for 2021 and how you can trade them.
What are non-farm payrolls?
Non-farm payrolls (NFP) are monthly measurements of how many workers there are in the US, excluding farm...
Currency Pair Correlations – Forex Trading
Understanding price relationships between various currency pairs allows you to get a more in-depth look at how to develop high-probability Forex trading strategies. Awareness of currency correlation can help to reduce risk, improve hedging, and diversify trading instruments. In this article, we will introduce you to Forex trading using...
How to Apply the Right Trading Tools in the Forex Market
When trading the financial markets, one always faces the dilemma of whether to enter a trade or pass on it. Some forex traders use their “gut feeling” to make this important decision. This instinct or intuition that some feel they have is more-often-than-not based on two principle emotions: greed...
The Importance of the US Dollar Index
To say the US dollar is important is an understatement.
According to the 2019 Triennial Survey of turnover in OTC FX markets, the US dollar retained its dominant currency status, on one side of 88% of all trades. Additionally, more than 60% of foreign exchange reserves are denominated in dollars,...
The Foreign Exchange Market and Inflation
Income and the price of products are vastly different to what they are today.
Mars Bars in the UK cost 29p in 2000, though cost 60p today.
The median annual earnings for full-time employees in the UK was approximately £30,000 in 2019, while in 2000 employees took around £19,000.
This is largely...
Why Do Spreads Widen?
The difference between a bid (buy) and offer (sell) price is the spread. We understand that the cost to trade is a major consideration for our clients, so we work hard to ensure we offer some of the most consistent and competitive spreads in the market. It’s our mission...
Five Ways to Survive in Extreme Volatility
When we combine leverage and incredible movement in financial markets, we need to adapt our approach. Otherwise, we run the risk of either being stopped out or in line for a loss that could be disproportionate to our account size.
When we anticipate greater movement in an instrument, the first...
How Global Events Can Affect the Foreign Exchange Market
Over the course of the past two decades, the forex market has grown into the world’s largest financial venue. In fact, according to the Bank of International Settlements (BIS) Triennial Survey for 2019, the forex market regularly posts an average daily turnover of more than $5.0 trillion. While these...
Factors Affecting the Cryptocurrency Market Today
Cryptocurrency refers to any digital currency that involves cryptographic technologies. Today, cryptocurrency is one of the fastest growing classes of trading assets, which represents great possibilities for making the profit.
Cryptocurrency is characterized by gradual growth and drop in rate, as well as abrupt changes. Like any other asset, the...
What are the Best Market Entry Strategies When Trading Forex?
One of the most important aspects of Forex trading is choosing the right entry point, the most successful moments in which it is profitable to open a deal.
There are several methods for determining entry points: chart patterns, Japanese candlestick patterns, technical indicators, etc. Let’s look at how to determine...
Can I Leave Orders Open over Weekends?
Friday is the end of the working week for traders as well. Ahead is the weekend and rest, after which again Monday comes, and the new working week herewith. Many traders are concerned about the question "What to expect from the new Monday?" What happens over the weekend? Should...
Forex Trading vs. Equities, Commodities and More
Top Down not Bottom Up
FX or Forex trading is one of the engines of global financial and economic systems. The decision by the United States in 1971 to allow the Dollar to float freely rather than be pegged to the value of Gold, effectively gave birth to both our modern...
The Most Traded Currencies in Foreign Exchange
According to the Bank for International Settlement Triennial Central Bank Survey (BIS), the Foreign Exchange market (or FX or forex market) is the largest and most liquid in the world with a global turnover measuring $5.1 trillion per day in 2016.
As disclosed in the table below (courtesy of BIS),...
What Are the Methods to Predict Forex Changes
To know how to properly analyze the market is equal to making money on it. The whole essence of work in the financial markets is the ability to predict the price movement. Therefore, leading analysts of the world come up with all the new ways and patterns by which...
Bitcoin Is a Bubble, Yet Cryptotrading Still Works
The first major economic bubble is related to the very idea of public trading. The moment East India Company started selling stock, it had dozens of copycats. Most of them ended up disappointing their investors, being unable to keep up with the first corporate world power. Other people made...
The Relationship Between Crude Oil And CAD
Historically speaking, crude oil and the Canadian dollar have had a very strong relationship, most of the time, the two assets having a high degree of correlation.
This can be explained by the fact that Canada holds the second biggest oil reserves in the world after Saudi Arabia. Moreover, a...
The Four Letter R-Word
Forex traders hear a lot about Risk; whether the markets are tolerant, averse, or neutral. It is a headline that is bandied about on a regular basis. Quantifying the value of risk, and its forex impact, may be so much harder to do in the trading arena, than reporting...
Times To Trade
Trading the OTC (over the counter) currency markets offers an opportunity to hedge stock and bond investing, but really is more of a traded market following the ebbs and flows of global commerce than it is an investment arena to plan retirement from. Getting to know six major currency...
Trading the Dollar With USDX
The US dollar index (USDX) is an important analytical tool for traders in just about any market. The USDX is actually a futures contract which means that if you have a futures trading account you could trade this instrument like corn, oil, gold or currency futures contracts. However rather...
Trade Bitcoin the Right Way
To say recent history has been an emotional roller-coaster for Bitcoin would be an understatement!
The market opened 2017 at a price of $966.0 and wrapped up the year at $18,960, carving out a whopping 1861.51% gain.
2018, however, has not been so kind. Deteriorating from its 2017 peak just south...
Trading Safe Haven Assets
Where does money flow in times of financial stress and why?
Safe haven assets are financial instruments or commodities that investors turn to in times of stress. We’re not talking about personal stress, not in this article, anyway, but the type of stress seen in the wider markets.
Capital is hard...
What is Bull and Bear in Forex Market
Bulls and bears are the main participants in the forex market. They differ in market behavior. These terms appeared on the stock exchanges but quickly came into common use in most financial markets, including Forex.
On Forex, both categories of traders expect a rise or fall in the exchange rate,...
Why Is Forex Trading Illegal in Some Countries?
Forex Financial Currency Exchange is the largest and most far-reaching market in the world, which gives many traders a chance to start a successful business and make money with the currency trading. Currency trading, like any other activity, is surrounded by numerous misconceptions and myths. They can affect every...
How Much Money You Need to Start Trading on Forex
One of the most common complaints about Forex is the high barrier of entry. With a value of a standard lot being 10 000 USD, a lot of traders prefer to skip the market entirely. However, there is no legal minimum for day-trading Forex — unlike with stocks and...
What Currency Pair is the Most Difficult to Trade?
If you were to look into any Forex trading guide, you’d get a recommendation to trade on major currency pairs only — at least until you get comfortable with trading and see some profits. However, not many of them explain what is wrong with the more exotic currency pairs...
What’s Better, Forex or Stock Trading?
Many people often ask the question as to whether forex trading is better than stock trading or vice versa. The question is like comparing apples and oranges. Forex trading is very different to trading stocks and although price might look the same on a chart, there are some significant...
A Look at the US Employment Situation Report
Why do I need to know this? I’m a technical trader!
Have you ever had one of those trading setups that boasted a staggering amount of confluence fail in dramatic fashion?
You know the kind of setup that wouldn’t look out of place as wallpaper on your mobile phone. Of course...
Trading Decisions: What’s the “Best” Price to Apply?
Traders who base their trading decisions on technical analysis tools will ultimately face a few dilemmas when it comes to choosing the “best” price to apply in their technical tools calculations. Since nowadays most traders use Japanese candlesticks to understand price on their price charts, it’s important to note...
Non-Farm Payrolls Explained
What is it?
The Non-Farm Payroll is a monthly record of job creation (not including seasonal agricultural roles) in the USA. But the report also contains details about the unemployment rate, participation among the available US labour pool as well as metrics about hours worked and the hourly earnings of...
What Currency Pair is the Most Difficult to Trade?
On Forex, a currency pair is the main trading instrument. Traders usually choose major currency pairs, the so-called majors. But there are other currencies available for trading: cross-pairs and exotics.
Cross currency pairs
Any currency pair that does not include the American dollar is called a cross currency pair. For example,...