Category: Forex Trading

Whereas dollar-lending central banks typically have a long FX position, dollar-borrowing central banks can hold reserves while also avoiding a long FX position. This makes it very difficult to measure the debt and funding involved. The balance sheets show only the final outcome of a series of swap and forward transactions. For instance, if a…

A long-running debate in asset allocation circles is how much of a portfolio an investor should… For example, on Nov. 9, 2017, the VIX climbed 22% during the trading session on fears of delays in the tax reform plan. Since option prices are available in the open market, they can be used to derive the…

As a result, boomers are downsizing and pinching pennies, in turn slowing economic growth. Many people lost their homes, their jobs, or their retirement savings. Those who didn’t were too scared https://www.forex-world.net/blog/virtual-portfolio-virtual-portfolio-reviews/ to buy anything more than what they really needed. Members of Congress threatened to default on the debt in 2011. They threatened to…

Stop loss and profit levels should be set to manage risk and reward. The positions should be monitored and adjusted if necessary based on market conditions. Finally, post trader analysis should be done to refine one’s approach to swing trading. Additionally, active traders may trade a variety of financial instruments such as stocks, bonds, currencies…

Adam received his master’s in economics from The New School for Social Research and his Ph.D. from the University of Wisconsin-Madison in sociology. He is a CFA charterholder as well as holding FINRA Series 7, 55 & 63 licenses. He currently researches and teaches economic sociology and the social studies of finance at the Hebrew…

HowToTrade.com helps traders of all levels learn how to trade the financial markets. First, you need to open the strategy tester in the MT4 trading platform. You can do it by clicking Ctrl+R and the feature will automatically open up. The following subsections will explore each of these components of a good backtesting method in detail. Similarly,…

The calculation also factors in the substitution effect as consumers shift spending away from the products rising in price on a relative basis. The CPI is widely used by financial market participants to gauge inflation and by the Federal Reserve to calibrate its monetary policy. Businesses and consumers also use the CPI to make informed…

A highly geared firm is already paying high amounts of interest to its lenders and new investors may be reluctant to invest their money, since the business may not be able to pay back the money. A business that does not use debt capital misses out on cheaper forms of capital, increased profits, and more…