Kathy Lien

Director of Currency Research at GFT www. traders-software. com www.forex-warez. com www.trading-software-collection.com www.tradestation-download-free.com andreybbrv gmail.com andreybbrv yandex.ru Day Trading and Swing Trading the Currency Market Founded in 1807, John Wiley & Sons is the oldest independent publishing company in the United States. With offices in North America, Europe, Australia and Asia, Wiley is globally committed to developing and marketing print and electronic products...

What Moves the Market in the Short Term

For fundamental or technical traders, the importance of economic data cannot be underestimated. Even though there are many people who claim to be pure technicians, through my years in the FX market, I have to come to realize that nearly everyone will factor economic data into their trading strategies. A good technician who focuses on range trades, for example, may choose to stay out of the markets on the day that a very market-moving number such as nonfarm payrolls (NFP) will be released. A...

The US dollar moves in the opposite direction from gold prices

As indicated in Figure 12.1, gold prices and the U.S. dollar have historically had a near perfect inverse relationship and are near perfect mirror images of each other this means that when gold prices rise, the dollar falls, and vice versa. This inverse relationship stems from the fact that gold is measured in dollars. Dollar depreciation due to global uncertainty has been the primary reason for gold appreciation, as gold is commonly viewed as the ultimate form of money. Gold is also seen as...

Trading Tip Charting Economic Surprises

A good tip for traders is to stack up economic data surprises against price action to help explain and forecast the future movement in currencies. Figure 3.2 presents a sample of what can be done. The bar graph shows the percentages of surprise that economic indicators have compared to consensus forecasts, while the dark line traces price action for the period during which the data was released the white line is a simple price regression line. This charting can be done for all of the major...