Headline Trades

The BBC commonly refers to the British Broadcasting Corporation but in the forex market, it is trader's nomenclature or slang for the Big Boys Club banks, brokers, and corporations. And there is a fourth group large hedge funds. Each one has made its mark in history using foreign currencies. Two milestone trades made headline news. These are the famous curency trades, both of which took advantage of taking short and long positions. Let's look at the hedge fund world when famed financier George...

How Can a Forex Trader Use the Sharpe Ratio

Simply stated, the calculation helps investors determine the best place to put money. Before you place money in some investment, you calculate the value of your investment account (including the initial investment plus the profit versus loss) periodically, say, every month. You then calculate the percentage return each month. It doesn't matter what kind of investment you choose. It could be simply buying and holding a single stock, or it could be trading several different commodities or trading...