EUR/USD bounced nicely off the 1.3360 trendline (see weekly charts from end of Feb. 2006) support twice already... For now, I would bet on a reversal higher, back towards the 1.3850 area in the coming weeks. The fundamentals seem to support this as ...

EURUSD

It is very important to trade mostly uncorrelated pairs (if you plan on opening multiple simultaneous trades). Correlated pairs should be used to CONFIRM your trades only. In other words if you want to trade GBP/USD because of its volatility, then ...

Trade Correlation

I think (and hope) you're not referring to me... I'm not bitching, only making observations and forming opinions based on those observations. In any case, you can and should "give a f..." about what your central bank is doing, especially if they are ...

Subprime Worries

Someone IS twisting their arm: See my post above about the financial markets being taken hostage. Their choice is either to let the hostage be killed (let the market crash) or to pay the ransom (inject credit) and open the door to further hostage ...

Subprime Worries

There is no centralized exchange in forex, and therefore no "correct" or "incorrect" price.

Difference in the quotes between brokers

Just some of the fat getting trimmed. For now... And rightfully so. Have you seen some of the mortgages they were signing off on?? It was like selling car insurance to a blind man.

Subprime Worries

It is the Fed's job to bail out financial markets when the need arises, assuming the need is unforeseen... However, it is difficult to justify that same action when it is the biggest players in the game that are responsible for the mess in the first ...

Subprime Worries

That's exactly where a large part of the problem lies: A lot of them DON'T "hold their own paper". They have repackaged these crappy loans and sold them to investors who were giddy with bullishness so they bought these funky new financial ...

Subprime Worries

He may be saying so, but Fed hasn't dropped rates... Greenspan would have by now. In any case, I agree that he is certainly not turning Greenspan's model inside out, but I do feel that he is breaking away from it to some extent. That's a bit of a ...

Are Central Banks driving the World Economy into recession?

Well said... That's exactly why Bernanke is breaking away from the Greenspan model. I believe the Fed is starting to put increasing weight on headline CPI instead of core CPI precisely because in recent times, food & energy have been showing a more ...

Are Central Banks driving the World Economy into recession?

I think it HAS. Globalization & Speculation are changing the economic landscape at a breakneck speed. I don't think Japanese housewives ever made it into the financial news in 2002 .

Is This The End of the Yen Carry Trade?

Interest Rate - Currency correlation breaking down?? — It may be too early to declare the end of the sell-off, but with 30 min. of trading left on Wall St. and Dow up by almost 200 pts. we are likely seeing a consolidation ahead of FOMC rate ...

USD/JPY Discussion

tdion, as soon as you start talking about percentages of your account, you are already pre-supposing some sort of money management technique. A trading system alone, without MM, cannot earn any % of any account because it doesn't take into account ...

Money Management 101

You're very welcome. I currently use a very simple MM strategy based on fixed fractional (although it's not entirely 'fixed'). It has worked well for me, but I am always interested in learning more, particularly if it helps my trading. A more ...

Money Management 101

Good thinking Clusterwise: The carry trade has been a growing phenomenon over the past several YEARS. To try and pick the exact end of it based on a fleeting look at a few charts is like trying to pin the tail on the donkey. It doesn't help that ...

End of Carry Trade

Once upon a time... — First off I would just like to mention that GBP/JPY certainly does have an effect on USD/JPY. Say you are long GBP/JPY. Because the trade is made up of 2 separate trades (GBP/USD and USD/JPY) technically you are trading ...

Is This The End of the Yen Carry Trade?

The Big Picture — If you look at the big picture, the US housing market woes have a lot to do with just about every currency pair. Whether you like it or not, the US is still the world's largest economy and is therefore by far the most ...

Is This The End of the Yen Carry Trade?

Yes I agree that's a better way to approach the equity MA cross-over method. BTW, has anyone here tried MM software to do the calculations for you (PipItUp you might be interested in this) such as the "Adaptrade Market System Analyzer" or something ...

Money Management 101

Yes equity is constant and the SMA converges with it but never actually crosses back. I tried to come up with a mathematical proof for this but was unable (it's been a few years since I've done any proofs ). I did, however do a quick Excel sheet ...

Money Management 101

Good thread. It looks like we're just about to get to the meat of it Quick question with regards to the following statement: I'm not sure how the equity curve is supposed to move back above the MA if you're not trading... The curve should remain ...

Money Management 101