If the equity market managed to rally despite news that 533k jobs were lost from the US economy last month, then Obama’s pledge to increase spending this weekend and the developments for the Big 3 automakers will only help. Risk appetite appears to be slowly returning to the markets with the low yielding US dollar [...]

Posted in Carry Trades, FOMC, Forex News, Forex Podcast, Forex TV, dollar rally, forex blog, forex book, obama dollar 2 Comments »

Most currency traders only have their eyes on the “majors” such as EUR/USD, USD/JPY, and the GBP/USD. Admittedly, these are the most liquid currency pairs, but sometimes opportunities could be missed if you are not also looking at the crosses. Trends are usually more powerful in the crosses than the majors and you [...]

Posted in British Pound, Canadian Dollar, EURJPY, Forex News, Forex Technicals, GBPJPY, Japanese Yen, New Zealand dollar, USD/CAD, dollar rally, eur/usd, forex blog, forex signals, usd/jpy 2 Comments »

The US economy has officially entered a recession and the labor market numbers that are due on Friday will confirm that. Not only do we expect the US economy to report its eleventh consecutive month of job losses but the job losses will probably be the largest in 26 years. In 2001, there [...]

Posted in Forex, Forex News, US Dollar, dollar rally, forex blog, non-farm payrolls, usd/jpy 1 Comment »

There has been 3 recessions in the past 30 years. In each of those recessions, the dollar weakened in the first six months of the recession, then gained strength in the next six. Twelve months into the current recession, we see this pattern in the dollar repeated once again.
The more important question however is whether [...]

Posted in Forex News, Forex Technicals, US Dollar, dollar rally, dollar recession, forex blog, oil dollar, recession 7 Comments »

Now that US economy is officially in recession, the big question on everyone’s mind is, how long will it last?
So far, the current recession is the fourth longest in the past 80 years and its on track to be as long as recession in the 1970s and 80s, which lasted for 16 months. However [...]

Posted in US Dollar, dollar rally, recession 2 Comments »