As you may now, the Bank of England cut interest rates by 50bp to 1.50 percent, an all time record low for the 300 year old central bank
What I found most interesting about the BoE Monetary Policy Statement is the credit that they are giving to the weak sterling.
“But the substantial depreciation in [...]

Posted in 2009 british pound forecast, Bank of England, British Pound, Forex Technicals, forex blog, forex signals 7 Comments »

How Did the Euro Trade in 2008?

Exactly one year ago, the Euro was trading at approximately 1.47 against the US dollar, 5 percent higher than current levels. In 2008, this type of move is considered mild especially when compared to the Euro’s 20 percent rally against the British pound and New Zealand dollar and [...]

Posted in 2009 currency forecasts, 2009 eurusd forecasts, 2009 forex forecasts, Currency forecasts, ECB, Forex, Forex News, Forex Technicals, ecb rate cut, eur/usd, forex blog, forex signals 8 Comments »

With no US economic data on the calendar today, the dollar weakened against every major currency except for the British pound. Trading continues to be very thin with commodities being the only products that are really moving. The tensions in the Middle East have driven oil and gold prices higher. US stocks [...]

Posted in Forex News, dollar recession, eur/usd, forex blog, forex signals 3 Comments »

Quantitative Easing (QE) are the latest buzz words in the financial markets. It is important to become intimately comfortable with these words because they will be the catch phrase of 2009 thanks to the latest interest rate cuts by the Federal Reserve and the Bank of Japan.

What is Quantitative Easing?
Quantitative Easing is a monetary [...]

Posted in Fed Rate Cut, Fed rate hike, Federal Reserve, Forex News, forex blog, forex signals, quantitative easing 19 Comments »

One of the new chapters in my book, Day Trading and Swing Trading the Currency Market, Second Edition is on seasonality.
Technical analysis is based on the idea that price patterns repeat themselves and seasonality is rooted from this very same concept.
According to the following chart, over the past 10 years the EUR/USD [...]

Posted in Forex News, Forex Technicals, eurusd seasonality, forex blog, forex book, forex signals, fx correlation 1 Comment »