With the Dow Jones Industrial Average hitting 5 year lows today, the burning question on everyone’s mind is, how far can stocks fall.
This is a perfect time to republish a post that I wrote in the middle of October titled DJIA: Does the Past Offer Hope?
Here is a very interesting chart published by [...]

Posted in Dow, Forex, Forex News, Forex Technicals, Stock Market, US Dollar, euro, forex blog, usd/jpy 1 Comment »

I have long said that EUR/JPY is one of my favorite recession trades. With the Eurozone in a recession and the need for the European Central Bank to step up to the plate and lower interest rates, the rate differential between the Euro and Japanese Yen will close and close rapidly. Furthermore, as US [...]

Posted in Carry Trades, EURJPY, Forex News, Forex Technicals, euro, forex blog No Comments »

In every major bear market, there are relief rallies and that is what we have seen today. The Dow Jones Industrial Average dropped more than 300 points during the US trading session before reversing violently to end the day up more than 550 points. The major turnaround in equities has forced the US [...]

Posted in Australian Dollar, Bank of England, British Pound, Canadian Dollar, Forex News, Forex Technicals, US Dollar, US Economy, beige book dollar, eur/usd, euro, forex blog, forex trading calendar, retail sales No Comments »

On Monday, I blogged about all of the reasons why I like USD/CAD. At that time, the currency pair was trading at 1.1889 and it is now 200 pips higher.
The resistance level that I have been watching was 1.20. As long as the currency pair closes above that level, there is no major [...]

Posted in Canadian Dollar, Forex Technicals, euro oil, forex blog 1 Comment »

I don’t often post trade calls on my blog (since I usually reserve that for BKT Subscribers). Last week, I called for a rally in EUR/GBP following the ECB and BoE rate decisions and now I am seeing a decent medium term opportunity in USD/CAD.
From a fundamental and technical perspective, the odds [...]

Posted in Bank of Canada, Canadian Dollar, Forex Technicals, forex blog No Comments »