Forex trends: soaring vs European majors, yen hits 2-week low vs dollar

Forex trends: soaring vs European majors, yen hits 2-week low vs dollar

Thursday, during Asian session the Japanese unit revealed mixed trading versus its key counterparts. Yen, thus, hit a 2-day high against the euro and crept higher against the pound and the franc. On the other hand the Japanese currency plummeted to a almost 2-week low against the dollar due to across the board rallying of the latter.


Against the currency of Europe, the yen climbed to a 2-day high of 129.60 by about 11:45 pm ET Wednesday. The next resistance level for the yen is seen at 128.8. EUR/JPY rally closed Wednesday's New York deals at 130.8.

During Asian deals on Wednesday, the yen strengthened to 146.29 against the British pound, by about 8:50 pm ET. Since then, the pair has been showing choppy trading and is presently quoted at 146.60. GBP/JPY pair closed Wednesday's deals at 146.67.

The Japanese yen advanced against its Swiss counterpart during Asian trading on Thursday. At about 10:15 pm ET, the yen reached 86.02 versus the franc, compared to 86.48 hit late Wednesday in New York. The next upside target for the yen is seen around the 85.43 level.

The Japanese yen tumbled to a 13-day low of 90.28 against the dollar around 11:45 pm ET, compared to 89.79 hit late New York Wednesday. The next downside target level for the yen is seen around the 90.4 level.

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Forex Commentary: Fed’s Statement Fails To Fuel US Dollar Rally

The U.S. Dollar erased earlier losses after the Federal Reserve released its monetary policy statement. The Dollar turned higher after trading most of the day lower after the Federal Open Market Committee offered more detailed plans to remove excess liquidity from the financial system.

The Fed also offered commentary on the economy, saying that deterioration in the labor market is “abating.” This statement is a reaction to the decline in the unemployment rate earlier in the month from 10.2% to 10.0%. The Fed did reiterate, however, that it will keep its benchmark interest rate at a historically low level for “an extended period.”

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Dollar Gets Boost From Upbeat Fed View On Economy

NEW YORK (Dow Jones)--The dollar was modestly higher against the euro and yen Wednesday on the back of the Federal Reserve's upbeat view on the U.S. economy.

The Federal Open Market Committee's acknowledgment that the economy is picking up steam partly overshadowed its commitment to keep interest rates near zero "for an extended period" in its post-meeting statement.

As the FOMC decision and statement were largely in line with market expectations, the dollar's rebound was limited and it failed to climb above Y90 or push the euro below $1.45.

"The Fed was a little more upbeat on the economy than ...

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Forex History - The Evolution OF FX Market

The Gold Exchange and the Bretton Woods Agreement


In 1967, a Chicago bank refused a college professor by the name of Milton Friedman a loan in pound sterling because he had intended to use the funds to short the British currency. Friedman, who had perceived sterling to be priced too high against the dollar, wanted to sell the currency, then later buy it back to repay the bank after the currency declined, thus pocketing a quick profit. The bank’s refusal to grant the loan was due to the Bretton Woods Agreement, established twenty years earlier, which fixed national currencies against the dollar, and set the dollar at a rate of $35 per ounce of gold...
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The Bretton Woods Agreement, set up in 1944, aimed at installing international monetary stability by preventing money from fleeing across nations, and restricting speculation in the world currencies. Prior to the Agreement, the gold exchange standard--prevailing between 1876 and World War I--dominated the international economic system. Under the gold exchange, currencies gained a new phase of stability as they were backed by the price of gold. It abolished the age-old practice used by kings and rulers of arbitrarily debasing money and triggering inflation.

But the gold exchange standard didn’t lack faults. As an economy strengthened, it would import heavily from abroad until it ran down its gold reserves required to back its money; consequently, the money supply would shrink, interest rates rose and economic activity slowed to the extent of recession. Ultimately, prices of goods had hit bottom, appearing attractive to other nations, who would rush into buying sprees that injected the economy with gold until it increased its money supply, and drive down interest rates and recreate wealth into the economy. Such boom-bust patterns prevailed throughout the gold standard until the outbreak of World War I interrupted trade flows and the free movement of gold.

After the Wars, the Bretton Woods Agreement was founded, where participating countries agreed to try and maintain the value of their currency with a narrow margin against the dollar and a corresponding rate of gold as needed. Countries were prohibited from devaluing their currencies to their trade advantage and were only allowed to do so for devaluations of less than 10%. Into the 1950s, the ever-expanding volume of international trade led to massive movements of capital generated by post-war construction. That destabilized foreign exchange rates as setup in Bretton Woods.

The Agreement was finally abandoned in 1971, and the US dollar would no longer be convertible into gold. By 1973, currencies of major industrialized nations floated more freely, as they were controlled mainly by the forces of supply and demand. Prices were floated daily, with volumes, speed and price volatility all increasing throughout the 1970s, giving rise to new financial instruments, market deregulation and trade liberalization.

In the 1980s, cross-border capital movements accelerated with the advent of computers and technology, extending market continuum through Asian, European and American time zones. Transactions in foreign exchange rocketed from about $70 billion a day in the 1980s, to more than $1.5 trillion a day two decades later.

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How to profit using the e-currency exchange system

So you want to learn about the e-currency exchange program? I am sure you searched the Internet and saw tons of people talking about e-currency some people I am sure where saying good things about it, and I am sure you read bad things about it.

I myself find the e-currency exchange program to be a good investment if you want to make money down the line. No you won’t make thousands of dollars in a month and become rich, but what will happen is you will earn a good residual income down the line. The e-currency program isn’t a system that will make you rich over night.

However given time you can build up a nice size account, and earn a nice income each month. The e-currency system is a trading system that allows everyday people like you and I to earn from 1% up to 5% daily on our investment. Now you might be thinking no way that’s unheard of.

That’s what I thought to till I opened up and account, and invested a small amount of money into it. With a $400 investment I was making $3 a day from it. Now sure $3 isn’t much, but this is and investment that has to grow, and it will over time. Just think if you had say $5,000 in it. Then you would make more like $50 a day from it. That’s not bad if you ask me.

If you are looking for the easy way out, or a get rich quick system or easy money good luck finding it. The truth is there is no way to get rich over night or make easy money. It just isn’t going to happen. However if you ever did find one please let me know but I don’t think you ever will.

Gary Jezorski is the owner of and e-currency program guide that have helped millions of people turn small $200 investments into thousand dollar investments in a very short period of time. With Gary Jezorski’s program he offers free help to those that need it, and when I talk to him on the phone he answered all of my questions and most importantly he respected not only as a customer, but also as a person to.

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Why Trade Forex?

Why Trade Forex? Can we Make Lots of Money from Forex Trading?


There are many varieties in Forex

In Forex trading, there are more than 30 currency pairs traded and most of the trading volumes are concentrated in about half of those. This is more than enough currency pairs to give you choices in which currency pairs to trade and help you make lots of money if you can trade successfully in most of them.

There are no fixed lot size in Forex

In Forex, the standard lot size is 100,000 units, but most brokers let you trade mini-lots of 10,000, and some even offer super mini lots as small as 100 units! For a new trader, this flexibility in lots size is an excellent money management tool for the trader. He or she can increase trade size as their knowledge in Forex trading and profits increases.

Forex is open 24-hours on weekdays

A Forex trader can start trading from late Sunday afternoon (U.S time) to the following late Friday evening. You may enter the market and exit as you like and trade for as long or as short a time as you wish

Low margin, high leverage

One of the most greatest advantages about trading Forex is that you can trade leverage ratios of from 10:1 up to 400:1 which means you may control 100,000 USD with from $10,000 to as little as $250. High leverage means that a very small move in the charts may result in a 100 percent profit or sadly, a loss.

Forex is very volatile

The Forex market can move up or down in a very short period of time. You can make huge profits if you know where the market is going at that point of time

You can trade Forex on the internet

Most Forex trading are conducted online, via the internet. You trade Forex on the broker's trading platforms. This trading platform includes real-time prices and you can place buy and sell orders and make use of its trading tools such as charts and indicators. And if the need arises, clients to call in orders by phone to their respective brokers

Forex is not related to the stock market.

Currencies are independent of the stock market and from an investment perspective, currency prices are non correlated with stock prices. For this reason Forex may be an attractive hedge to a larger stock market account.

There are no commissions in Forex

There are no fees whatsoever be it clearing, exchange fees, government fees, and best of all, no commissions. The only costs of trading Forex are within the bid/ask spread. For those brokers who use the electronic communications network (ECN) transactions may charge a small fee.

High liquidity

In Forex, it is easy to execute huge orders in foreign exchange because there are over $3 trillion in transactions daily. What ever the size of the order, it will be executed immediately in online Forex trading.

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