The Euro (EUR) The EUR/USD fell briefly below 1.3100 in the European session closing at opening levels but in striking distance of resistance at 1.3150 if today’s Spanish bond Auction comes in strong and spurs a rally. The EUR/GBP fell as the GBP soared and should fall further given the major technical break. The Sterling (GBP) the main mover in the markets Wednesday as we saw GBP/USD break above 1.6000 after the MPC minutes showed those members looking to increase the UK Asset Purchase program (printing money) had decreased to only 1 in the April MPC Meeting. EUR/GBP finally broke 0.8200 after weeks of teasing the level. Looking ahead, Spanish 10 year Bond Auction.

The Japanese Yen (JPY) The USD/JPY stayed in a 25 pip range with the USD remaining supported and action only on the GBP/JPY cross which punched back above Y130. The outlook will come down to EUR/JPY and GBP/JPY which will help direct the USD/JPY between Y80-Y83. Only a break of Y80 and lack of action of BOJ would change the outlook for the medium term. Australian Dollar (AUD) the AUD/USD is struggling to find direction of late with sellers failing at 1.0300 and buyers scared close to 1.0450. The market will be looking to the European debt markets and the stocks later tonight for fresh direction. UPDATE Brazil Cuts Interest Rates by 75Bps to help stimulate.

Oil & Gold (XAU) Gold was heavy falling slowly all day down to $1640 an ounce. Oil also weakened with the market coming reversing the week’s rally quickly.

• EUR/USD was down -1.93% currently at 1.3195, after opening the week at 1.3450.
• USD/JPY was up +0.72% currently at 81.78, after opening at 81.19.
• GBP/USD is down -0.28% currently at 1.5829 after opening at 1.5873
• AUD/USD is up +0.34% currently at 1.0730 after opening at 1.0694.
• This Week’s Trading Preview

Trend of the Week:

USD/JPY strong uptrend targeting Y82.80 Apr 2011 High

AUD/USD beginning the week we will be looking at the RBA rate decision and statement for clues on future movement. Last month they surprised the market and held at 4.25% citing strong China growth and easing European fears. Also later in the week February Jobs data which always some provide market volatility.

EUR/USD Traders will be looking to the ECB for a chance the European central bank will cut rates to help support a fragile Eurozone economy. After this the main focus of course will be the US Jobs data on Friday. USD/JPY Continued strong US jobs data is likely to help the USD strengthen as further hawkish comments from FED members will cut the chance QE3 will ever become a reality.

Forex Economic Data Preview

In the States; On Monday, February PMI services forecast at 56.1 vs. 56.8 previously. On Wednesday, February ADP Employment Change is forecast at 201k vs. 170k previously. On Thursday, Weekly Jobless Claims are forecast at 352k vs. 351k previously. On Friday, February Non Farm Payrolls forecast at 208k vs. 243k previously. Unemployment Rate is forecast at 8.3%. We will provide our previews and reviews of these data releases in the daily summary.

In the Eurozone; On Monday, January Retail Sales forecast at 0.0% vs. -0.3% previously. On Thursday, German Industrial Production is forecast at 1.1% vs. -2.9%. Also ECB Rate announcement forecast at 1.00% vs. 1.00% previously. On Friday, January German Trade Balance forecast 14.3bn vs. 13.9bn previously. In the UK, On Monday, February Services forecast at 55.0 vs. 56.0 previously. On Thursday, MPC Rate announcement forecast to hold at 0.5%. Asset Purchase Program forecast to be hold at 325bn. On Friday, February PPI forecast at 0.7% vs. 0.5%. We will provide our previews and reviews of these data releases in the daily summary.

In Japan; On Thursdasy, Q4 Final GDP forecast at -0.2% vs. -0.6% previously. In Australia; On Tuesday, RBA Rate announcement forecast to hold at 4.25%. ON Thursday, February Employment Change forecast at 5.2k vs. 46.3k previously. February Unemployment rate forecast at 5.2% vs. 5.1% previously. On Friday, January Trade Balance forecast at 1.53bn vs. 1.71bn previously. We will

Written by Tony Darvall

The Japanese Yen was relatively stable in a 100 pip range throughout the week with support under Y81 holding for the time being. Most of the movement was on the crosses with risk aversion sending CAD/JPY and AUD/JPY lower. The BOJ meet this week and will be watched for any further easing announcements. The USD/JPY fell -0.11% closing at 81.36, after opening at 81.45. The GBP fell on Tuesday and was unable to recover even as stocks rebounded later in the week. Crosses remain weak with EUR/GBP breaking medium term downtrends to threaten 0.8900 and potentially the critical 0.9000 soon. The market is cautious on the GBP given the Bank of England’s potential for further expansion of the Asset Purchase Program. The GBP/USD gained -1.96% closing at 1.5683 after opening at 1.5990. The AUD fell sharply as the heavily overbought commodity currency tracked Gold and stock market’s lower. Buyers remain however and as long as the central bank threatens to raise rates then support is expected to be found. China’s surprise rate hike on Tuesday spooked the market but strong GDP on Thursday helped the Aussie recover. The AUD/USD fell -0.81% closing at 0.9825 after opening at 0.9905.

The Forex Trading Week Preview

In the States; On Monday, September Existing Home Sales are forecast at 4.1% vs. 7.6% previously. On Tuesday, CB Consumer Confidence is forecast at 49.5 vs. 48.5 previously. Also released, August House Prices forecast at 2.15% y/y vs. 3.18% previously. On Thursday, Weekly Jobless Claims are forecast at 453k vs. 452k previously. On Friday, Q3 Advance GDP is forecast at 2.0% vs. 1.7% Q/Y. October Final UoM Confidence is forecast at 68 vs. 67.9 previously.

In the Eurozone; On Tuesday, German GFK Consumer Confidence is forecast at 5.1 vs. 4.9 previously. On Wednesday, German CPI is forecast at 1.3% y/y. On Thursday, German Unemployment Rate is forecast at 7.4% vs. 7.5% previously. On Friday, EU Unemployment Rate is forecast at 10.1% vs. 10.1% previously. In the UK, Tuesday Q3 GDP is forecast at 0.4% vs. 1.2% previously Q/Q. On Thursday, October Consumer Confidence Survey is forecast at -22 vs. -20 previously.

In Japan; On Thursday, BOJ Rate announcement forecast to remain at 0.1%. Also released, September Industrial Production forecast at -0.6% vs. -0.5% previously. In Australia; On Wednesday, Q3 CPI is forecast at 0.8% vs. 0.6% Q/Q. On Thursday, Reserve Bank of New Zealand is forecast to hold rates at 3.0%. On Friday, September Private Sector Credit is forecast at 0.3%.

Tendency’s new partnership with FXTF increases its presence in the Japanese market and extends its portfolio of relationships with leading forex brokers internationally. It signals the latest stage in the company’s ongoing programme of developing partnerships with a range of brokers, which has escalated since the launch of its new mirror trading platform in July this year.

The start of this partnership with FXTF has been marked by the roll-out of Tradency’s new mirror trading platform on FXTF. The platform introduces traders using FXTF to the mirror trading concept, originated by Tradency, which gives traders a gateway to a wide range of qualified and tested Forex trading strategies.

The new platform takes the mirror trading concept to the next level with a range of advanced new features that provide traders with enhanced clarity, versatility, flexibility and ease of use. It allows traders to ‘mirror’ and instantly apply strategies that have been developed by other experienced Forex traders. Traders can switch between strategies, open, close or modify individual trading positions, or choose to shift from mirror trading to manual trading on this one platform.

Clarity is delivered with the platform’s new user-friendly graphical interface and rich graphic indicators, which have been designed to make reading and analyzing data as clear as possible. Accuracy is enhanced using the Smart Filter tool, which is designed to identify suitable strategies according to users’ specific trading criteria. Strategy cards provide performance details and updates on individual strategies to help users choose the strategies they prefer. Also, new to the platform is a strategy scoring system called “T-Score”, specially developed by Tradency. The “T-Score” analyzes each strategy’s performance, paying extra attention to the risks and rewards, and how well it adjusts to changes in the market. A high “T-Score” indicates that strategies are performing well under current market conditions.

Together these features give users clearer, more accurate and up-to-date information about the trading strategies so they can make more educated trading decisions.

Lior Nabat, President and CEO of Tradency says, “Tradency is delighted to launch our partnership with FXTF and extend our reach into Japan’s dyanamic forex trading industry. We believe that our mirror trading platform represents a leap forward in forex trading technology that offers great benefits to traders. Our new partners at FXTF understand and appreciate these benefits and welcome the introduction of this innovative trading methodology. Tradency is excited to be working with FXTF and we hope this signals the start of a long and fruitful relationship with them.”

Yasuharu Tsuru, CEO , Representative Director of FXTF said, “FXTF is committed to offering our customers innovative ways to help them trade simply and clearly, and to improve the trading experience for them. Tradency has a record of developing great tools that we believe will help us achieve this because they respond to traders’ requirements. So, Tradency’s approach fits ours at FXTF and teaming up with them is a logical choice. We welcome the launch of our partnership with Tradency and we are excited that their mirror trading technology is now available for our customers.”

The Euro (EUR) eased on speculation that the much publicized second installment of Quantitative Easing from the US will not be so desperate. Euro also suffered as Commodities eased reprieving the USD weakness. In domestic news, EZ PMI Manufacturing data was released above expectation, reading at 54.1 for the month of October, up from 53.7. PMI Services on the contrary fell to 53.2 from 54.1. The EURUSD traded with a low of 1.3874 and a high of 1.4050 before closing the day at 1.3923.

The Japanese Yen (JPY) pushed higher in the Asian session as US Treasury Sec Geithner said he did not perceive the Euro and the Japanese Yen to gain much further against the USD. Nonetheless the USDJPY failed to break out of its recent range trading with a low of 80.93 a high of 81.82 before closing the day at 81.32

The Sterling (GBP) was knocked about on Thursday, little aided by a fall of -0.2% in Retail Sales for September and a downward revision in the previous month. The effects of the previous day’s UK austerity measures did little to aid in upward bias for the Sterling Pound. Overall the GBPUSD traded with a low of 1.5688 a high of 1.5848 before closing the day at 1.5704

The Australian Dollar (AUD) also eased against a rejuvenated dollar in overnight trade despite ongoing expectation of a rate hike by the RBA as early as November. The AUD will await the G20 developments to gauge a clearer sentiment in what has proved a whippy trading week for the Aussie dollar. Overall the AUD traded with a low of 0.9745 a high of 0.9893 before closing the day at 0.9784

Oil & Gold (XAU) was sold aggressively down as much as 2.3% on Thursday, before ending the day lower by US$18.80 an ounce to close at US$1,324.75. Crude Oil in similar fashion eased by US$1.21 to US$80.56 a barrel.

The Euro (EUR) once more was rejected at the magical 1.4000 level on Wednesday, in a range trading session following a quite data day for the Eurozone. The Euro played second fiddle to Soaring Gold price, and AUD at 28 year highs (Post Float). Overall the EURUSD traded with a low of 1.3913 and a high of 1.4001 before closing the day at 1.3962.

The Japanese Yen (JPY) machinery orders reached two year highs in what was an uninspiring trade day for the Yen. The Japanese yen traded in an extremely tight range with a low of 81.72 and a high of 81.95 before closing at 81.76

The Sterling (GBP) gained on the back of positive earning in US, and Hawkish comments from BoE member Sentence who said interest rates will need to rise gradually to counter inflation. The GBP traded with a low of 1.5772 and a high of 1.5909 before closing the day at 1.5895.

The Australian Dollar (AUD) traded at fresh 28 year post float highs during the US session as positive earning boosted sentiment in the on Wall Street. The AUD was further boosted by Westpac Consumer Confidence rising 3.3% in the month of October. The AUD traded with a high of 0.9936 and a low of 0.9834 before closing the day at 0.9903. UPDATE Trades at 0.9972 fresh high on Thursday morning in Asia

Oil & Gold (XAU) XAU traded at an all-time high of 1,375.00 an ounce during the US session on buoyant investor demand, whilst Oil too rose on Wednesday to trade at US$83.45 a barrel. UPDATE XAU trades at fresh record highs of 1377.2

Forex dealing has been approximately for years. It is known as the biggest financial trade in the whole world. Everyday the volume of transaction in the forex market is approximately one and half trillion dollars. It is really a 24 hors market; Sydney is the palce where forex market starts at first everyday, going forward around the world as the business day starts in every economic center, such as: Tokyo, London, and New York. Like the other financial zones, Forex permits financiers to react to currency variations caused by economic, social and political incidents instantly, at the occasion that incidents happen, day and night 24 hours. The market is closed only on the weekend.

An advantage of forex trading is that it is not actually issue to the similar kinds of rolls in the market that stocks are matter to.

Certainly if you always trade with the same currencies then there will be market swings. However, there are hundreds of currencies available, there is all time going to be something for a trader to make money on because when one currency is positive in worth another one is downward and vice versa. Forex trading does not demand large amounts of money to start. Traders can begin this business investing a little amount of 300 dollars.

Transaction costs are commonly least. Frequently agents will present you with the tools and information’s you require to make trades without any cost. Huge numbers of traders are available all selling the same products. Information is free-flowing and there are a small number of blockades to involvement.

Forex trading is also known as OTC market or over-the-count market. This means that the traders don’t need to meet in central locations to make exchanges. As an alternative transactions are completed over the phone, fax, and email or through the websites of agents focusing in this market. Currencies are all time traded in couples. Transactions always include selling one  currency and buying another. As an example if a trader believes the pounds would increase against the dollar the trader would sell dollars and buy pounds.

Forex is a very liquid market; your money is not seized up for long period. You will gain full control of your money.
With planning, a superior system to track, strong money supervision skills, and self-regulation, Forex trading can be comparatively low risk and fairly profitable. Insider trading is absent in Forex Trading, and with Forex Trading you don’t have to be anxious about price spaces.

You can choose when to sell or buy. Also, because of high instability in the currency market, traders frequently make five times more than in dealing liquid shares. A person desiring to trade in currencies does not require a big amount of money to spend. This is a perfect venture opening for the investor with a little amount of money.

A great benefit of Forex Trading is that you able to buy currencies when they are being devaluated, thus building a benefit when it gets ground.

The best forex trading strategies are adopted by forex traders who are blessed with keen market sense and also who are able to privy to get inside information. On the basis of that information they develop forex investment strategies. The forex trading strategies which are devised after observing the market for quite sometime gain profits by rising above the odds. The forex traders who are best in their profession do not enter a trade without devising an exit strategy. They are the people who know very well when to minimize their losses and when to maximize their profits. They are very disciplined in doing both.

Leverage strategy

Forex trading strategies help achieve success in forex trading or online currency trading. Forex trading differs from trading stocks and the use of forex trading strategies help the person to gain more profits in a very short period. There are many forex trading strategies adopted by the investors, the most useful among these strategies is called as the leverage.

This forex trading strategy allows the online traders to get more funds than the deposited amount; by adopting this strategy the benefits are maximized. This strategy helps in utilizing the amount deposited in the account even up to 100 times against any forex trading by backing high yield transactions very easily and better results are got. This leverage forex trading strategy is used by the traders on a regular basis to take advantage of fluctuations happening in the forex market in short term.

Stop loss order strategy

Stop loss order forex trading strategy is also used commonly among forex traders. This strategy protects the investors and creates a situation called the predetermined point, not allowing the investor to trade when it is reached. This forex trading strategy minimizes the losses. Sometimes this strategy might backfire and make the investor to run the risk of stopping their trading leading to a higher loss, hence it is up to the trader to use or not to use this forex trading strategy.

Automatic entry order strategy

An automatic entry order forex trading strategy is also one of the widely used strategies. This strategy allows the investors to participate in the trading activity when the price is suitable for them. Here the price is already determined and when the situation is reached the investor enters into the forex trading automatically.Apart from the above strategies, there are certain basic rules to be followed as strategies to gain profits in forex trading:The amount exposed in the foreign currency trading should always be kept in track to ensure to be within the accepted levels. While trading, the trader should not be very greedy or breach when keeping the returns in mind which is expected out of the transactions. The main objective should be kept in mind; it might be either capital appreciation or constant returns or high profits. Keeping track of ones own experience will reward at a later stage. Investment should be within the affordability to lose. Also relying on experts opinions, history prices, and analytical statements may be effective some time rather than going by their own instincts

With so many options available, sometimes choosing the right forex trading software can seem a daunting task. Once you take into consideration certain factors though, the shopping process would become much easier. The most important component of such software should be the security component. Since you will be mostly trading online and would be exchanging information while trading, security becomes important. A currency trading software which comes with a 128 bit SSL encryption would be the best suited to your needs. Security is an important aspect which should not be neglected since these days hackers can easily get access to your transaction history or personal information.

You must also make sure that the forex trading software that you choose contains what is known as a “live” platform. This platform is the one on which you will conduct most of the trading process. It is always preferable that you get the software from a credible software developer. For can visit to: www.page-brand-generator.com Make sure that the software development company you choose also offers 24 hours technical support services. This is an important aspect which should not be neglected at any cost, since you never know, when you would need troubleshooting assistance.

Any good forex trading software should also be able to provide you with the consolidated summary of all your trading activities at the end of the day. It should be able to keep a back of all important information. Just in case if more than one person is using the software, it should also come with the provision of allowing only certain people to access information. This is usually facilitated by the use of devices such as smart cards and fingerprint scanners these days.
Rapidly advancing software technology has meant that most of the forex trading software that is available is sophisticated and yet at the same time, user-friendly. A careful consideration of all these factors will help you with making the right purchase decision.

Commenting on the outlook, David Karsbol, Saxo Bank’s Chief Economist, said: “With the S&P 500 currently trading around the same level as it did at the beginning of the year, and with the lack of investments due to a weak housing market, the ongoing trouble in Southern Europe, and most developed economies, Saxo Bank fears that a cold front will stall, bringing more challenges and adversity going into 2011.”

Equities rely on the notion that the impressive earnings growth rates, recorded in earlier quarters, can be sustained. According to the Bank, the trouble is that earnings growth currently comes almost exclusively from one source: margin expansion, and while productivity gains can only take income to a certain level, sales growth must soon step up to the challenge.

The Bank predicts that spending at state and local levels remains a downward trend as policymakers scramble to balance their budgets. Despite the fact that the recession is generally perceived to have ended in the summer of 2009, it is still very much a reality at state and local levels.

“Double dip fears re-emerged over the summer as the deceleration in the US economy progressed as predicted in our 2010 Yearly Outlook. We expect growth to come to a complete halt in the fourth quarter of 2010 as consumption deleverages, the manufacturing sector will slow down, and investments will be negatively affected by the weak housing market. Unfortunately, the risk of a double dip, within the next few quarters, is substantial in our view,” Karsbol added.

The Quarterly Outlook Q4 2010 focuses on the following areas: general market comment, macros forecast, FX outlook, equity outlook, commodity outlook and policy rates.