Articles Category

This page contains posts filed under the Articles category. On this page you can find my articles regarding the Foreign Exchange market, currencies, fundamental economic developments and more.

The Perils of Over Trading in the Currency Market

In this article I will be discussing the perils of over trading in the Currency Market. Though information contained on this page is directed toward currency traders, it is also applicable to stock traders, commodity traders and many other types of security investors. Please note that the information I present is of my own opinion [...]

When a Central Bank Intervenes in the Currency Market

As a currency trader one must always be wary of central bank interventions in the currency market. Forgetting the fact that central banks have the power to significantly change the course of their currency’s trading price against all other currencies in mere minutes, is something that can deal major blows to one’s FX account. But [...]

Why I Believe Gold Will Always Increase in Price

Gold is one of the world’s most coveted commodities that is actively being traded in the global markets. Commonly used as a hedge against inflation, it is my opinion that gold will always increase in price over the long term regardless of most economic situations. In this article, I plan to reveal to you the [...]

What Happens When A Government Defaults on its Debt

A great majority of governments around the world spend more money than they collect. This is known as deficit spending. To make up the difference between what money they have and the money they’re obligated to spend, governments issue government bonds. Government bonds are basically requests made by the government that issues them to borrow [...]

How a Weak Currency Affects an Economy

When it comes to currency strength, the majority of the time users are asked if they would rather have a strong currency or a weak currency, they would choose a strong currency. Allow me to explain what I mean just in case you aren’t familiar with the terms “strong currency” and “weak currency”. When I [...]

How a Strong Currency Affects an Economy

Let me ask you a question. What country do you live in? As a resident of that country, do you use the official currency of that country? Sure you do. If you had to choose between a strong currency or a weak currency, what would you choose? Well, let me first explain what I mean [...]

Currency Trading Doesn’t Have to be High Risk

“I would never trade currencies because it is too high risk.” That’s what I’ve read and heard from many individuals all across the Internet. I’ve also heard people say currency trading is nothing more than gambling or that the entire Foreign Exchange Market is a scam and that the currency market is nothing but a [...]

Forex Investing or Speculating

When I first started trading currencies back in 2010, I constantly read articles, watched news videos and listened to radio broadcasts online and offline referring to Forex trading as speculating and not investing. Deep down, I always had a problem with that. Why isn’t the Currency Market referred to as investing like the Stock Market, [...]

Capital Preservation & The Break Even Stop Loss

When it comes to currency trading, all traders hope to turn out a profit from every trade. In an attempt to do so, traders commonly place their stop losses at great distances from their point of entry, which can be anywhere from 20, 50, 100 or even 250+ pips. A common reason why a currency [...]

Factors That Give Currency Value

Currency, in todays world, is one of the most accepted forms of money in circulation today. Used as a tool for exchanging goods and services, currency is an important asset in everyday commerce. Value is easily traded with the help of currency. But is currency itself value? If so, why is it valuable? Isn’t it [...]

The Hidden Factor for Determining Inflation: The Quantity Factor

Whenever the money supply of an economy increases at a faster rate than the supply and consumption of goods and services, inflation manifests. Inflation is usually calculated by economists and various other statisticians by assessing price changes for goods and services. If there is a total overall increase in the prices for goods and services, [...]

The Federal Reserve System is in the WhitePages

If you have read my explanation regarding the central bank of the United States, the Federal Reserve (proper name: Federal Reserve System), then you should be aware of my belief that the Federal Reserve is an independent profit making banking institution and not a non-profit, government ran agency. When I say that the FED is [...]

Patience, Life and the Foreign Exchange Market

Do you remember the popular phrase, ‘patience is a virtue?’ I don’t know who came up with that quote but the individual that did is so right. Patience is indeed a virtue. Patience is an important life skill that must be learned if one wants to increase the probability for success; whether it be in [...]

Forex Trading and Fear

Trading currencies can be very taxing on one’s emotions. Let’s face the hard truth, the Foreign Exchange Market has the ability to grant money or take money with the slightest of price movements, and there is nothing a currency trader can do about it. There is nothing a currency trader can do to influence the [...]

5 Reasons Why I Prefer Long Term Forex Trading

It’s no secret that Forex trading, also known as currency trading, can be an extremely profitable endeavorer if one has the skill and the discipline required to profit consistently. It’s kind of hard to miss the seemingly endless stories of how some individual makes a boatload of money trading currencies. I myself have profited from [...]