Today Is EURGBP Day

EURGBP is our Trend for the Day

After taking a brief rest, [EUR/GBP] has resumed its upward climb back toward its November 13th high of .8669. The pound is weaker against many currency pairs as expectations that more aggressive rate cuts will come from the Bank of England. The 38.2% retracement of the October low (.7693) to the November high of .8669 served as strong support. 

Chasing this market is not advised and a pullback would provide a better risk to reward with stops placed slightly below the .8235 November 28th low.

The [GBPCHF] plunged 750+ pips to end the previous session at 1.7953, and the pair may face increased selling pressures over the week as investors continue to curb their appetite for risk.

Forex traders pushed the Australian dollar higher despite a hefty 1.00% interest rate cut as the RBA signaled it was done lowering borrowing costs for the time being. Inflation data is on tap for European hours with Euro Zone Producer Prices and Swiss Consumer Prices set for release.

With ForexGen which Currencies Are Traded?

The most popular currencies along with their symbols are shown below:

EUR — Euros

USD — United States dollar

CAD — Canadian dollar

GBP — British pound

JPY — Japanese yen

AUD — Australian dollar

CHF — Swiss franc

NZD — New Zealand dollar

Forex currency symbols are always three letters, where the first two letters identify the name of the country and the third letter identifies the name of that country’s currency.

ForexGen Academy

If you are an experienced ‘FOREX’ Trader or just a beginner looking for the opportunities offered in the ‘FOREX’ market, Forexgen has created ForexGen Academy to give you the chance to get a ‘FOREX’ education and improve your trading skills.

How to Get Started?

People are introduced to the exciting world of foreign exchange in many ways: friends, current events, newspapers, television, and many others.

Step 1: Practice makes perfect

The demo account was designed to help traders gain familiarity with the speed and movements of the market. When you are demo trading, you should learn how to: 1) place market orders to enter a trade, 2) place stop-loss orders to protect your positions, and limit orders to take profits, 3).

Step 2: Study, Study, Study

Forex traders use fundamental analysis, technical analysis, quantitative analysis and sometimes a combination of all three to make their trading decisions. Fundamental analysis involves the use of economic, financial and political news to determine trading decisions.

Step 3: Manage your money wisely

You should always be aware of the amount of money in your account before placing a trade.

If you think a long-term trend is developing, then you should consider whether you have enough funds to maintain your margin and withstand any movements against your position(s) that may occur.

Step 4: Open a Live Account

If you feel ready to trade this market, fill out our application forms and submit them today. Since the emotional factor may be higher than it was when you were demo-trading (as you are now committing real money).

Protect Your Self

Before we go any further we are going to be 100% honest with you and tell you the following before you consider trading currencies:All forex traders traders LOSE money on tradesNinety percent of traders lose money, largely due to lack of planning and training and having poor money management rules.

Trading forex is not for the unemployed, those on low incomes, or who can’t afford to pay their electricity bill or afford to eat.

The Forex market is one of the most popular markets for speculation, due to its enormous size, liquidity and tendency for currencies to move in strong trends.Many traders come with the misguided hope of making a gazillion bucks, but in reality, lack the discipline required for trading.

Most people usually lack the discipline to stick to a diet or to go to the gym three times a week.

Leading vs. Lagging Indicators

Leading IndicatorsAn index published monthly by the Conference Board used to predict the direction of the economy’s movements in the months to come. The index is made up of 10 economic components, whose changes tend to precede changes in the overall economy.
These 5 components include:1. the average weekly hours worked by manufacturing workers.2. The average number of initial applications for unemployment insurance.3. The amount of manufacturer’s new orders for consumer goods and materials.4. The speed of delivery of new merchandise to vendors from suppliers.5. The amount of new orders for capital goods unrelated to defense.

Oscillators Of ForexGen

The Stochastic Oscillator comes in 3 flavors: Fast, Slow, and Full. The Stochastic Oscillator is a momentum indicator designed to show the relation of the current close price relative to the high/low range over a given number of periods using a scale of 0-100. It is based on the assumption that in a rising market the price(s) will close near the high of the range and in a declining market the price(s) will close near the low of the range. The Full Stochastic Oscillator is calculated by the formula:
Fast %K = ((Today’s Close - Lowest Low in %K Periods) / (Highest High in %K Periods - Lowest Low in %K Periods)) 100

Lagging Indicators Of ForexGen

An index published monthly by the Conference Board that is used to confirm the direction of the economy’s movements in past months.
1. the value of outstanding commercial and industrial loans.2. The change in the consumer price index for services from the previous month.3. The change in labor cost per unit of labor output.4. The ratio of manufacturing and trade inventories to sales made.5. The ratio of consumer credit outstanding to personal income.6. The average prime rate charged by banks.As it measures the economic activities of previous months, the Composite Index of Lagging Indicators is used as an after-the-fact way to help confirm economists’ assessment of current economic conditions.