Understanding the Meaning of Purchasing Power Parity in 2022
The success of trading on the forex market implies the ability to correctly determine the most successful trades. And here you can't do without the methods of forecasting further currency movement. However, to make accurate forecasts, it is necessary not only to have skills in technical analysis of the market - but it is also vital to understand and be able to analyze the fundamental factors that affect the currency rate.
Understanding the Forex Spread
Any forex trader must understand the nuances of spread calculation. The gain of trade largely depends on the spread. It also affects the level of drawdown of open trades, which can lead to the closure of the order on Stop Out if the risks are calculated incorrectly. Diving deeper into what is the spread in forex, you can get the answer to a number of questions that will help to lead effective trading.
Understanding Safe Haven Assets: What & Why?
Imagine that you used all your savings to buy shares in a promising IT company. The company has released new products, reported good revenues, and the share price has risen sharply. You rejoice in the earnings. But then the CEO of the startup makes an unfortunate joke on Twitter, it causes a scandal and the stock plummeted in price, and you are in the red. Stressful situation, right? To worry less, you shouldn't build a portfolio of only risky assets, such as startup stocks. You need to invest in so-called safe haven assets as well.
A Trader's Guide to Using Fractals
The fractal indicator was created by the famous trader Bill Williams. It can be used in isolation or together with other indicators. He is considered one of the progenitors of modern trading psychology. Back in the 1980s, he put forward the Chaos Theory, which offered a methodological understanding of market structures. He combined trading psychology with applied technical analysis and developed a trading system that was ahead of its time.
A Bumpy Road to Success: Real Stories of Traders
What prompts people to get into trading? What kind of mistakes do they make, what kind of bumps along the way? What motivates them and keeps them from giving up? Probably everyone who is already a trader or just studying this profession is interested in the experience of colleagues. The real experience of others like them, who are not yet Larry Williams or Jesse Livermore, but who are persistently climbing to the top.
Awesome Oscillator - Tutorial on Using the Indicator
Right before opening trades on the forex market, every trader carries out a technical analysis of the chart. It is necessary to find the most profitable market entry points and use them most effectively. In fact, at this stage, the user sets a vector for all their future actions. Using the information obtained in market analysis, the user can choose the best trading strategies and ways to implement them.
How to Complicate Your Trading: Bad Advice for Traders
Do you hear appeals at every turn to quit your job and start trading? Are the examples of successful traders actively imposed on you and you are sure that you can repeat their path? Do you think that all you have to do is guess the price movement direction? Alas, it is not that simple, but very interesting! Are you used to the classical phrases like "follow the trend" or "follow the majority"? Then these harmful tips for traders will do you good. Follow them to lose capital as quickly as possible.
What Is Stagnation?
Russia's invasion of Ukraine has pushed oil prices to their highest level since 2008 and raised fears of "stagflation," writes Business Insider. We are now seeing a surge in the prices of oil, gas, wheat, and base metals, dashing hopes for a strong (and soon) global economic recovery. Oil hit its highest level since July 2008, raising investor fears of "stagflation," a dangerous combination of high inflation and a stagnant economy - low or even negative growth.
Should You Invest in Tesla Before the Stock Split?
Tesla recently announced that it was going to do a stock split in the future. Now, is it time to buy? Even though the situation is still in its early stages and few details are known about the potential split, Tesla's share price surged after the announcement in late March. And after the company's August 2020 stock split, its value soared by about 80%. So far, it's hard to say whether a potential stock split will lead to the same impressive results. But if you've been thinking about investing in Tesla for a while, now might be a good time to buy.
Fundamental Analysis of the Market. An Introduction
Investors and traders use various methods to predict the price movements of stocks, currencies, and other instruments. Technical analysis tools have become the most common. They use mathematical algorithms to calculate the patterns of changes in quotes and draw conclusions about further developments with a certain degree of probability. The other approach - the fundamental analysis - although complicated, is considered by many investors to be more effective. A beginner in the market should know at least its general provisions.