The ECB LTRO helped banks improve their liquidity, but not all shock absorbers are in place for a Greek default – the euro and global stocks would plunge. David Rodriguez of DailyFX discusses the short term and long term implications of a Greek bankruptcy, the forces that really move USD/JPY, China and other fundamental matters … “Hard Greek Default Will Send Euro Plunging”
Month: February 2012
FXCM Powers New Forex Offering by E*TRADE
US broker FXCM expands its business with a major collaboration: E*TRADE is launching retail forex trading for its customer. Customers will get access markets as well as education and research via FXCM. This is a major step in making forex more mainstream. Here are more details from the official press release: E*TRADE LAUNCHES RETAIL FOREX TRADING … “FXCM Powers New Forex Offering by E*TRADE”
MetaTrader Server Teleport Service Launched by Tools4Brokers
Tools4Brokers, a company with 3 years of experience with MetaTrader, is launching a service for forex brokers. The service enables transferring clients and order databases between MT4 servers. Forex software is on the move all the time. MetaQuotes recently announced the integration of the liquidity of CitiFX. For more details about Teleport Service, here is … “MetaTrader Server Teleport Service Launched by Tools4Brokers”
US Dollar Drops on Greek Bailout Hopes
US dollar is lower today, dropping as Forex traders look forward to a Greek bailout. The expectation is that eurozone leaders will come up with a way to get Greece the money it needs to avoid a messy default. Equities around the world rallied on the news, and the need for safe haven fell, bringing the US dollar down as well. US markets are closed today for the Presidents Day holiday, but the Forex market … “US Dollar Drops on Greek Bailout Hopes”
Time For AUD/USD Longs in Risk-On Trade Mode?
Risky assets are higher today, because of cut in China’s reserve-ratio requirement over the weekend by 50BPS to 20.5%, effective from February 24th. That means that banks are now allowed to lend more money, which of course is good for economy. That’s why we saw a gap higher on commodities, stocks and lower on USD … “Time For AUD/USD Longs in Risk-On Trade Mode?”
USD/CHF: Trading the Swiss Trade Balance
The Swiss Trade Balance, released monthly, measures the difference in value between exports and imports. A reading which is higher than the market forecast is bullish for the Swiss franc. Here are all the details, and 5 possible outcomes for USD/CHF. Published on Tuesday at 7:00 GMT. Indicator Background The Trade Balance indicator is important to traders, since … “USD/CHF: Trading the Swiss Trade Balance”
Vote for Forex Crunch in Forex Best Awards 2012
As you might already know, Forex Crunch was nominated for the Forex Best Awards 2012 for Fundamental Analysis by FXStreet. Voting begins today, February 20th, and ends on March 2nd. You can vote here, and on any page on FXStreet. Forex Crunch won the prize in 2011, and I am grateful for your support. The … “Vote for Forex Crunch in Forex Best Awards 2012”
“Secret Troika Report” – Key for Greek Bankruptcy Announcement
Reports are emerging that a secret report by the EU / ECB / IMF troika on Greece will show that even if the most optimistic scenarios are met, Greece will not achieve the desired debt ratio, nor get even close. This may be the trigger for a bankruptcy announcement in Athens. In addition, the bond … ““Secret Troika Report” – Key for Greek Bankruptcy Announcement”
Yen Posts Weekly Losses After BoJ Performs Easing
The Japanese yen slumped this week as the Bank of Japan embarked on quantitative easing, diminishing attractiveness of the currency that would be otherwise bolstered by uncertainty about the bailout for Greece. The BoJ spoiled that could have been a very good week for the yen by increasing the scope of their asset purchases, a stimulating measure for Japan’s economy. It hurt the currency exchange rate significantly, but it’s unlikely that the central bank would be … “Yen Posts Weekly Losses After BoJ Performs Easing”
Euro Gains on Greek Bailout Hopes
Euro is gaining today, heading higher after a rocky week, thanks to hopes for a Greek bailout. Expectations are that a Greek debt agreement will be reached by Monday. The news has many Forex traders scrambling to enter long positions on the euro against the US dollar and the Japanese yen. It’s been a difficult week for the euro as rumors about what would happen with Greece have flown about. However, many … “Euro Gains on Greek Bailout Hopes”