myWealth.com

Riding the Euro/Dollar Rollercoaster, For Now

haha, funny...and you're probably right.


On Feb 19 09:40 AM Steve in Greensboro wrote:

> "...This will probably coincide with better sentiment hitting the
> market as the U.S. government gets its head out of its butt and does
> something finally with the banks and stimulus package...."
>
> The U.S. government extracting its head (before the 2010 elections)
> will also coincide will hell freezing over.

Riding the Euro/Dollar Rollercoaster, For Now

Yeah, the yen is losing its luster quickly. Gold has broken out of a downtrend recently and it won't be long before it takes out new all time highs. This may also eventually catch up to the dollar and act as "ankle weights" around it. The dollar index is one to watch...appears to be double topping right now..but too early to say for sure.

Meanwhile USD/JPY is rallying hard.

Thanks for the comments.


On Feb 19 06:45 AM morph366 wrote:

> The Japanese yen is falling out of the safe haven matrix - during
> Tuesday's sell-off we had the unusual spectacle of a rising dollar,
> buoyant gold and a flight to long term Treasuries. In the longer
> term, being long all three asset classes is an unsustainable play
> but in the short term it captures the fact that many, especially
> in Asia and the Middle East are seeking out what they consider to
> be the best places to hide out while the seismic rumblings continue.

10 Things to Consider Before Investing in Forex

You could have had a course from us for $20...live instructor access, 1 year's email access and a lifetime alumni forum. Affordable for the masses. mywealth.com


On Jan 08 04:17 AM gr8trader007 wrote:

> I am taking forex trading course at www.secretsofforextrad.../.
> I find it really interesting and really usefull after reading your
> article, your advice. Thanks a lot.

10 Things to Consider Before Investing in Forex

Nothing wrong with Currency ETFs at all. When I trade spot FX, I'm not a daytrader at all. I'm in trades for days to a week or so at least.

The advantage to spot FX is 24 hour trading and no commissions. Plus the Currency ETFs are limited to only a hand full of pairs. But for some, that's all that they want. I trade about 30 pairs over about 10 different countries. So it gives me more variety..plus it gives me some emerging market currency exposure too which I like at times.

Thanks for posting and sharing your thoughts. I appreciate you reading my stuff.


On Jan 07 12:16 PM Internet2k4 wrote:

> I tried a reputable dealer's demo account (not yours) and was continuously
> electronically nagged to get into the game for real - the butting
> in by the service provider was so bad I never did sign up. On my
> medium term time frame for trading, I'm happy enough with the CurrencyShares
> ETFs, and now ProShares is providing double-long and double-short
> ETFs for EUR and USD / JPY and USD pairs. The Forex platforms seem
> entirely oriented toward day traders to maximize their transaction
> spreads, a different stroke for a different folk.

10 Things to Consider Before Investing in Forex

MyWealth.com has a relationship with FX EDU.com. They have the relationship with FXCM. They picked them to go through because they are one of the biggest forex firms in the world and one of the most highly regulated in the world.

Those are two very important things to have in a forex broker (market maker).

How well they are capitalized and how tightly they are regulated...both help to protect you.

Don't Expect the Dollar to Repeat Its 2008 Performance

I agree. I wasn't referring to it being a "reserve currency" of the world either. Just that they were forming their own currency much like the euro zone has done and yet it's not the world's reserve currency either ...but yet does have its own currency for the region and that's what these guys say they are forming by late 2009 and another report mentions the start of 2010. Either way, I think they'll miss either target but still might make it happen as soon as they can.


On Jan 04 11:26 PM jepittman wrote:

> Those suggesting a new currency from the middle east as a serious
> competitor to the US Dollar as a reserve currency are IMO not being
> realistic. The quantity of funds necessary for a reserve currency
> would dwarf the small economies of the middle east. The US Dollar
> will not be seriously threatened as the world's primary reserve currency
> for many years, despite the ridicule heaped on it by the gold community.
>
>
> I respect gold as a hedge commodity and own it. Gold investors please
> keep in mind I am commenting on a new middle east currency as a viable
> global reserve currency, not being critical of gold as an investment.

Stocks, Bonds, Commodities and Currencies: My Predictions for 2009

Glad you enjoyed the commentary, guys. Was glad I was able to clarify my points as well.

I thank all of you for reading my posts. I appreciate that. Visit my website if you get a chance sometime too.

Looking forward to many more articles on Seeking Alpha. I love this site.

Stocks, Bonds, Commodities and Currencies: My Predictions for 2009

Historically, stocks start to recover when unemployment is at its highest. Why? The lead time that stocks have over the actual economic cycle.

How the EUR/USD Could Trade During the Holidays

Great stuff as always, Kathy. Keep it coming.

Stocks, Bonds, Commodities and Currencies: My Predictions for 2009

Things are always still bad economically while stocks start to recover. This is due to markets anticipating recoveries about 3-6 months in advance of the trough in the economic cycle.

They want to grab up value before it becomes obvious to everyone. Some think that stocks rise as the economy rises, but that's not how it happens. The rise in stocks precedes the rise of the economy (in anticipation of a recovery).

Here's a good example of this: images.google.com/imgr...

See the stock market move in red and the economic move (cycle) in green.

So what I'm talking about is the stock cycle that leads the economic cycle.

Hope that helps in clarifying. This is why there will still be bad news surfacing yet stocks eventually rallying. That always leaves people scratching their heads. However. once they see how the market cycles coincide with economic cycles, it solves the mystery.

Stocks, Bonds, Commodities and Currencies: My Predictions for 2009

It wasn't by chance. It was by macro analysis. Looking at the whole pie and not just one piece.

Stocks, Bonds, Commodities and Currencies: My Predictions for 2009

Great analysis is never by chance.

Worth Thinking About How Falling Dollar Will Affect Tech Companies - JP Morgan

Good article. Glad to see someone agrees with me on the fall of the dollar next year. Awesome!

With 75bp Cut, Fed Becomes the Most Aggressive Central Bank

Yeah, exactly...the dollar is becoming more like the yen all the time. As markets stabilize, the dollar will continue to be sold off (just like the yen then) and other foreign currencies like the euro will reign supreme once again, against the buck. So dollar carry trade is right...the dollar as the "funding currency". Ouch!


On Dec 16 04:47 PM Robert Nabloid wrote:

> Dollar carry trade anyone? Sounds familiar! I think there was another
> country that did something similar to fix things but it didn't work
> out as planned - except that country still had a big consumer market
> to export products to in order to capitalize on its cheap currency
> for competitive reasons.
>
> I do wonder how many people will be suckered into buying expensive
> homes due to cheap credit - and then once interest rates begin to
> rise due to inflation - how many of those same people will eventually
> feel pain when they lose homes AGAIN with massive interest rate increases?
> Oh well, not my problem.
>
> The Fed will never learn - increasing debt doesn't fix the fundamentals
> of an economy. Otherwise, we could just spend our way to prosperity
> with debt dollars. That isn't fundamentally sustainable or possible
> over the long run.