Forum Karczmy Bezdennego Kufla

wlkleo00jah

Posted:July 20, 2013Comments:Views:3
Three Major Markets That You Need to Pay Attention to When Investing in Forex
The managers of investment funds for years examine secondary markets for confirmation before they open a position. These professionals, by using very sophisticated software charts, are able to see the relationships that [link widoczny dla zalogowanych] exist between certain types of markets, so that they have the information about the investment. Some of these correlations are commonly known - oil and the Canadian dollar and gold futures and the Australian dollar. Some are not so well known, such as the exchange rate of the U.S. dollar / Japanese yen and the short-term rate of return on Japanese government [link widoczny dla zalogowanych] bonds.This article presents some of the key markets that may offer valuable information about the direction in which the price will change in the forex market.
Derivative financial instruments (derivatives) - such as short-term contracts on currencies are another great tool for confirming the formation of short-term trends in exchange rates.
Market brokers and investors are looking for the right moment that will be pointed to the right number on the market. In forex trading in order to determine whether the currency is in demand, investors will keep an eye on the number of open contracts on a short-term currency. This information can be used not only to predict the demand for a currency but [link widoczny dla zalogowanych] also to other products on the market rotated (commodities).
The CDS market is relatively unknown. [link widoczny dla zalogowanych] CDS is a derivative instrument used for credit risk transfer and is an excellent tool for illustrating the demand for [link widoczny dla zalogowanych] currency data.
Contracts CDS - Credit Default Swap
This is why all the managers of investment funds, observe the short-term bond yields in order to confirm that they are in relation to the favorable currency trend. The movement in one asset records can predict or confirm the movement in another.
The underestimated bond market
These indicators can provide invaluable information when making investment decisions and thus increase the rate of return on their investment projects, especially in the current days of global economic instability. For the economies that are inter-related to one another it pays to understand what the relationship between the different markets is.
CDS contracts are in the market for about 14 years and serve to protect the position of the buyer before any claims for repayment are made. For example, the manager of the funds can insure credit on the amount of $100 million in Japanese government bonds by paying a premium insurance. The credit crisis manager will be then able to recover the value of the bonds. As in the case of short-term contracts on currencies, CDS contracts allow you to specify whether a currency is overvalued or undervalued. During the credit crisis in the European Union in 2010, confirmed CDS contracts, lacked of interest in European assets - CDS contracts (insurance costs) soared to record high levels.
While it [link widoczny dla zalogowanych] may seem very strange, currencies and bonds are strongly linked. The direction for both of these investment assets is closely linked with the state a country's economy and its fiscal policy. If the economy of a country is in good shape and is strong, international investors will buy bonds issued by the government of a country - in search of a secure and stable rate of profit. This situation will naturally increase demand [link widoczny dla zalogowanych] for the currency of that country and thereby increase the value of the currency. International investors who are interested in investments in other countries, always have to make trades in the currency of that country.
One of the couples, which is subject to this relationship is the exchange rate of the U.S. dollar / Japanese yen. The forex currency pair [link widoczny dla zalogowanych] USD / JPY turns into a near synchronization with Japanese short-term bonds - and exactly two-year government bonds. This relationship was very strong especially in 2010.Most of the participants in the foreign exchange market had seen a strong currency in the yen. The global economy is coming out on track after the recession, the Japanese export companies fared much better than their American counterparts - which resulted in a greater increase in Japan as a country. As a result of this international investors saw more opportunities and prospects in the Japanese market and began to invest in short-term government bonds. This in turn caused an increase in the value [link widoczny dla zalogowanych] of [link widoczny dla zalogowanych] the yen against the dollar.
Most investors, both new and more experienced, based almost all of their investments only on a variety of technical indicators. Very rarely, they pay more attention to aspects that provide a lot of helpful tips in determining the direction in which a currency pair will follow. Sometimes, certain assets of investment markets is the key to winning the opening position or to avoid failure.
Share this article
Some analysts point out both the commercial transactions and non-commercial, but the most important thing, is however to keep a close eye on the commercial items. Non-commercial positions are concluded mainly by individuals engaged in speculation of the market. The point is to have information about closed for the day demand for a given currency in order to determine or confirm the potential direction of the market. For example, many are interested in a particular currency (a large number of contracts) means that most investors are [link widoczny dla zalogowanych] on the same side of the market - which means that the opposite result on the market is more likely. When most investors think that the value of a pair will increase or has open long positions, [link widoczny dla zalogowanych] what happens when all of a sudden they decide to sell holdings?
Foreign currency short-term contracts (futures)
相关的主题文章:

[link widoczny dla zalogowanych]

[link widoczny dla zalogowanych]

[link widoczny dla zalogowanych]