Beginners Guide to Swaps
You might remember in 2007, during the Financial crisis, the word CDS (Credit Default Swap) was hovering on every news channel. These CDS’s were used to finance mortgages for many people and so it is important to note, what swaps are and what their uses are? First we shall define a swap, a swap is when two parties exchange financial instruments More...
Introduction to RSI (Relative Strength Index)
The relative strength index is a momentum oscillator and is the one most used oscillators by traders. The RSI indicator was invented by J. Welles Wilder Jr. The indicator is used to identify overbought levels, oversold More...
An Undervaluation or a falling knife?
The decline in the price of Apple stock from just shy of $700 in September last year to around $400 currently, has driven heated debate throughout the investment community. Bears argue that the company has peaked, More...
Upcoming key resistance could offer insight into the future of the EUR/USD
EUR/USD heads in to the trading week 22nd – 26th July having experienced a rise over the past two weeks from around the 1.2830 level (illustrated on the chart below by support marked 3) to around 1.3180 (illustrated More...
An introduction to Fibonacci Retracements
Fibonacci retracements are derived from the Fibonacci sequence (The Rabbit Problem), Fibonacci was an 11th century Italian mathematician and now we use his sequence in financial markets. It is otherwise known as More...
An introduction to Futures
We shall first define what a futures contract is; a future is an agreement between a buyer and seller that obliges the buyer to purchase a particular asset (FX, commodities and other financial instruments) from More...
An Introduction to Trading Systems
Trading Systems are built on algorithms which are developed by computer scientists and mathematicians. Algorithms are a step-by-step procedure of how to do a procedure. For example, there are algorithms for booking More...
Is Germany Preparing for a Currency War?
Quantitative easing by the Federal Reserve Bank of the United States has put every other central bank in the world in a position of having to counter punch. No other central bank has the financial resources to More...
Another Bearish Sign for Gold?
The CME Group recently lowered its initial margin rates for gold, silver and platinum. That is a move that is usually supportive of prices rising in the future. In other words, it is a very bearish sign for More...
What is Copper Telling about The Future Price of Gold?
Things happen for a reason, which is why the exchange traded fund for copper (JJC) has been surging as the exchange traded fund for gold (GLD) has been plunging. Copper, The Red Metal, is used almost exclusively More...