EURUSD Analysis – Feb 28, 2009

by ForexCycle.com | February 28, 2009 3:35 am
EURUSD remains in medium term downtrend from 1.4719. Deeper decline is still in favor, a break down below 1.2512 level will signal resumption of the downtrend, and the next target would be at 1.2400 zone. Key resistance...

U.S. Budget Deficit Set to Hurt the Dollar

by ForexCycle.com | February 27, 2009 9:13 am
President Barack Obama’s announcement that the budget deficit is set to hit $1.75 trillion or 12% of GDP is likely to lead to a bearish Dollar in the medium-long term. Meanwhile, forex traders are advised to follow...

Assessing Risk and Reward in Forex Trading

by ForexCycle.com | February 27, 2009 3:50 am
The question of measuring risk and reward in the forex market is a very complex one. It is very difficult to find the correct response due to the inconstancy of market conditions. In this sense, risk and...

USD Safe-Haven Gains on Negative Housing Data

by ForexCycle.com | February 26, 2009 8:41 am
Despite forecasts for a depreciation of the Dollar, many economists are now saying that the negative housing data released from the United States yesterday may actually bolster the USD. These contradictory claims are a result of the...

USD Stabilizes as Obama Proclaims America Will Recover

by ForexCycle.com | February 25, 2009 10:16 am
Addressing Congress yesterday, President Barack Obama made an effort to boost confidence in the economy by stating that America could recover and emerge from this crisis stronger than ever. His recent stimulus plan, he says, is meant...

Knowing When to Stop Trading

by ForexCycle.com | February 24, 2009 4:05 pm
The worst thing a trader can do is lose control while on a winning streak. This is where trading in the foreign currency market is similar to gambling. Players who do not know when to stop end...

Relative Strength Index Explained

by ForexCycle.com | February 24, 2009 5:00 am
Relative Strength Index (RSI) is used to quantify the strength of the entire set of ascending movements in opposition to all descending movements within a given period of time. The following is the Relative Strength Index equation:

How to Trade Successfully During Unstable Markets

by ForexCycle.com | February 24, 2009 4:48 am
Many buyers and sellers consider unstable markets to be a time of favorable conditions for trading. While large market variations can represent a great chance for profit, they can also mean losing a lot of money if...

USDJPY Analysis – Feb 24, 2009

by ForexCycle.com | February 24, 2009 2:21 am
USDJPY breaks above 94.61 previous high resistance, suggesting that a cycle bottom has been formed at 87.12 on daily chart and the fall from 110.60 (Aug 15, 2008 high) has completed. Further rally is now in favor....

USDCAD Analysis – Feb 21, 2009

by ForexCycle.com | February 21, 2009 3:03 am
USDCAD has reaches the upper border of the triangle pattern. Pullback would more likely be seen and target would be at 1.1850-900 area. However, a break below 1.2280 level is needed to confirm such case. Initial resistance...