Skill has a big part to play in forex day trading. You should have a good understanding of the markets, their trends and their direction before you engage in this type of trading. You should also know how to read the information and use all the resources made available to you. Finotec has put together a series of forex training videos to help you do just that.
Stick to your strategy. While this tip is true for almost all types of trading, it is even truer for day trading since you tend to spend more time in front of your computer and pay attention to the slightest move in either direction, which often prompts you to act and change your strategy. Whatever happens, do not panic. You should be aware that forex day trading comes with a certain degree of risk and accepting that risk means also accepting to lose sometimes.
Make sure you have enough time on your hands. Most day traders are professional traders who have made a career of currency day trading. Others have jobs that allow them to devote some time to it during their workday. So make sure your schedule is suited to this type of trading.
To start forex day trading with Finotec, open an account by filling out the form on the right. If you have any questions, one of our representatives will be happy to help you.
Different Types of Forex Day Trading
As mentioned above, some traders will enter and close positions within a few minutes – or even a few seconds (this method is known as “scalping”) – while others will maintain positions for several hours or even through the entire day. While some day traders combine these strategies or switch from one to another depending on current market conditions, most prefer to stick to one type of day trading.
Forex day trading strategies can also be categorized according to the type of resources and data used by the trader. Some day traders for instance trade only on fundamental analysis. They wait for the release of certain economic indicators and data (payrolls, GDP, etc…) and trade the expected market swings. Others rely solely on technical analysis. Whichever type of trader you are, you must know always watch out for economic and statistical releases if you don’t want any surprises.
Forex day trading strategies can also be categorized according to the type of resources and data used by the trader. Some day traders for instance trade only on fundamental analysis. They wait for the release of certain economic indicators and data (payrolls, GDP, etc…) and trade the expected market swings. Others rely solely on technical analysis. Whichever type of trader you are, you must know always watch out for economic and statistical releases if you don’t want any surprises.
What is Forex Day Trading?
With Forex trading now accessible to all investors thanks to the advent of Internet technology, forex day trading has become one of the most popular types of currency trading. Some traders – professional traders – have made forex trading their day job. They engage in what is known as forex day trading. As its name suggests, forex day trading consists in opening and closing positions – buying and selling currencies – within the same day. Usually, forex day traders try to take advantage of the fast-fluctuating currency rates, even if their movements are often smaller on a shorter term.
The four major currency pairs have an average daily range of 104 pips, which represents $1,040 per lot – much more than other currency trading markets. With their longer “length of line”, they also offer more “swing trades” opportunities.
Forex day trading is time-consuming and can also be money-consuming if you are not properly educated and trained in currency trading. To help you understand the ins and outs of day trading forex, Finotec offers you free fundamental and technical analysis education (see our Forex Trading Videos Section) as well as all the tools you need to analyze market trends, including a free demo account. As with stocks day trading, forex day trading can be done over the entire day, but it also can be done over a few hours, a few minutes or even a few seconds! Part of the skills of day traders lies in their ability to react quickly to the markets and make fast decisions.
The four major currency pairs have an average daily range of 104 pips, which represents $1,040 per lot – much more than other currency trading markets. With their longer “length of line”, they also offer more “swing trades” opportunities.
Forex day trading is time-consuming and can also be money-consuming if you are not properly educated and trained in currency trading. To help you understand the ins and outs of day trading forex, Finotec offers you free fundamental and technical analysis education (see our Forex Trading Videos Section) as well as all the tools you need to analyze market trends, including a free demo account. As with stocks day trading, forex day trading can be done over the entire day, but it also can be done over a few hours, a few minutes or even a few seconds! Part of the skills of day traders lies in their ability to react quickly to the markets and make fast decisions.
Benefits Of Forex Trading
Forex offers great investment opportunities for those wishing to diversify their portfolio. Forex benefits and advantages are many. Here are some of the main reasons why more and more corporate and individual investors choose to trade forex:
Get direct access to direct market prices: This is probably one of the most attractive forex benefits. Indeed, when you trade forex at Finotec, you get direct access to the market's most competitive interbank spreads. The way it works is that our brokerage firm receives spreads (the difference between the bid and the ask price) from 18 of the world's largest banks. That way and thanks to its large number of clients and the large volume traded through the platform, Finotec offers very competitive spreads on the main currency pairs.
Leverage Trading: High Returns with Relatively Small Deposits. this means that even if traders deposit a small amount of money, they can actually trade with a much bigger contract value. Finotec offers a 200 to 1 leverage. If you make a $100 margin deposit, you can actually trade $20,000 worth of currencies. With a $1,000 margin deposit, you can buy or sell $200,000 worth of currencies. However, you must keep in mind that if leverage allows for substantial profits, it also can lead to equally significant loss. One of the chief forex benefits can thus become a major liability. That's why you need to figure out your own risk management policy before you start trading.
High Liquidity: This refers to the forex market's ability to quickly convert or liquidate deals through buying or selling and without causing a significant price movement. The high liquidity of the forex market is mainly due to the large volume of currencies traded around the world. That way, currencies are exchanged instantaneously, 24 hours a day and with minimum loss value, since the next trade is usually executed at the same price as the last one. In the forex market, there are always plenty of ready and willing buyers and sellers.
Open 24 hours a day: The forex market is open 'round the clock, 5 days a week, from Sunday 5 pm EST to Friday afternoon 4 pm EST. This is due to the fact that there is an overlap of different time zones and that there is no physical central exchange that opens and closes at a particular time. Forex works through a global electronic network of corporations, banks and individuals. When you hear that a certain rate closed at particular price, this refers to the price at market close in London or elsewhere. However, unlike securities, currencies are still traded somewhere else in the world. The global scope of currency trading, as well as the high demand for currency, implies that there are always investors somewhere who are willing to buy or sell currencies. This also allows traders to trade on a part-time basis, meaning that they can choose to trade whenever they want.
Get direct access to direct market prices: This is probably one of the most attractive forex benefits. Indeed, when you trade forex at Finotec, you get direct access to the market's most competitive interbank spreads. The way it works is that our brokerage firm receives spreads (the difference between the bid and the ask price) from 18 of the world's largest banks. That way and thanks to its large number of clients and the large volume traded through the platform, Finotec offers very competitive spreads on the main currency pairs.
Leverage Trading: High Returns with Relatively Small Deposits. this means that even if traders deposit a small amount of money, they can actually trade with a much bigger contract value. Finotec offers a 200 to 1 leverage. If you make a $100 margin deposit, you can actually trade $20,000 worth of currencies. With a $1,000 margin deposit, you can buy or sell $200,000 worth of currencies. However, you must keep in mind that if leverage allows for substantial profits, it also can lead to equally significant loss. One of the chief forex benefits can thus become a major liability. That's why you need to figure out your own risk management policy before you start trading.
High Liquidity: This refers to the forex market's ability to quickly convert or liquidate deals through buying or selling and without causing a significant price movement. The high liquidity of the forex market is mainly due to the large volume of currencies traded around the world. That way, currencies are exchanged instantaneously, 24 hours a day and with minimum loss value, since the next trade is usually executed at the same price as the last one. In the forex market, there are always plenty of ready and willing buyers and sellers.
Open 24 hours a day: The forex market is open 'round the clock, 5 days a week, from Sunday 5 pm EST to Friday afternoon 4 pm EST. This is due to the fact that there is an overlap of different time zones and that there is no physical central exchange that opens and closes at a particular time. Forex works through a global electronic network of corporations, banks and individuals. When you hear that a certain rate closed at particular price, this refers to the price at market close in London or elsewhere. However, unlike securities, currencies are still traded somewhere else in the world. The global scope of currency trading, as well as the high demand for currency, implies that there are always investors somewhere who are willing to buy or sell currencies. This also allows traders to trade on a part-time basis, meaning that they can choose to trade whenever they want.
Forex Charts: The Candlestick Chart
In many ways, the candlestick chart is similar to the bar chart. It displays more or less the same information (high-low price range as well as closing and opening prices) but in a different format. The main difference is that on a candlestick, it is the block, or body, in the middle that shows the range between the opening price and the closing price (and not a dash as in the bar chart) and its color indicates the direction of the market for that particular period of time.
These types of candlesticks are called “Japanese” candlesticks because they originated in Japan centuries ago, where they served as a rice trading and counting technique. The technique was then discovered by a Westerner and became a big hit in the world of finance. Today candlesticks are used for almost any price representation over time: for instance, you can view the price evolution of a given share price on a candlestick stock chart.
Traditionally, candlesticks bodies were either black or white (white or unfilled when the currency closed higher than it opened, and black or filled when the currency closed lower than its opening price). However, candlestick charts now exist in Technicolor! Actually, they can be either green or red: green when the closing price is higher than the opening price; and red when the closing price is lower than the opening price. As you will notice along your journey to forex trading, those two colors are not only for aesthetic purposes: using red and green candles enables the eye to spot trends and reversals much faster on the graph.
Here’s what a candlestick looks like:
These types of candlesticks are called “Japanese” candlesticks because they originated in Japan centuries ago, where they served as a rice trading and counting technique. The technique was then discovered by a Westerner and became a big hit in the world of finance. Today candlesticks are used for almost any price representation over time: for instance, you can view the price evolution of a given share price on a candlestick stock chart.
Traditionally, candlesticks bodies were either black or white (white or unfilled when the currency closed higher than it opened, and black or filled when the currency closed lower than its opening price). However, candlestick charts now exist in Technicolor! Actually, they can be either green or red: green when the closing price is higher than the opening price; and red when the closing price is lower than the opening price. As you will notice along your journey to forex trading, those two colors are not only for aesthetic purposes: using red and green candles enables the eye to spot trends and reversals much faster on the graph.
Here’s what a candlestick looks like:
24hr Forex Trading – Forex Trading Hours
Open a forex account and enjoy a 24hr Forex Trading experience. Currencies are traded 24 hours a day, from Sunday afternoon EST* (Eastern Standard Time) to Friday afternoon EST. Through this 5+ day week of market activity, there is always at least one financial center open for business. Indeed, as some markets close for the night, others open somewhere else on the planet. Since forex trading hours overlap, currencies are being traded continuously. In other words, forex practically never stops.
Traders new to the world of foreign exchange tend to think that since the market is open 24 hours a day, they may trade whenever they choose during the day. Although this preconceived idea is actually true, it needs to be clarified. Indeed when it comes to forex trading hours, some hours present better opportunities than others. By better opportunities, we mean of course potentially greater profit. So what are the most suitable forex trading hours and why?
Usually, the best time to enter forex markets is when large volumes of currencies are traded. At those hours, traders can take full advantage of forex benefits. Since the forex market is traded 24 hours a day, the best time to enter is when several countries are trading at the same time. In each time zone across the world, forex markets operate from 8 am to 4 pm. So, to take advantage of heavy trading volume, the best is to look at when forex market hours in different countries overlap. Those hours are usually the time when the forex market is the most active and has thus the largest volume of trades and the biggest pip movements. It is when currencies are the most active that traders have a better chance of making some profit. Slow markets offer little chances of profit and therefore, forex traders usually stay out of them. When do forex trading times overlap?
Traders new to the world of foreign exchange tend to think that since the market is open 24 hours a day, they may trade whenever they choose during the day. Although this preconceived idea is actually true, it needs to be clarified. Indeed when it comes to forex trading hours, some hours present better opportunities than others. By better opportunities, we mean of course potentially greater profit. So what are the most suitable forex trading hours and why?
Usually, the best time to enter forex markets is when large volumes of currencies are traded. At those hours, traders can take full advantage of forex benefits. Since the forex market is traded 24 hours a day, the best time to enter is when several countries are trading at the same time. In each time zone across the world, forex markets operate from 8 am to 4 pm. So, to take advantage of heavy trading volume, the best is to look at when forex market hours in different countries overlap. Those hours are usually the time when the forex market is the most active and has thus the largest volume of trades and the biggest pip movements. It is when currencies are the most active that traders have a better chance of making some profit. Slow markets offer little chances of profit and therefore, forex traders usually stay out of them. When do forex trading times overlap?
The World Wide Forex market
Forex is a trading ‘method’ also known as FX or and foreign market exchange. Those involved in the foreign exchange markets are some of the largest companies and banks from around the world, trading in currencies from various countries to create a balance as some are going to gain money and others are going to lose money. The basics of forex are similar to that of the stock market found in any country, but on a much larger, grand scale, that involves people, currencies and trades from around the world, in just about any country.
Different currency rates happen and change every day. What the value of the dollar may be one day could be higher or lower the next. The trading on the forex market is one that you have to watch closely or if you are investing huge amounts of money, you could lose large amounts of money. The main trading areas for forex, happens in Tokyo, in London and in New York, but there are also many other locations around the world where forex trading does take place.
The most heavily traded currencies are those that include (in no particular order) the Australian dollar, the Swiss franc, the British pound sterling, the Japanese yen, the Eurozone eruo, and the United States dollar. You can trade any one currency against another and you can trade from that currency to another currency to build up additional money and interest daily.
The areas where forex trading is taking place will open and close, and the next will open and close. This is seen also in the stock exchanges from around the world, as different time zones are processing order and trading during different time frames. The results of any forex trading in one country could have results and differences in what happens in additional forex markets as the countries take turns opening and closing with the time zones. Exchange rates are going to vary from forex trade to forex trade, and if you are a broker, or if you are learning about the forex markets you want to know what the rates are on a given day before making any trades.
The stock market Is generally based on products, prices, and other factors within businesses that will change the price of stocks. If someone knows what is going to happened before the general public, it is often known as inside trading, using business secrets to buy stocks and make money – which by the way is illegal. There is very little, if any at all inside information in the forex trading markets. The monetary trades, buys and sells are all a part of the forex market but very little is based on business secrets, but more on the value of the economy, the currency and such of a country at that time.
Every currency that is traded on the forex market does have a three letter code associated with that currency so there is no misunderstanding about which currency or which country one is investing with at the time. The eruo is the EUR and the US dollar is known as the USD. The British pound is the GBP and the Japanese yen is known as the JPY. If you are interested in contacting a broker and becoming involved in the forex markets you can find many online where you can review the company information and transactions before processing and becoming involved in the forex markets.
Different currency rates happen and change every day. What the value of the dollar may be one day could be higher or lower the next. The trading on the forex market is one that you have to watch closely or if you are investing huge amounts of money, you could lose large amounts of money. The main trading areas for forex, happens in Tokyo, in London and in New York, but there are also many other locations around the world where forex trading does take place.
The most heavily traded currencies are those that include (in no particular order) the Australian dollar, the Swiss franc, the British pound sterling, the Japanese yen, the Eurozone eruo, and the United States dollar. You can trade any one currency against another and you can trade from that currency to another currency to build up additional money and interest daily.
The areas where forex trading is taking place will open and close, and the next will open and close. This is seen also in the stock exchanges from around the world, as different time zones are processing order and trading during different time frames. The results of any forex trading in one country could have results and differences in what happens in additional forex markets as the countries take turns opening and closing with the time zones. Exchange rates are going to vary from forex trade to forex trade, and if you are a broker, or if you are learning about the forex markets you want to know what the rates are on a given day before making any trades.
The stock market Is generally based on products, prices, and other factors within businesses that will change the price of stocks. If someone knows what is going to happened before the general public, it is often known as inside trading, using business secrets to buy stocks and make money – which by the way is illegal. There is very little, if any at all inside information in the forex trading markets. The monetary trades, buys and sells are all a part of the forex market but very little is based on business secrets, but more on the value of the economy, the currency and such of a country at that time.
Every currency that is traded on the forex market does have a three letter code associated with that currency so there is no misunderstanding about which currency or which country one is investing with at the time. The eruo is the EUR and the US dollar is known as the USD. The British pound is the GBP and the Japanese yen is known as the JPY. If you are interested in contacting a broker and becoming involved in the forex markets you can find many online where you can review the company information and transactions before processing and becoming involved in the forex markets.
FOREX: Ringgit Opens Stronger Against US Dollar
FOREX: Ringgit Opens Stronger Against US DollarBy: Ramjit-->KUALA LUMPUR, Aug 6 (Bernama) -- The ringgit opened stronger against the US dollar on Thursday as the greenback lost its attraction in global markets, a dealer said.At 9.10am, the local unit traded higher at 3.4910/4950 against the greenback compared with 3.4950/5000 at yesterday's closing.The US dollar weakened on firmer crude oil prices, said the dealer who added that this week's sharp rally in the oil market was driven by improved economic recovery prospects."The greenback saw some sell-off today and we expect further selling-through in the near-term," he said. The bullish outlook for the stock market also supported sentiment, he added.The ringgit also strengthened against the Singapore dollar to 2.4350/4401 from 2.4355/4414, the yen to 3.6705/6762 from 3.6735/6807 and the British pound to 5.9357/9443 from 5.9366/9465.However, it weakened against the euro to 5.0319/0391 from 5.0290/0372 yesterday.-- BERNAMA
Australian Dollar Up Late As Jobs Market Surges In July
SYDNEY (Dow Jones)--The Australian dollar was stronger in late Asian trade Thursday as comments from the Chinese central bank offset earlier gains made after surprisingly robust domestic jobs data.Analysts said the currency is likely to be well bid as European trade gathers pace but will likely face strong selling on any rallies into the US$0.8500 level.Market participants are awaiting the Reserve Bank of Australia's August quarterly statement on monetary policy and U.S. Department of Labor's July non-farm payrolls, both due Friday.At 0600 GMT, the Australian dollar was quoted at US$0.8436, up from US$0.8423 late Wednesday. Against the Japanese yen, it was quoted at Y80.255, up from Y79.955.JPMorgan Chief Foreign Exchange Dealer Philip Burke said that while direction for the Australian dollar has been mixed in the local session, European traders are likely to latch onto the buoyant employment data and take the currency back up to recent peaks."I would be surprised if we break out onto an US$0.85 handle tonight...but a strong payrolls number should see us up through US$0.85 if we haven't already reached it," Burke said.Burke said the US$0.8475 level has provided some firm resistance for the currency and is likely to continue to do so until a fresh catalyst pushes it higher.Also providing some caps for high-yield currencies is euro selling by Asian sovereign entities around the US$1.445 level.ANZ Senior Currency Strategist Katie Dean said the Australian dollar is unlikely to breach recent peaks ahead of the RBA data or payrolls."The market doesn't want to get itself too long going into the RBA tomorrow, so we would expect recent ranges to hold," Dean said.Jobs numbers earlier Thursday pushed the currency up to an intraday peak of US$0.8460, although rallies up this level have been fairly well sold into.Data from the Australian Bureau of Statistics showed 32,200 new jobs were created in July, sharply raising the possibility that the central bank will increase interest rates before the end of the year.The unemployment rate remained steady at 5.8%.The labor market expansion is the largest monthly rise since June 2008, defied expectations of a loss of 20,000 jobs and affirms the RBA's decision Tuesday to shift to a neutral policy bias.However, comments from the People's Bank of China - that while it will maintain its moderately loose monetary policy amid concerns over the sustainability of its economic recovery, it will fine-tune its policies as needed - sent the currency down to US$0.8403. The Aussie has since clawed back most of these losses.The market focus on the RBA statement Friday will zero in on the extent of the central bank's inflation and gross domestic product growth forecasts.Already, market participants are pricing in 39 basis points of interest rate hikes by December and 23 basis points by November.Bond futures weakened on the back of the employment figures but have held around recent lows.September three-year bond futures were eight ticks lower at 94.85 while 10-year futures were 5.5 ticks weaker at 94.345.JPMorgan Senior Interest Rates Strategist Sally Auld said that while the RBA has shifted to a neutral policy, the selloff at the short end of the bond curve may be overdone.She said while "strategically, the market remains in a bearish trend...tactically, we note the possibility for a reasonably significant short squeeze."Auld suggests investors look to buy the three-year contract at 94.87 and target moves to 95.20 with stops at 94.77.
India Prepares EU Trade Complaint
By JOHN W. MILLER in Brussels and GEETA ANAND in MumbaiIndia plans to file a complaint with the World Trade Organization alleging that the European Union allowed big pharmaceutical companies to use the bloc's tough patent laws to have national customs agencies detain generic drugs in transit to developing countries, according to India's commerce secretary.On more than 20 occasions since late last year, border inspectors in the Netherlands and Germany have held up Indian medicines used to treat AIDS, Alzheimer's disease, heart conditions and other ailments, saying they violated patent laws in the EU, although the drugs weren't intended for sale there, according to EU and Dutch customs officials and to lawyers for Indian pharmaceutical companies.At the request of companies including Sanofi-Aventis SA, Novartis AG and Eli Lilly & Co., the drugs were then detained for periods that extended for as long as eight months, according to letters sent by the companies to customs officials and reviewed by The Wall Street Journal.Indian generics makers say they have had to divert shipments at higher cost to transit hubs outside the EU, and to hire lawyers to defend their right to have the drugs shipped safely to their destination.Dutch customs officials are still holding on to the Indian generics drug giant Cipla Ltd.'s shipment of a schizophrenia medicine seized in November, according to Cipla and Lilly."We see this as an attack on the Indian generics industry," says Rajeev Kher, joint secretary of commerce in India, adding that he is preparing a complaint that India will soon file at the WTO.Getty ImagesThis handout picture released by the Spanish police on June 09, 2009 shows fake Viagra pills seized after the arrest of four people suspected of importing tens of thousands of the fake versions of the impotence drug in Alicante. Spanish police said they have seized more than 9,000 fake Viagra pills produced in China and India and sold over the Internet.EU officials say their national customs agencies have the right to enforce intellectual property laws in their countries, and they deny any violations of other WTO rules. The EU is "complying with its WTO obligations," says spokesman Michael Jennings.Some trade experts say India may have a good chance of winning. The EU argument that goods in transit must comply with local regulatory requirements is shaky, says Frederick Abbott, an international trade legal expert at the Florida State University.The world's biggest pharmaceutical companies often hold patents on their medicines in the U.S. and EU, which have some of the toughest intellectual property laws. Many of these companies' patents don't apply in developing countries, which have kept patent protection weaker in an effort to keep prices low for their far poorer populations. The U.S. isn't a major transit hub for generics, and doesn't claim that patent laws should apply to goods in transit to other countries.Weaker patent laws in developing countries allowed India and others to develop a booming business making and selling copies of branded pharmaceuticals, known as generics, both internally and to other nations. Indian pharmaceutical exports, mostly generics, grew to $4.9 billion last year from $1.5 billion in 2003, according to Global Trade Information Services.An EU regulation adopted in 2003 tasks national customs offices with policing intellectual-property laws on goods entering or transiting through their posts. The goal, EU officials say, was to take a bite out of the world's $500 billion annual trade in counterfeit goods, which are illegal copies of products masquerading as the real thing, usually of low quality.The law wasn't applied aggressively to pharmaceuticals until last year. The EU launched a crackdown aimed specifically at "counterfeit" medication, EU officials say. However, generic drugs, which are regulated replicas of brand-name drugs, are getting caught in the same dragnet.On Oct. 8, Dutch customs agents at Schipol Airport in Amsterdam intercepted a 50 kilogram, $52,500 shipment of generic blood-thinner clopidogrel, according to papers supplied by the manufacturer, Chandigarh, India-based Ind-Swift Ltd.One ingredient identified the drug as under patent to Sanofi-Aventis of France. Following the EU's 2003 regulation, Dutch customs seized the drugs on behalf of Sanofi.In two letters, a lawyer for Sanofi told the recipient in Colombia, a company that sells pharmaceuticals called Betalactamicos SA, that they had violated Sanofi's EU patent rights. The lawyer invoked a July 18, 2008, Dutch court ruling that the same intellectual property rules must apply to goods in transit as if they had been "manufactured in the Netherlands."The second letter, reviewed by The Wall Street Journal, was titled "counterfeit clopidogrel" and threatened "further action" if the goods weren't destroyed and the claim wasn't settled out of court. In April, the claim was settled. Sanofi consented to the drugs' release in May, six months after the shipment was seized, according to Ind-Swift and Sanofi.A spokesman for Sanofi said the company doesn't comment on cases involving other pharmaceutical companies.Ind-Swift has since changed the route of all of its shipments, sending them instead through Singapore or Malaysia at double the cost, says N.R. Munjal, vice chairman of Ind-Swift.The European Federation of Pharmaceutical Industries and Associations said in a statement that EU countries have the right "to stop products that they suspect may be counterfeit from entering the supply chain."In November, Dutch officials seized two shipments from Mumbai-based Cipla, one of capsules of the Alzheimer's disease medicine rivastigmine and another of tablets of the antipsychotic medicine olanzapine, according to Cipla and Dutch customs officials.Novartis, manufacturer of rivastigmine, asked Cipla to sign a letter admitting that it had infringed on the European company's patents and promising that Cipla wouldn't do so again, Cipla and Novartis said.Cipla refused, saying the company believes a shipment in transit can never infringe on an EU patent, said Patsy Jeffery, who handles legal affairs at Cipla.The shipment, bound for Peru, was detained for five months, after which Novartis agreed to allow the medicine to continue on its journey. A spokeswoman for Novartis, Lisa Gilbert, says the company allowed the drugs to be released after it became clear they were headed for Peru, where there would be no patent violation.The Peru-bound shipment of olanzapine, the schizophrenia treatment that is one of the biggest-selling medicines in the world, is still being held in the Netherlands. Cipla is trying to negotiate the release of the medicine with Lilly, the patent holder in the Netherlands. The medicine has been held for more than eight months, Ms. Jeffery said.A spokesman for Lilly, Jamaison Schuler, says the company is discussing with Cipla how to "amicably settle this dispute." In general, he says, the company believes customs should check generics in transit to make sure they're not counterfeit and they don't violate patent laws.Dutch officials say they were merely doing their jobs. "We subscribe to the rights of developing countries to have access to this medication," says Ruud Stevens, a spokesman for the Dutch economics ministry. "But we have to enforce EU patent law."After India files its complaint, the WTO could, after a nine-month investigation, dismiss the case, or rule that India has the right to impose retaliatory tariffs on the import of goods from the EU.
Euro / US Dollar Reversal is the Real Deal
A recent divergence between the Euro futures contract and the US dollar index is just one piece of evidence suggesting that the EURUSD has reversed course. Additional evidence includes a long term cycle, wave structure at multiple degrees of trend, and recent momentum considerations
Pakistani stocks end lower; rupee flat
Pakistani stocks end lower; rupee flatKARACHI, Aug 11 (Reuters) - Pakistani stocks fell on Tuesday as investors booked gains after the country's main index gained nearly 2.7 percent the previous day, dealers said.The Karachi Stock Exchange's (KSE) benchmark 100-share index ended 0.46 percent, or 37.56 points, lower at 8044.50 points on turnover 178.58 million shares.The KSE-index has now gained 37.2 percent this year after losing 58.3 percent in 2008.'We saw some profit taking in some of the blue chip companies since the market rose in the previous two sessions,' said Sajid Bhanji, a dealer at brokers Arif Habib Ltd.The KSE-index rose 2.67 percent on Monday to its highest close this year as the International Monetary Fund increased its loan to Pakistan by $3.2 billion to a total of $11.3 billion.The IMF said it would immediately release $1.2 billion to Pakistan under its economic programme, first agreed in November last year to avert a balance of payments crisis.The rupee closed flat at 82.86/96 to the dollar, unchanged from Monday's close.The rupee has lost 4.5 percent this year after losing 22.12 percent in 2008.(Reporting by Sahar Ahmed; Editing by Victoria Main)((sahar.ahmed@thomsonreuters.com; +92-21 568 5192; Reuters Messaging: sahar.ahmed.reuters.com@reuters.net)) Keywords: FINANCIAL PAKISTAN/(If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com)COPYRIGHTCopyright Thomson Reuters 2009. All rights reserved.The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Israel finmin supports cbank
Israel finmin supports cbank halt to daily FX buysJERUSALEM, Aug 11 (Reuters) - Israeli Finance Minister Yuval Steinitz said on Tuesday he supported the Bank of Israel's decision to halt a 13-month-old programme of buying $100 million a day of foreign currency that was aimed at preventing the shekel from strengthening.While the central bank stopped buying the $100 million of forex on Monday, it said it would still continue to intervene in the event of 'unusual movements' in the market.'I think that the Bank of Israel is acting judiciously and seeing all the various needs. We, of course, consult with them,' Steinitz told Israel Radio.'We talked about the Bank of Israel's steps in recent weeks. I think that the transition from a permanent daily commitment to buy dollars and the occasional intervention based on the situation, is generally correct,' he said.After gaining early in the session, the shekel was flat against the dollar at 3.87 per dollar in early afternoon trade.Steinitz said the aim of the government was to support Israeli exports -- nearly half of economic activity -- which have been hurt badly by a drop in global demand and a stronger shekel. He noted that the state is also providing guarantees to exporters.He said that the ministry was considering taxing speculators or raising taxes on foreign currency deals from overseas investors but such measures had failed in other countries.'The dollar is weak everywhere. It's our job to do all we can to support the exporters, as far as is reasonable and possible,' Steinitz said, adding that he won't 'determine a limit to (a fall) in the dollar rate'.On the state of the economy, Steinitz said he hoped that the ministry will be able to upwardly revise its forecast from a 1 percent contraction in 2009.'We'll wait another month or two to see that the good data, which are improving, from the last month or two, are indeed stable before risking new assessments and over-optimism,' he said. 'The most we can say is that we are on the right path.There are signs of stabilisation and optimism in Israel and around the world.'That is an encouraging development, but we must be cautious. I hope and believe, like the majority of international agencies that rate us, that we will indeed return to growth in 2010 and even the beginning of significant growth.'(Reporting by Steven Scheer; editing by Stephen Nisbet) Keywords: ISRAEL SHEKEL/FINMIN(steven.scheer@thomsonreuters.com; +972 2 632 2210; Reuters Messaging: steven.scheer.reuters.com@reuters.net)COPYRIGHTCopyright Thomson Reuters 2009. All rights reserved.The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
India aims to up tax target
India aims to up tax target, phase exemptions-finminNEW DELHI, Aug 11 (Reuters) - India will aim at a higher direct tax receipts target of 4 trillion rupees ($83 billion) from the budget estimate of 3.7 trillion rupees in the year to March 2010, the finance minister said on Tuesday.He told tax officials at a conference that tax rates should remain moderate and exemptions should be gradually phased out.'Given the likely impact on government finances due to unanticipated drought, I will like to suggest a further upward revision in the direct tax collection target,' he said.($1=48 rupees)(Reporting by Rajkumar Ray)((rajkumar.ray@thomsonreuters.com; +91-11-4178-1006; Reuters Messaging: rajkumar.ray.reuters.com@reuters.net)) Keywords: INDIA ECONOMY/FINMIN(If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com)COPYRIGHTCopyright Thomson Reuters 2009. All rights reserved.The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Forex Trading: Forex Traders: The Need to Be Objective
Losing in trade because of predicting the market wrongly is an innate part of Forex trading and traders need to accept it. Besides, they need to learn to avoid getting in a position where they do not have many choices. ...Forex news by Global Vacation
Money Management Principles in Forex Trading (Part III)
by Ahmad Hassam Perhaps the best advice that you will receive in your trading career is live to trade another day. Currency markets are volatile, brutal and unforgiving. You should learn to survive in the markets. The single most common factor that causes many currency traders to blow up their accounts and lose all their money is greed. You start taking unnecessary risks when you get greedy. You will spend many hours trying to find the Holy Grail technical indictor or a forex robot that can
FX Market: British Pound Plummets, FX Traders Prefer Australian Dollars
In a surprise move early in the New York morning, members of the Bank of England elected to following its scheduled interest rate decision. Although there was latent speculation that the measure would surface, for the most part, traders were expecting no real changes to QE with recent pickups in economic data. According to the release this morning, the Bank of England saw it necessary to pump another 50 billion pounds in to the economy to the tune of 175 GBP billion. A good plan to continually increase liquidity and credit in the country, the measure will likely produce more harm than good. As before, the more cash the MPC pumps into the economy, the higher the likelihood that the underlying currency will come under selling pressure. The more pounds that are available in the market, the lower the price will fall. Moreover, the increased supply of cash will likely lead to further inflationary pressures down the road, eroding potential growth in the near term. The sentiment can already be seen in today’s market action as the GBPUSD currency pair lost a whopping 150 pips in a matter of 5 minutes following the announcement. Once trading above the $1.7000 figure, the British pound is now trading about 220 pips lower (as of this writing, the pair is trading at $1.6771). A necessary evil, the chosen expansion will push British leaders of monetary policy to teeter a fine line when it comes to an exit plan.
Mistakes that you can make in forex trading
trading in the simplest of terms is the buying and selling of foreign currencies. The procedure is simple enough. Buy a foreign currency at a certain price, keep it and then sell it when the value is high. The difference in the prices from the time you bought and then sold it is the profit that you gain. When you think about it, it sounds so simple. Don’t be fooled. It’s not that simple. What you do not know is that foreign currencies do not just go up. They can also go down depending on a lot of factors. And these factors are oftentimes not something that ordinary people would know.
So before you get into and invest your hard earned in some scheme, make sure that you know what you are getting into. Read materials about forex trading and talk to people about it. Make sure that you know the risks involved and then decide if you are willing to take them. Below are some of the mistakes that people often make when new in the forex trading. This will help you get to know the industry a little bit better.
1. Trading by day
In forex trading and even in stocks, there is what people call day trading. This involves the buying and selling of foreign currencies several times in a day. This is because foreign currencies fluctuate several times in a day. It goes up and goes down. The day trader takes advantage of these fluctuations to rake in some profit. Although some people gain much this way, experts dissuade people from investing their money this way. This is because day trading can create artificial demand and supply, thus affecting the values of the currencies.
2. News sometimes isn’t reliable
Forex trading is a global industry and sometimes the factors that affect it aren’t only local but world-wide. This is why sometimes the news that you get from television and the newspapers isn’t reliable. Although they are basically true, the news may not be relevant in the global perspective. Sometimes, tips from people in the industry and people are more reliable because they understand the dynamics of the global foreign market.
What they should read instead are books on forex trading. Look into charts and understand what makes foreign currencies appreciate or depreciate. That way, you don’t have to rely on news. You only need to rely on your own understanding and instincts.
So before you get into and invest your hard earned in some scheme, make sure that you know what you are getting into. Read materials about forex trading and talk to people about it. Make sure that you know the risks involved and then decide if you are willing to take them. Below are some of the mistakes that people often make when new in the forex trading. This will help you get to know the industry a little bit better.
1. Trading by day
In forex trading and even in stocks, there is what people call day trading. This involves the buying and selling of foreign currencies several times in a day. This is because foreign currencies fluctuate several times in a day. It goes up and goes down. The day trader takes advantage of these fluctuations to rake in some profit. Although some people gain much this way, experts dissuade people from investing their money this way. This is because day trading can create artificial demand and supply, thus affecting the values of the currencies.
2. News sometimes isn’t reliable
Forex trading is a global industry and sometimes the factors that affect it aren’t only local but world-wide. This is why sometimes the news that you get from television and the newspapers isn’t reliable. Although they are basically true, the news may not be relevant in the global perspective. Sometimes, tips from people in the industry and people are more reliable because they understand the dynamics of the global foreign market.
What they should read instead are books on forex trading. Look into charts and understand what makes foreign currencies appreciate or depreciate. That way, you don’t have to rely on news. You only need to rely on your own understanding and instincts.
Subscribe to:
Posts (Atom)
