CNBC Comment: What central bank shifts mean for funds June 2, 2014 THE ECB has heavily hinted that it will provide more support to markets on Thursday, although how the support will look has yet to be determined. I had Ron Mock, chief executive of the Ontario Teachers’ Pension Plan, a $145bn fund that manages pension savings for over 300,000 current and retired teachers in Canada, on [...]
DailyFX Tips & Picks: How to manage risk when trading around news events June 2, 2014 WITH the ECB meeting this Thursday, and the US non-farm payrolls report out on Friday, the FX markets are bound to experience a great deal of exuberance. With volatility, we stand to make a great deal of money – but also to lose a great deal if risk is not managed properly. HOW TO MANAGE [...]
DailyFX Tips & Picks: Analyst’s pick June 2, 2014 QUANTITATIVE STRATEGIST DAVID RODRIGUEZ My pick: Short dollar-yen against ¥103 Expertise: System trading Average time frame of trades: Two to ten weeks The US dollar rally looks a bit long in the tooth, as futures positioning data shows large speculators at their most long on the dollar against the single currency since the major July [...]
CNBC Comment: Putin’s bravado masks financial stress May 26, 2014 VLADIMIR Putin’s pivot to the East can no longer be in any doubt. Attending the St Petersburg Economic Forum (the annual meeting he set up to rival Davos) last week, high profile US attendees, like Lloyd Blankfein of Goldman Sachs, were notably absent. The most high-profile foreign delegates were from China, like vice premier Li [...]
DailyFX Tips & Picks: The difference between trading and analysis – a boot camp for novice traders May 26, 2014 TRADERS’ best ideas often turn out to be their worst. It’s almost ironic. Great ideas turn into bad trades, and bad trades turn into lost money. It only takes one of these bad trades to wipe out the profit from hundreds of better ones. Even worse, that one bad trade can snuff out any gains [...]
CNBC Comment: How Qatar became Europe’s power broker May 19, 2014 WHEN in distress, US banks call Warren Buffett. In Europe, banks have turned to Qatar. It may only be the size of Yorkshire, but Qatar’s swoop on Deutsche Bank confirms its role as Europe’s power broker, having struck similar deals with Barclays, Credit Suisse, Dexia, KBL and Greece’s Alpha Bank. Germany’s largest bank has announced [...]
DailyFX Tips & Picks: Why new traders may want to consider a wider stop loss May 19, 2014 ALWAYS getting stopped out? We’ve all seen the videos online. Trade with a tight stop loss order and a high per pip value, and you’re on your way to riches. Yet, as many discover too late, it’s not that easy. GAME OF PROBABILITIES At the end of the day, traders have two options: they can [...]
DailyFX Tips & Picks: Analyst’s pick May 19, 2014 CURRENCY STRATEGIST CHRIS VECCHIO My pick: Holding short euro basket Expertise: Fundamental and technical analysis with risk management Average time frame of trades: A few hours to a few weeks Contingent on the ECB’s June economic projections, the German central bank is reportedly ready to agree to non-standard easing measures. We could see a move [...]
CNBC Comment: Is fixed income dying or just sickly? May 12, 2014 SHOULD investment banks cut off the tail before it infects the body, or nurse it back to health? This is the conundrum confronting banks with fixed income divisions. Once bread and butter for bank profits, the industry is now left fighting over stale crumbs. Barclays’s restructure of its investment bank has sparked fresh debate about [...]
DailyFX Tips & Picks: It might pay for traders to add to winning positions May 12, 2014 WE ALL know what most traders do wrong: they trade against the trend, their average gain is usually twice the average loss, and they will add to losing positions. And the most televised way of turning profitable is to adhere to the two first rules, while avoiding the third. There is nothing wrong with this, [...]