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AgeKay

Why is USD Rising??? Please Explain

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This is a genuine question. I really want to understand. Can somebody please explain? EUR/USD currently 1.34 while it was almost 1.60 three months ago. Shouldn't it keep going down since interest rates had been cut so many times?

 

P.S.: I post this here instead of in the Forex forum because I have the feeling only amateurs are trading spot forex while the Futures trader seems to be a lot more knowledgable.

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This is a genuine question. I really want to understand. Can somebody please explain? EUR/USD currently 1.34 while it was almost 1.60 three months ago. Shouldn't it keep going down since interest rates had been cut so many times?

 

 

Your question deals w/ using fundamentals for your trading analysis while many here use technicals.

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Well then, pardon me.

 

There's plenty of reasons and all/some could be right. It's in the eyes of the beholder.

 

But, I don't want my useless drivel to interrupt your marvelous prose here.

 

Oh yeah, there are some good FX traders around here, so maybe if you didn't flat out offend them in your initial post you might have gotten a little reply from them...

 

;)

 

Perhaps a site that has 'elite' in it's name is more suited to someone of your intellect. I can think of one that would probably be more appropriate for the level of sophistication you are looking for.

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P.S.: I post this here instead of in the Forex forum because I have the feeling only amateurs are trading spot forex while the Futures trader seems to be a lot more knowledgable.

 

WOW, really? You feel all the trillions traded on a daily basis in spot are done by amateurs? Any particular basis for this feeling of yours?

 

I am well aware of that. I still hope there is someone who can give me an answer. Who knows, it might even be technical.

 

Have you found that insulting the people you want answers from is generally a good way of getting answers?

Edited by sevensa

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WOW, really? You feel all the trillions traded on a daily basis in spot are done by amateurs? Any particular basis for this feeling of yours?

 

It might be that the incremental millions required each day to put the pressure up do come from amateurs (or at least, not currency trading professionals). Perhaps it is caused by perceptions of value from business people and individuals fleeing certain markets.

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WOW, really? You feel all the trillions traded on a daily basis in spot are done by amateurs? Any particular basis for this feeling of yours?

 

It's based on the fact that most of the Spot FX brokers out there I know are dealing desks and even those that claim to be non-dealing desks are shady. I don't understand why a professional would trade with a dealing desk.

 

Have you found that insulting the people you want answers from is generally a good way of getting answers?

 

No, I realized that might not have been a good idea.

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P.S.: I post this here instead of in the Forex forum because I have the feeling only amateurs are trading spot forex while the Futures trader seems to be a lot more knowledgable.

 

:o :rofl: :haha:

 

Oh deary me, please someone help me up off the floor, my stomach is about fit to bust...

 

I can't wait till Andre wanders onto this post I really can't.

 

You best get your best flak jacket dusted off mister.

 

:o :o

 

 

on 2nd thoughts...Mods? why don't you simply delete this jokers comments - it might save you an awful lot of hassle down the line!

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It's based on the fact that most of the Spot FX brokers out there I know are dealing desks and even those that claim to be non-dealing desks are shady. I don't understand why a professional would trade with a dealing desk.

 

You never heard of Prime Brokers????

 

Are you seriously trying to imply that professional FX players route thru retail???

 

I'd go get yourself a little education & try utilizing more than one cell inside that brain of yours mister before making a complete ass of yourself in public.

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The pros use the spot FX markets due to the liquidity... You can't chuck a 100 car order at the EC in the CME... you can chuck 10x's that in the spot market and not be felt too much.

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P.S.: I post this here instead of in the Forex forum because I have the feeling only amateurs are trading spot forex while the Futures trader seems to be a lot more knowledgable.

 

Well, unlike what you'll find at forexfactory and elitetrader, most of the people here take trading pretty seriously and have a good idea of what they're talking about. I'm sure there are people in the spot forum that can help you.

 

But just to give you a heads up, like any market, the spot currency market has its amateurs and professionals. Most of your pros trade for hedge funds and big banks, and probably aren't even allowed to post stuff on the net.

 

You tend to have a seemingly very high number of amateurs due to the low barriers to entry. Forex is unregulated and as such it's easier to get an account from a broker. You can trade very small increments and not have to put up 2500 dollars margin for a trade. Also, the amount of leverage available to you is shockingly high in forex, which attracts the get rich quick crowd.

 

But does this mean there are no forex pros, or that those pros aren't just as good as futures pros? No. I am involved in futures in Chicago, and let me tell you that most of your profitable pro traders down here are not posting. They either keep their methods secret or just aren't the type to go post on any message board. So it's really the same thing. A good board like this is nearly impossible to find - be respectful and use it for all it's worth.

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The pros use the spot FX markets due to the liquidity... You can't chuck a 100 car order at the EC in the CME... you can chuck 10x's that in the spot market and not be felt too much.

 

This is actually incorrect. Before things started getting really hairy and illiquid, you could hit or lift with 100 cars oftentimes and be filled at one price. Where you find it's not all that liquid are in the other currency futures, like GBP.

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