Author: Editorial Team

ForexPromos Editorial Team is comprised of a selection of hand picked editors that bring you the latest breaking news from the financial markets. We also provide forex educative articles as well as comprehensive fx broker reviews.
Weekly Currency Index Technical Analysis – 26 January

Weekly Currency Index Technical Analysis – 26 January

Technical Analysis
Currency Index Notes From last week's analysis, our recommendation to short NZDJPY resulted in a clear profit, while USDJPY was ranging for most part. AUDLFX: The weekly bearish flag was indeed validated and price reached its target Friday's close coincides with the lower support line of the falling price channel We could therefore see a minor bounce from here. It is unsure whether we will a rally or if price will break down from the price channel Note the confluence of the price channel's support line and a horizontal support level Daily charts indicate a possible retracement to 1.534 Conclusion: Look to the daily charts after Monday for signs of continued bearish momentum in AUD pairs. CADLFX: The break out from the rising trend line has been rapid with week...
Dealing Desk or Non Dealing Desk? – The SNB Aftermath

Dealing Desk or Non Dealing Desk? – The SNB Aftermath

Trading Articles
Last week's Swiss National Bank shocker caught the markets off guard posting heavy casualties which was felt more with the retail forex trading industry. Traders and brokers alike got caught up in a black swan event which led to quite a few brokers going bust while some reputable brokerages seeking capital to continue to keep up with the operations. The event has also given rise to the age old debate of which of the two main models of trading execution is better, market makers (also referred to as dealing desk brokers) or agency model brokers (referred to as non dealing desk brokers). In the aftermath of the Swiss shocker, in a typical reactionary mode, market makers were hailed as the heroes as they (the brokerages) managed to come out unscathed. But does this one instance justify h...
Weekly Currency Index Technical Analysis – 19 January

Weekly Currency Index Technical Analysis – 19 January

Technical Analysis
Currency Index Notes Last week's SNB induced volatility has thrown most of the analysis out of gear. We would therefore recommend caution this week. According to our trading strategy and analysis, readers who followed our recommendations from last week, would have had no exposure to the Swiss franc volatility last week.  From our trade recommendations from last week, NZDJPY moved as expected including AUDUSD despite the volatility (where we mentioned our readers to cover to break even as soon as possible). The only loss was that of the EURUSD. AUDLFX Weekly candlestick has resulted in a bearish engulfing candlestick This week's high coincides with an intermediate low in the downtrend, indicating that we could see possible downside moves in the Aussie this week Conclusion:
Variable spreads and why they matter

Variable spreads and why they matter

Trading Articles
Forex brokers nowadays offer a lot better choice of trading conditions for their customers. When it comes to spreads, brokers usually offer either fixed spreads or variable spreads. Fixed spreads are known to be the key giveaway for market markers, or brokers that operate a dealing desk or acting as a counter party and thus not widely preferred. Most ECN/STP or non dealing desk execution brokers however are known for their variable spreads. While this second option makes for a preferred choice for the more serious traders, it does come with its own disadvantages, which if the trader does not pay much attention to, could prove to be a very expensive mistake they would make. How variable spreads work? In order to understand if are getting a fair deal, it is important to understand how v...
Weekly Currency Index Technical Analysis – 12 January

Weekly Currency Index Technical Analysis – 12 January

Technical Analysis
Currency Index Notes AUDLFX Bullish candlestick pattern showing sharp reversal, but expecting momentum to fade as price approaches 1.59 or the region between 78.6% and 100% of the bearish flag retracement. Alternate view is that price could possibly turn around and just push higher. Conclusion: Safer to leave AUD pairs alone this week and see what price action dictates. CADLFX: After the previous week's bearish engulfing pattern, price followed through with a bearish close last week. Major risk comes from the dynamic support of the 52-week EMA and the trend line as well as the support/resistance at 1.6145 Canadian Dollar could probably resume its uptrend as long as the piercing line's low near 1.6017 is not breached. Daily charts formed a Doji on Thursday and the...