Sunday, October 18, 2009

How many of us will succeed in Forex?


How many of us will succeed in Forex?


Many of us have probably heard the statement that 95% of beginners lose in Forex and remaining 5% become successful.

A common trading journey in Forex starts with demo account and develops into live account with further positive or negative outcome.

We have made own simple research that was aimed to find out how long on average traders plan to demo trade Forex before going live. We offered traders to vote on our Poll. Here are the results:

Forex poll results

Visit poll results page

Although it would be wrong to state that these are exactly the results that prove the theory of "95% to 5%", the data came out to be quite interesting.

Traders who planned to invest real money after 1-6 months of demo trading formed 68% of all voters. There were 17% who were giving it about 1 year and 6% who said they will demo trade for 2 years or more.

Our research cannot provide an insight whether all those traders will change their minds about going live in Forex after stated period of time, but we may presume that many of them will more or less stick to their plans.

You have probably already made your mind about the option you’d vote for in our poll above.

Let’s see how many of us will succeed in Forex?


Forex traders

If you have chosen to open a live Forex account after 1-2 and up to 6 months of demo trading, your chances to successfully manage your live account are quite slim. Exceptions happen, but we speak about majority of Forex traders.

The reason why we made such verdict is because no matter how much you study Forex every day, 6 months is too little to gain all necessary experience and digest enormous amount of information about Forex trading, plus be able to test it long enough in order to confidently invest money relying on knowledge gained and start trading successfully.

Traders that were willing to dedicate about 1 year to demo trading had most likely been already demoing Forex for some time and gained some initial experience, that allowed to analyze the time needed for proper learning and research more realistically. These traders have initially higher chances to manage live accounts properly, but would need much more time to be able to achieve stable performance. Their risks of sooner or later losing it all are still high; therefore, unless they consider at least another year of practice and studying we may add them to our initial 68% group of risk. Total would be 85% now.

Again, why we are so strict bout the verdict? In any field professionalism is never achieved in no time. Students study for 5-6 years in universities to obtain a profession, a sport champion has to work on his body and skills for years before receiving his first gold medal.

Learning Forex in one year won’t make most of us financially independent.

The category "no need for demo" lists both: traders who voted for immediate opening of real account in Forex and learning while trading live, and traders who already had real accounts. This category was made to help maintaining quality of votes on other voting options.

And finally we have the remaining 6% of traders who planned to demo trade and practice for 2 years or more before going live. This small group has the highest potential to make it right and achieve its financial goals in Forex. We can only add here a well known wisdom: "Success in anything you do lies in hard work, continuous learning and passion for tasks set and choices made".

What is our advice after all?

If you happen to be in the 85% group, simply plan for further studying and testing and later open a live account with more serious approach.
If you belong to remaining 6% of traders, move on and stick to your plan.

What practical value does this research have for an average Forex trader?

With some exceptions (which we all wish to be a part of, but let’s be realistic), there will be no quick profits in Forex and no financial miracles.

Demo trading is a great and free way to test your Forex trading skills and practice as long as it is needed. Being serious about investing real money, means being serious about learning how to manage them in artificially created conditions.

But, let’s don’t forget about live trading!
Live trading is even much better way to learn about real challenges in Forex. Many Forex traders confirm that after trading with real money they had to revise their views about Forex trading.

It is highly advised to open a real trading account to get a taste of real Forex. Caution! Don’t rush in to earn money with your first live account, approach things wisely.

If your trading skills aren’t truly outstanding so that you can confidently manage large funds, do not invest a lot in your first live account. Consider you new live account as live-test account. Test your live skills by managing a small balance and trading the smallest lots possible(!): up to 1000-2000 units, so that your balance won’t be affected much even if your first trading attempts result mostly in losses. Find a broker that allows to open a mini account and trade with small lots.

And finally, our scheme to success in Forex:
Demo trading – live-test trading – live trading
Between each stage at least 1 year of trading experience.

To your trading success!

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Forex trading systems and strategies collection revealed!


Forex trading systems and strategies collection revealed!


Active Forex trading and constant research enabled us to collect different strategies and techniques in our trading arsenal.
Today our Team is glad to present a new fair Forex trading strategies website where traders can quickly and free explore different Forex strategies and learn trading techniques!
Why do we share our knowledge?
We are traders like others and we like what we do.
There are no secrets about Forex trading, only experience and dedication.
Besides, on the Internet there are countless sellers who offer their strategies and systems for traders ready to pay... we would be surprised if you haven't met one yet! Free or paid — the choice is for traders to make. Our choice is a free collection. We are also going to update our collection each time we discover a new good Forex strategy!
We welcome You today to explore Forex trading strategies and systems with us and hope You find some useful information for yourself that will eventually improve your trading!
Ready to share your ideas with other traders? Post your trading strategy at our forum — join us in our mission to help Forex traders become better traders!
If even after this you are still wondering why we disclose Forex systems, let us try to bring in some more facts.
When many of us started trading Forex several years ago there was very little information about Forex trading systems available on the Internet. No one was really sharing their trading innovations and discoveries. (Nowadays Forex traders with a little effort and persistence are able to find some trading systems on the web).
Remembering being a newbie to Forex trading and looking for some bright ideas but having a hard time finding any we have decided to make your learning today easier.
For many of us trading is also a great passion, not just a method of making money. Forex has endless opportunities for constant learning, improving of trading skills and multiplying financial success. So, whenever we have time to make our next contribution to help Forex traders find their way to success, it costs us nothing. We like what we do, so we do it!
This article taken by forex-strategies-revealed.com.

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Friday, October 16, 2009

Pound Climbs On Asset-Purchase Program Speculations


The pound gained today after hitting several record lows this week specially versus the euro, as speculations indicate that the current central bank asset-purchase program may be suspended, finally providing support for the British currency to gain in foreign-exchange markets.

After speculations suggested that the Bank of England is likely to interrupt its asset purchase program due to undisclosed reasons in an interview given by BOE Markets Director Paul Fisher to the Financial Times, the pound witnessed its sharpest gains in October, specially versus the greenback and the yen, but also the euro and a basket of emergent-market currencies. Mixed sentiment towards the U.S. economy made the dollar to erase early gains versus several currencies, including the British pound, which crossed the $1.60 line this Thursday, after several sessions losing in currency markets.

Most of analysts and traders were expecting the BOE’s asset-purchase program to be extended as the economy in the British Isles remains in a rather delicate situation, specially in the financial sector, receiving Fisher’s comments as a surprise that provide support for the pound to climb to more optimistic levels, as the quantitative easing measures taken by the Bank of England were one of the biggest responsible for the pound’s devaluation.

GBP/USD traded at 1.6262 as of 18:34 GMT from a previous rate of 1.5963 yesterday. EUR/GBP traded at 0.9173 from 0.9325.

This article taken by topforexnews.com.

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Canadian Dollar Farther From Parity With Greenback on Stocks


The Canadian dollar, which benefited from a high on crude oil markets and traded near parity with its U.S. counterpart witnessed a significant fall towards the end of these week’s session as equities did not perform in favor of the Canadian currency.

The loonie is ranking among the top winners versus the greenback this year, only losing to the Australian dollar and the Brazilian real, being all these currencies benefiting from a high in commodity markets, due to their raw material exporter profile. This week, the loonie managed to trade near parity with the U.S. dollar, but this Friday, a reverse movement in stocks worldwide created a rather bearish scenario decreasing risk appetite in currency trading, pushing the loonie away from equality with the greenback, as investors shifted their bets before the session’s closing.

Optimism towards the U.S. economy and speculations that the greenback would be undervalued, combined with a negative performance in stocks and commodities forced the Canadian currency down towards the end of this week, according to analysts. The Canadian dollar is likely to remain in this band between parity with the U.S. dollar and up to $1.05 for a while, as long as there are no events that would drastically change the sentiment towards the currencies involved.

USD/CAD traded at 1.0430 as of 12:25 GMT from 1.0305 yesterday, after trading near parity in the middle of the week.

This article taken by topforexnews.com.

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South African Rand Climbs on Metallic Commodities


The South African currency witnessed a rally this week that set the rand to the highest rate versus the U.S. dollar after a decreased appeal for the U.S. currency combined with an increase in rates of metallic commodities provided support for the rand to outperform a number of currencies.

South Africa is today, the leading exporter of precious metallic commodities in the world, and as the gold is reaching record highs, platinum is climbing and other commodities are gaining value in markets, the rand is rallying significantly, also benefiting from a wave of risk appetite in stocks that brought investors to inject money in emergent markets and abandon previous dollar-priced positions, forcing the U.S. currency to the lowest levels in more than 12 months. South Africa remains one of the highest-yieldings investment options and its currency is one of the top winners among emergent market currencies, together with the Brazilian real.

South Africa is one of the emergent markets that has been benefiting from a new optimistic scenario which is forcing commodities up, attracting investors to yield and decreasing the appeal for the safety provided by the greenback, as the global slump is becoming a past event. The rand is likely to experience further gains towards the end of the year, specially versus the dollar.

USD/ZAR traded at 7.2680 as of 13:19 GMT from a previous closing price of 7.3430 yesterday.

This article taken by topforexnews.com.

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End of Dollar`s Downturn?


The U.S. currency finally posted gains versus most of 16 main traded currencies as some investors suggested that the recovery in the North American economy is not compatible with such losses in currency markets, providing support for the greenback to pare gains of most emergent market currencies which were climbing these week.

Several events changed market’s trends today after the European Central BankJean-Claude Trichet affirmed that U.S. government should support the strength of its currency, declining attractiveness for the euro, which also posted intense losses versus the pound this week. The U.S. dollar also gained on speculations regarding industrial production in the country, which is likely to increase further from the past month, a significant evidence that economic conditions are improving in the wealthiest country in the world. One of the few currencies that managed to control the dollar’s gains today was the pound, as optimism was renewed in the country after the central bank suggested that its quantitative easing problem will be suspended.

Mixed information is influencing on the volatility of the U.S. dollar, firstly the Federal Reserve affirmed that the fluctuations of the currency are acceptable, but now the European Central Bank starts to show concerns regarding a weakened dollar, causing a nebulous scenario for the greenback short term future.

EUR/USD traded at 1.4879 as of 11:40 GMT from a previous rate of 1.4962 hours earlier. USD/CAD traded at 1.0394 from 1.0312 in the intraday.

This article taken by topforexnews.com.

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Dollars Gets A Lift From Weak Confidence Data


Dollar Gets A Lift From Weak Confidence Data

By Deborah Levine

The U.S. dollar gained ground versus the euro and Japanese yen on Friday as data showed gains in foreign funds flowing to the U.S. and weakness in consumer confidence spurred selling of stocks.

The dollar and British pound rebounded from recent lows scored the previous day as traders reversed bets that the dollar will fall further, and U.S. equities declined, easing pressure to continue selling the greenback.

"Going into the weekend, today's sell-off in the Dow provides players with a convenient excuse to take profit on short U.S. dollar positions and reload for next week," Michael Woolfolk, senior currency strategist at The Bank of New York Mellon, wrote in emailed comments.

The U.S. dollar index (DXY) rose to 75.677, up from 75.480 in North American trade late Thursday after sliding to a series of 14-month lows earlier in the week.

The dollar bought 90.88 yen, up from 90.59 yen, giving up bigger gains earlier in the session.

The euro traded at $1.4882 versus the dollar, down from $1.4933 after failing to breach the psychologically important $1.50 level.

Reducing the attractiveness of equities and supporting the dollar, a report showed U.S. consumer sentiment pulled back more than anticipated this month.

The University of Michigan/Reuters index fell to 69.4 in early October from 73.5 in September. Analysts surveyed by MarketWatch expected, on average, for the index to read 72.

That followed a report showed U.S. industrial production jumped 0.7% last month, topping expectations. Capacity utilization rose to 70.5% in September from a revised 69.9% in August, also higher than anticipated.

"These diverging signals highlight the recent uncertainty" over whether third-quarter growth can be sustained, analysts at Action Economics wrote. "The downside risks as we approach year-end are clear."

An earlier report from the U.S. Treasury Department showed foreign investors nearly doubled purchases of U.S. assets in August.

Foreign official buyers sold more short-term assets and bought long-term securities. Private investors in other countries bought more U.S. equities and favored longer-term assets of all types, indicating more preference for riskier assets than Treasurys, noted foreign-exchange analysts at Barclays Capital.

Gains in stocks and other indications of investor willingness to make more aggressive investments over the last several months have been detrimental to the dollar, as its safe-haven status is no longer desired.

"Our overall assessment is that these numbers remain mediocre but are not nearly as negative as the July release," Barclays analysts wrote in a note.

Focus also returned to the lack of fluctuations in the Chinese yuan, a day after the U.S. Treasury repeated its previous finding that China was not formally manipulating its currency.

The People's Bank of China set the yuan's official rate 6.8270 against the dollar Friday, according to reports, down slightly from 6.8267 Thursday. The yuan is allowed to fluctuate on 0.5% on either side of the official daily rate.

China's foreign-exchange policy risks "unwinding" some of the progress made in reducing global trade imbalances during the financial crisis, the U.S. Treasury said Thursday in its latest report on foreign-exchange trading.

Weekly move

The dollar index is still headed towards a second weekly loss, sliding 1% from last Friday. The yen has seen a roughly 1% increase since last Friday. The shared euro is still up about 1.4% versus the dollar this week.

With much vocalization about the fall in the dollar's value, some analysts and policy makers alike point to the still orderly decline that has left the dollar index down 7% this year, which is not abnormal given the reversal of investor's need for safety in the credit crisis and a readjustment of imports and exports as consumer demand has slowed.

"No policy maker is going to argue for a weak dollar," said Dallas Federal Reserve President Richard Fisher said Friday, according to news reports. Recent movement in the dollar "has to do with trade adjustment."

British pound

The battered pound was the biggest winner among major currencies, continuing to power higher versus the euro and the greenback a day after a Bank of England policy maker signaled satisfaction with the impact of the central bank's quantitative-easing strategy.

The British pound gained ground versus the dollar rising to $1.6340, up from $1.6270 Thursday. The euro slipped 0.9% versus sterling to 91.06 pence.

The British currency has advanced 2.6% this week on dollar.

Traders said the remarks by Paul Fisher, the bank's director of markets and member of the Monetary Policy Committee, were sufficient to trigger an explosive round of short covering. U.S. Commodity Futures Trading Commission data released last week showed a historic build-up of short positions against British pound futures, noted analysts at Brown Brothers Harriman.

"The fundamentals for the pound are still negative, with interest rate differentials favoring other currencies," they wrote. "Next week's minutes of the Bank of England meeting may also reinforce the fragile nature of the economic recovery, and the likelihood of rates remaining at this low level for some time."

Others cautioned that betting against the pound in the midst of a run of unexpectedly strong third-quarter earnings report by major banks could prove perilous.

"We would caution against being short GBP [selling the British pound] when U.S. bank earnings are again generally beating expectations, as markets treat GBP as a proxy for the performance of the financial sector," said Adam Cole, global head of FX strategy at RBC Capital Markets in London.

"Our short-term models also continue to show GBP heavily oversold relative to short rate expectations and bank stocks, consistent with other evidence that short-GBP is a seriously overcrowded trade currently," he wrote in emailed comments.

August trade data for the euro zone showed the 16-nation region swung to a larger-than- deficit with the rest of the world.

The figures come amid rising unease among euro-zone officials and businesses over the strength of the euro.

From a technical standpoint, the euro remains "slightly overbought" versus the dollar, "so perhaps its time to take a breather today," wrote Nicole Elliott, a technical analyst at Mizuho Corporate Bank.

Nonetheless, a "weekly close above $1.4800 would confirm that the next leg of the (euro) rally has started," she said.

This article taken by topforexnews.com.

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Saturday, October 10, 2009

An Introduction to Trade Dollars


An Introduction to Trade Dollars


A Post all about Trade Dollars Introduction.

The United States silver Trade Dollar is issued by the U.S. Mint mainly for trading purposes with the countries like chine, Korea and Japan. Mainly for the purpose of trading with china it was used extensively and to improve trade with china. Previously Mexican peso was used to trade with china. Later trade dollars replaces Mexican peso.

The trade dollars were minted in Philadelphia, Pennsylvania, Carson City, and San Francisco from 1873 to 1885. More were minted in San Francisco as it was very near to the silver source. William barber, the mints chief engraver designed the coin which is composed of 90%silver, 10% copper and 420 grains in weight. The chopmarks are there to exhibit the originality and authenticity of the coins produced and used.

The U.S. trade dollars are facing some serious issues nowadays. Various qualities of U.S. trade dollars are found in china and made in china. The coin collectors are warned about it. They are advised to buy the coins from the known authentic source. The certified dealers are there to sell the coins and the collectors are asked to purchase from them to avoid the problems of fake. There is an existing fact which is quite astonishing that 90% of all the U.S. Trade dollars are fake (on Ebay). The good part of it is that the fake coins can be detected. The main major ways to deduct the fake coins are

*

There will be ladies head on the coin. The ribbon curls behind her head have holes in it in which the metal was chipped out of the dies.
*

Note the eagle in the coin. Its eyes will be full.
*

Note the rim. The reeds on the rim will be close together.
*

The fake coins look worn.
*

From the weight also the fake can be determined. The fake coins are silver washed around copper and will weigh only 18 grams. Remember the original coins weigh 420 grains

All the above denotes that the coin is fake. In the original coin the eyes of the eagle will be half shut or incused. All the above are just suggestions to find out the fake. These will not help one to find the fake always. Luck also plays a major role in finding the fake and avoiding them and the consequences.

In March 1955, Benjamin Stack advertised a pair of Trade dollars rarities. In 1884 and in 1885 he advertised for $6,500 in the book “The Numismatic Scrapbook Magazine”. The Trade dollars were auctioned in 1988 which is an astonishing fact which was a piece of information in the Norweb Collection. During the early American republic there was a considerable shortage of silver and gold coins. The silver coins are driven away for circulation in the late 1840. Due to Civil war, discovery of gold in California, monetary system the value of silver raised to $10,000,000 by 1864.




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Trade Dollars in Commerce


Trade Dollars in Commerce


This post teach how to Trade Dollars in Commerce.

Designed by the mint’s chief engraver William Barber, father of the famous engraver Charles E. Barber, the Trade Dollar was first minted in 1873. The purpose of the coin was for the expanding trade with countries in the Far East, especially China. In fact, the Trade Dollar isn’t a phenomena specific to the USA, as other countries such as Japan and Great Britain also issued Trade Dollars for commerce with Asia.

The US Trade Dollar

Congress started promoting American commerce overseas by authorizing a new .900 silver coin called US Trade Dollar. The coin weighed 420 grains compared to Mexican coin at 416 grains. It was also larger than its predecessor, which weighed 412.5 grains. In Peking, China the US trade dollar was proclaimed as official trade coin in the country overtaking lighter Mexican money.

In Asia the demand for US Trade Dollar was very strong. Most Trade Dollars ended up in Asia within two years of having been minted. In 1876 mine owners were unloading huge amounts of silver onto the market which caused a great backlash for the US Trade Dollar. Treasury Secretary John Sherman stopped commercial production of the coin in 1878. The rarest of all US Trade Dollars are those dated 1884 and 1885. These coins were made illegally for the collector of the Mint, William Idler.

Japan also made a trade dollar

The Japanese minted the Silver One Yen coin which is also known as the “Dragon Yen”. The coin was not much different from the US Trade Dollar coin. One could see a one yen circulating along with the US Trade Dollar. This coin was also issued for foreign trade, and it weighed at 27.22 grams and was .900 silver the same as the US Trade Dollar.

United Kingdom also made a trade dollar

The Opium War began when china stopped Britain from selling opium to its people. Silver dollars were directly involved in the result of the war. Britannia standing on shore, holding a trident in one hand and balancing a British shield in the other depicts that the British trade dollars mined exclusively for use in Far East. The last British dollar was minted in the year 1935. The coin which has the mark “B” was produced at Bombay and “C” was produced in Calcutta. Bombay was the main facility but most of these silver dollars were used by, and planned for, merchant trades to and with Hong Kong and surrounding ports in China. 1935 trade dollar story is still a mystery; many say that they ceased money as a result of the passage in this year of the Currency rule. 1935-B British Trade Dollar was the last of its kind and then the coin vanished into history.

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Wednesday, October 7, 2009

Why Gold Didn't Go Down Under


Gold is a most useful metal in Jewelery and other products like mobile etc.

AUSTRALIA IS MOSTLY known for koala bears, kangaroos and Foster's beer. The central bank in Sydney rarely figures prominently as a major actor in global financial markets.

Yet, the Reserve Bank of Australia's surprise decision to raise interest rates Tuesday set off a global surge in gold prices and provided new evidence that emerging economies will likely recover from the global credit crisis before developed nations such as the U.S. Australia increased rates 25 basis points to 3.25%, while U.S. rates remain between zero and a quarter percent.

Australia's decision created massive trading in gold options, futures, and stocks as a hedge against U.S. inflationary pressures and weakening U.S. dollar. Similar trading occurred in European and English markets where investors also fear a hangover from coordinated central bank efforts to stabilize the global economy after the credit crisis.

Indeed, Australia's rate hike, coupled with ongoing fears of Israel bombing Iran, may prove to be a milestone in how gold trades in the options market and elsewhere. By all accounts, gold has entered a new trading range that portends higher prices.

"No one knows how far gold prices will increase," a top options market maker said. "Remember what happened to oil last year? It kept powering higher and stocks surged as short sellers were taken out."

In the past, many traders reflexively sold short-term call options or used other trading tactics to profit from gold's inevitable loss of momentum every time it surged higher. Panic peak prices are typically followed by price declines because everyone has spent all of their money chasing gold higher, and they have nothing left to spend. But buyers remain active for gold and related companies even as the price of SPDR Gold Shares(GLD), the primary proxy for gold, was recently unchanged at about $102.

Upside call buying also is active in Newmont Mining (NEM), Barrick Gold (ABX), Yamana Gold (AUY), Gold Fields (GFI) and Harmony Gold Mining (HMY).

Real-world economic concerns, rather than trading tactics, seem to be increasingly weighing upon traders who want to own gold -- not trade it -- so that they can protect themselves against the inflationary effects of the U.S. Federal Reserve printing money to end the credit crisis.

Some options traders say there is now ever-present demand to buy gold as a hedge against macroeconomic and geopolitical concerns. In the past, options were primarily used to take advantage of gold's price swings, rather than as a tool to cost-effectively buy gold.

The persistent demand for gold is firmly reflected in the prices of options on SPDR Gold Shares.

The implied volatility of GLD's call options, which increase in value if GLD's price rises, are incredibly expensive. This reflects demand for bullish calls, and also shows the reluctance of market makers who are forced to sell calls into a powerful rally to maintain an orderly market. In normal markets, the price of out-of-the-money puts tends to exceed call prices. Why? Because investors tend to be more afraid of losing money, rather than missing an opportunity to make money.

That Australia figures so persuasively in this ongoing conversation about how the world recovers from the credit crisis will surprise many people. Australia, however, is a backdoor play on fast-growing Asian markets. Australia is rich in the commodities that Asia needs to propel its growth.

As economic expansion in major countries is expected to be modest due to the legacy of the credit crisis, Glenn Stevens, governor of Australia's central bank, said prospects for his nation's Asian trading partners appear noticeably better.

"Growth in China," Stevens said in a statement announcing the bank's rate hike, "has been very strong, which is having a significant impact on other economies in the region and on commodity markets."

For now, everything that is wrong with the world is reflected in the price of gold. As it seems those problems are not likely to subside anytime soon, traders say it is unlikely gold prices will significantly decline in the near future.
This article taken by online.barrons.com .

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Gold Stocks Consolidate After Gold Hits $1,050 To Record All Time High


After Gold Hits $1050 to Record All Time High Gold Stocks Consolidate.

After weeks of continued support, Tuesday finally saw gold brake through to trade at an all time high. Gold trading has continued to gain momentum overnight in electronic trading as December Comex future continues to make new record highs reaching $1,050. Since hitting the intraday highs in the early hours of this morning, the gold price has eased slightly and has stabilised around the $1,043.

This most recent rally breaks the previous record high of $1,033.20 which was set in March 2008. Investors now wait with baited breath to see if the gold market will find support here or whether prices will slip back as they did in 2008. Since last March, the gold market has fall back sharply each time the one thousand dollar level was breached however the current gold market is showing a more sustained move.

The spiking gold price has largely fed off the persistent decline of the US Dollar. In the current climate the US Dollar seems unable to avoid ‘bad press’ at the moment with the most recent debate causing a further sell off. The weak dollar has dominated commodity markets in recent months with Gold making a new all time high.

Yesterday, speculation over the US Dollar’s position as the global reserve currency stepped up another gear this morning, following an exclusive report by the Independent. According to their sources, Gulf Arab states have been in discussions with Chinese and Russian finance ministers, with a view to creating an alternative pricing currency for oil trading.

This report adds to an emerging theme, with several separate instances where key economic policy makers have sparked query and speculation among commentators and investors alike. Last month World Bank President Robert Zoellick raised caution over the dollar's prospects of maintaining its role as the primary reserve currency, highlighting the emergence of ‘other options’. Similarly the Chinese government has strategically discussed a sometimes conflicted view on its Reserve diversification.

Undoubtedly the US Dollar’s role in the global economic structure is under the microscope, however at such an early stage many feel as though the line between political posturing and actual intent will remain blurred for some time.

A more easily substantiated driver of gold demand has also been highlighted as a key contributor to the rally. Increasingly it seems that investors are becoming more sceptical of central banks and finance ministers when it comes to the inflation outlook.

Many analysts believe that the Federal Reserve in particular may be wrong about inflation. A number of weeks ago the Fed released comments which implied that inflation would not be a threat in the near term. However many analysts and market commentators argue that investors are already using gold as a hedge against an inflationary environment which many expect to follow the inevitable end to quantitative easing.

On Wall Street, North American gold equities have generally experienced consolidation in a mixed session following a particularly strong session on Tuesday. Major international gold producer Randgold Resources (NYSE: GOLD) eased back following yesterday’s strong performance, shares fell $1.00 to trade at $72.16. Canada based Yamana Gold (NYSE: AUY) rose fractionally, gaining a couple of cents. Meanwhile the worlds largest gold producer Barrick Gold was relatively unchanged also.

Ontario based Rubicon Minerals (AMEX: RBY) and New Gold (AMEX:NGD) both added 1%. Agnico Eagle (NYSE: AEM) and IAM Gold (NYSE: IAG) were relatively unchanged, holding on to yesterday’s gains. Mexico focused producer Minefinders (AMEX: MFN) eased slightly to drop just less than 1%. Similarly Eldorado Gold (TSX: ELD; AMEX:EGO) eased just three cents per share.

Keegan Resources Inc (AMEX: KGN) has show consistency over the past few session, rising again today, adding 30c to rise almost 7% on Wednesday morning. South American focused exploration play Exeter Resource Corp (AMEX: XRA) was also among the stronger gold equities, rising 3%. Nevsun Resources (AMEX: NSU) gained 2% to trade at $2.55.

Multi-listed, Middle East focused Centamin Egypt (AIM: CEY, ASX: CNT, TSX: CEE) rose over 2%.

In Toronto Hawthorne Gold (TSX: HGC) rose 1%, Timmins Gold Corp (TSX-V: TMM) was among the strongest junior gold stock on Toronto’s venture exchange, rising more than 5%, and fellow TSX Venture stock Victoria Gold Corp (TSX-V: VIT) rose 4%.

Low-cost emerging gold producer Gold Resource Corp (OTCBB: GORO) advanced 2% in the OTC market.

This article taken by proactiveinvestors.com.

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Pakistan gold prices hit record high


Now a day in Pakistan once again Gold Prices Hit Record High.

Gold prices hit record peaks in Pakistan as the yellow metal leaped to another historic high of Pak Rs 31,900 per tola on Tuesday.

One Pakistan Tola, the local benchmark for gold, is equal to 11.6 grams.


Analysts said this drastic increase in the rate is said to have been caused by the falling dollar and increasing oil prices in the international market.

Pakistan’s gold market opened at Pak Rs 31,250 per tola and jumped by Pak Rs 350 to Pak Rs 31,600 and by the time the bullion market closed the yellow metal had risen to Pak Rs 31,900, registering an increase of Pak Rs 650 in a day.

In the international market, gold hit $1,040 per ounce after opening at $1,020. However, gold is still Pak Rs 500 cheaper in Pakistan as compared to Dubai, the main hub for bullion supplies in the local market.

Gold hits peak in London with buying fuelled by dollar weakness after a report, later denied, that Gulf Arab states were considering abandoning dollar for oil trade.

Both spot gold prices and US gold futures have benefited from a convergence of factors including the dollar’s decline, technical buying momentum and worries about potential inflation as central banks struggle to emerge from unprecedented fiscal stimulus measures.
This article taken by commodityonline.com

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Saturday, October 3, 2009

Top 5 Places to Invest Your Money


You work hard for your money and you do not want to lose it due to a recession. Here are the top 5 places to invest your money in a recession.

- Now is the time to invest in buying homes since home prices are down and it is a buyer's market. This is an excellent opportunity to invest your money in the housing market. The time line always changes where gold is high or low, houses are high or low or interest rates are high or low. Things will change again where houses are more expensive and it will be a seller's market. If you invest your money now in houses, apartments, condo's, etc., you will be sure to make a fantastic profit in your money.

- Another one of the top 5 places to invest your money in a recession is to safely put your money into a CD or a certificate of deposit. With a CD you will put your money in the bank for a certain amount of time at a set interest rate. This means that for the amount of time you agree to put your money in the CD, your interest rate will not go lower or higher. This is a good thing so the interest rate cannot go lower on your hard earned money. Before putting your money into a CD for a certain amount of time, make sure the bank has FDIC insurance. If the bank has FDIC insurance your money is safe if the bank were to close in the recession.

With FDIC insurance, money and interest up to $250,000 is insured by the government. To find out if your bank is FDIC insured, check the FDIC website for peace of mind. Before putting your money into a CD make sure you are going to keep your deposit in the CD for the amount of time you agree to. If you end up needing the money early, you will be penalized. A good way to invest money into CD's is to invest so that every three months the CD is due. When investing every three months you will have money at your fingertips and in your pockets.

- These days you can safely make money by putting your money into a checking account. You can find a checking account that may pay up to 6 percent on your money. You can check online at Bankrate.com for excellent banks to open a checking account with the high percentage rates. If you use an ATM card, read the small print and check the ATM fee so you are not wasting all of your interest money you make by paying fees. Also, make sure you check how much of a balance you need to have in the checking account and how often you need to use your debit card to be able to participate according to the bank's rules.

- A savings account is one of the top 5 places to invest your money in a recession. You can earn a safe low percentage rate while keeping your money in a savings account. Make sure you read the small print on the rules of the bank you are thinking of putting your money in so you get the best deal.

- The last of the top 5 places to invest your money in a recession is to invest your money into stocks, but it is wise to invest over a long- term versus a short-term. Investing in stocks is riskier; therefore you will make more money than if you had invested your money in bonds. If you can leave your money invested in stocks for a long period, you can make and lose money but in the end you should come out well ahead.

Kwame Kuadey runs a gift card exchange website and a popular gift card blog. He has written many articles on topics like Gift Card Ideas, Bankruptcy and Gift Cards, and how to check gift card balance

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Tips for New Market Investor


Find the right stock which to invest into can sometimes prove very difficult. Sometimes finding good investment advice can prove even more difficult. Investors will continue to invest no matter how difficult the task.

Investing is no longer only for the elite and powerful. Numerous people can invest into the stock market and you do not have to hold a degree in finance in order to perform this task. The reason people will continue to invest is due to numerous reasons. Some love the thrill of the investment; some have a dream of hitting the "big bucks" where some genuinely depend on the stock market for their income.

Buying stock is easy. Virtually anyone can perform this task. The hard part of dealing with stocks is knowing when to sell the stock. Knowing when to sell your stock is always easy. Sometimes investors are ruled by their emotions and you must take your emotions out of the objective when learning when to sell your stock.

You will never be able to sell your stock at every peak time when you are investing and you will never be able to always buy stock that falls dramatically. When you purchase stock, you should purchase stock with every intention of selling it for a profit in the future. You must place careful planning into what we call an "exit strategy". This will enable you to research what truly motivates you in making investments in the first place.

Great investors always know when to cut their losses while allowing their profits to run. When dealing with the stock market, you should always have an exit strategy. In a perfect world, you will ride the winners to the top while minimizing the damage.

You must keep in mind that no system is ever fool proof. In dealing with volatile stock, you can get stopped out of a price far worse than what you had hoped for. Once a price is triggered, the price will become market price sale and this is a sale at what the market will bear. Typically, this is not a problem but with volatility, this can make your price impossible to fill.

US stocks do not accept trailing stop orders. If you are dealing with thinly traded stocks, the US does not accept "hard" stops. Outside of the US exchange rarely, accept stop orders at all. Keep in mind that trailing stops are constantly on the move and based on the price of a stock. Normal hard stops are placed on a specific price while remaining regardless of what the stock actually does.

Trailing stops change according to how the stock performs. The higher the stock climbs, the higher the trailing stop is placed. If the exchange will not accept this order then you will have a few alternatives. Your broker can place a mental stop on the stock or you can place a mental stop on the stock. You must have a trailing stop strategy and remember there is no guarantee of not losing money with the stock market.

Before jumping into the stock market, ensure that you seek the advice from seasoned professionals who have been performing within the stock market for awhile. Most stock market veterans are more than happy to share their advice as well as tips to beginners of the stock market.

Mike Downs, former automotive quality manager and operations manager turned entrepreneur, assists the average individual understand trading and market dynamics to help achieve profits in today's evolving market. In his latest project, "Trading The Recession", he shares how to use technical indicators to gain insight into the validity of a trend. This can be found at http://www.tradetherecession.com and you can follow his insights athttp://www.mikedownsblog.com.

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