FX Trader Magazine can be read freely online. Each monthly issue of FX Trader Magazine contains articles on fundamental as well as technical analysis by professional traders. July issue has been released and has been named the Brexit Special.
The first article is titled, A Financial And Political Turning Point. Brexit was a historical event that has been compared by some analysts to the fall of Soviet Union. This article considers the short term and the long term impact of Brexit on UK as well as EU. The next article by Ellen Brown on Brexit and the Derivative Meltdown warns of a $500 trillion derivatives meltdown. Derivatives were introduced in 1990s as financial innovation became popular. Despite passage of 2 decades, derivatives and their systemic risk has still be fully understood. This became highly obvious during the financial crisis of 2008 when derivatives were responsible for most of the volatility in the market. In 2008, derivatives bought down many institutions that had been considered to be rocks of stability. The same danger now lurks with Brexit. Brexit may unleash forces in the markets that can bring down this massive derivative meltdown. This article argues that a $500 trillion derivatives time bomb poised on top of a $100 trillion mountain of debt is not a stable situation.
How To Trade A Currency Fund?
As a trader you should read articles both on fundamental as well as technical analysis. In the next article Keith Raphael says that the mid year dollar view remains bullish which means EURUSD, GBPUSD, NZDUSD, AUDUSD will continue to feel the downward pressure. The next article is on How to Trade A Currency Fund by Jarratt Davis. Jarratt Davis has been ranked as the #2 professional trader in the world by Barclay Currency Traders Index. Jarratt Davis is a self taught trader who taught himself how to trade using online resources. He is one of the few self taught traders who reached the institutional level. He has been trading on behalf of companies and funds in Hong Kong and London. Today he manages his own currency fund. You should read his ebook if you want to learn how a self taught trader manage to reach such a highly level of expertise.
Why You Need A High Reward To Risk Trading System?
The next article is a reward to risk ratio inherently better than another has been written by Dr. Daniel Fernandez PhD.
In this article the author advises new traders to design their trading system such that it’s reward to risk is very high. He argues that trading systems with high reward to risk are much easier to trade and require a low winrate to become profitable. This is precisely what we have been advocating in our posts on this blog. Always look for trades that try to capture the big moves in the market with a low risk. Did you read out post on this trade that made 1800 pips in 4 days? You should also read the ebook on Building Robust FX Trading Systems by Casper Marney. Casper Marney manages assets of some of the world’s leading investment banks and financial institutions. Casper Marney started his career as a spot currency trader and technical analysts with HSBC in London.
Getting The Big Picture In The Market
The next article is on Getting The Big Picture Using The Stages Of Price Movement by Etienne Crete. Etienne starts his article with the saying that the best trades are always in alignment with the big picture. This is precisely what we also teach. First determine the big picture. Once you have the big picture then drill down to your timeframe and find the entry in the direction of the big picture. In the next article Michael Stapleton argues that the oil supply glut is over and $30 oil per barrel is no more possible. In the next article Chris Svorcik argues that the markets got Brexit terribly wrong. Markets were so confident on a Brexit No vote that GBPUSD reached 1.50. British bookmakers were also heavily in favor of a Brexit No vote. The important question perplexing the analysts is how did the markets got it so wrong. This is an important lesson to you as a trader. Markets can get things wrong. Keep this in mind. When it happens, you will see a massive correction. This is precisely what happened. When it became crystal clear to everyone that the Brexit Yes vote has won. This caused GBPUSD to fall around 2000 pips in just a few hours. We did not trade this event as we knew that the market will be shocked in the end. We were afraid of a big gap appearing when the referendum results become clear to the market. Gap could have been up or down. Fortunately there was no gap this time. But the market fell down so fast after the referendum results became clear.
You should read his FX Trader Magazine every month. It can be read freely online. So you don’t have to pay anything. But you will learn a lot from the insightful articles written by the professionals on this magazine. The ebooks that have been mentioned in this post do have a price. Do you know how to do the candlestick math? Watch this webinar recording that shows how you can do candlestick maths and how it can help improve your trading.