Two words on the strengthening yen. During the nineties, the Japanese economy came to Uncle Kirdyk. Together with a He brought a fall in house prices by 90%, falling to 60-80% of funds and hypochondria in the minds of all dzhepov. The Japanese government, what would in any way then confront the evil uncle and not to drive the country into srednivekove start handing out unlimited loans with almost zero rate of 0.25%. Very Gut! FOR THESE TO LOANS AND KERRY went to play! What is happening – everything goes to hell, and so Japanese money no place for a profitable investment. Is massive demand for yen to repay loans.
Users ‘second wave’ sees the strengthening of the yen and no longer want to borrow in the currency is going up rapidly. Consequently, the yen is not added and this lady becomes scarce. That is why observed svarachivanie curry. That is why the yen is growing in sync with the widespread drop in funds. That’s the whole secret.
Such a mutual responsibility. You ask – but why buck the rise? And because such a direction of motion asked banking establishment. Above I spoke about the 2 options. Likely to choose the second option. Furthermore dubbed the phenomena (the adoption support program and the war in the Caucasus) arose CRISIS OF CONFIDENCE (not to be confused with a liquidity crisis). The essence of this. Now almost all the banks, hedge funds, etc. any ‘cash gaps’ due to falling funds and financial institutions DO NOT WANT to lend to each other. See. Bucks in the U.S. economy tens of times smaller than those nominated in the most bucks toilet rolls. When falling funds (and others like it derivatives), people go into the cache. They want to throw a paper cash grinbeki. And they absolutely do not have enough. Those who hold the money in the cache unwilling to lend to anybody, therefore, there is a shortage of liquidity. Now, if in short – it looks so. Now a little about what to expect. It all depends on the will of mega bankers. If, indeed, they want to revalue the green, then Jews should look to 1.31 + / -, and, in the case of such a scenario, further 1.18/1.20. A pound just begs the target zone of 1.7150 + / – (the 1.57). Euro-yen minimum goal range already working off a breakthrough close – it’s 141. Next – airless space. Here everything will depend on the dollar-yen (as voiced by the above reasons, what does all of the demand will be higher). According to my benchmarks bearish sentiment on the course will prevail.
Shopping in the rising and Sales in lowering trend in the majority of traders do not coincide with the rhythm of the market. Please note that we do not consider cases in which trade is created at the time of birth trend. Now we are talking about how they should behave within the trend. And for this situation are the best ways to enter the market based on the use of trend lines with the support or resistance, defined by the last completed movements. So, here are two the best point of allowing to enter the trade with a high probability of success at a relatively small proportion of risk in the market trend. In each of them assumed the use of limit orders, and only occasionally – the market if It has a good reason. Point 1.
Buying from the line of the uptrend in the third contact. An uptrend is defined as prices rise. We have an opportunity to draw a line with a slope up. She held on two consecutive rising grounds price bars with respect to the absolute bottom of at least two previous and two subsequent bars. The best time to enter the market occurs when third touch price trend line. At this point, of course, need to buy – and buy only (Fig. 1). Using this technique, you should inquire in advance of price levels, which may be different – depending on the addition, at what point will touch the price with the trend.
The Dow Theory was developed in the early twentieth century to assess the overall state of the economy, but in the future speculators took her into service for the market analysis. Dow Theory is composed of 6 ideas. Index takes into account everything. All information which is available to market participants immediately accounted for in share price. The market constantly, there are three trends. The first trend – global. It lasts for years. The second trend – the movement against the main trend, ie it correction, which may last several months.
The third kind of trend – a slight movement of the second trend. In this case, their direction may coincide with major market movement, and whether to be against him. Home trend has three phases. The first phase – a period of decline in the economy. The bulk of investors’ negative attitude to investment. Recommendations of brokers and experts – to sell. Stocks and other assets are very cheap.
During this period, most informed and far-sighted players are anxious to buy assets. The second phase is characterized by improved overall economy. Come into play, technical analysts, who noted a clear reversal trend. At the third phase has a peak in corporate profits, is the rapid growth of the economy. The general public begins to aggressively buy all types of assets. However, investors who bought in the first phase are gradually close their positions. It is worth adding that the market tended to remain investors buying on the first and second phases. the rest of the audience does not make big capital ilivovse loses a significant portion of their investment. Indices must confirm each other. This means that if the indices move in one direction, but in this case the market is a clear trend. Trend remains unchanged, there is no clear signal changing trends. Until all stock market indices do not show apparent reverse trend is unchanged. Volume must confirm the trend. Volumes should grow in the direction of the prevailing trend. Recall the third idea of the theory of the three phases of the trend. The volume will increase when the game will include all new members. Despite more than a century, Dow Theory does not lose its relevance in the present. As an example, look at the timetable for any action a large company and before you invest your money is to answer the question: what phase is now on the market?