Daily Forex News

January 27th, 7:59 pm by Sam

(eToro Blog) Wall Street declined today on the lower than expected print of the fourth quarter GDP. The U.S. economy grew at 2.8% in Q4 2011, lower than the analyst expectations of growth of 3.0%. Consumer spending rose 2%, up from 1.7% in the previous quarter. However government spending fell with a 12.5% drop in defense. Exports grew by 4.7% and imports rose 4.4%. The rise in imports negated the effect of rising exports on the GDP. In a separate report the University of Michigan consumer report showed that consumer confidence rose to 75.0 in January, the fifth straight month of gains. The Dow is down 73 points… [Read More...]

January 27th, 7:03 pm by Barbara Zigah

(eToro Blog) The U.S. Bureau of Economic Analysis on behalf of the U.S. Commerce Department reported that the U.S. economy grew 2.8% in the last quarter of 2011, an improvement over the previous quarter’s lackluster growth of 1.8% but falling short of the consensus estimate of 3.0% growth. According to the reading, which was the first of several, it can be primarily attributed to increased consumer spending and higher production from U.S. businesses. Consumer spending rose to 2%, up from 1.7% in the third quarter, but like the GDP data, fell short of analysts’ expectations of 2.4% growth.

Markets as much as expected that the results would come… [Read More...]

January 27th, 5:00 am by Benzinga

On Wednesday, the Federal Reserve did something historic: they released guidance.

In the Fed’s January statement, the FOMC kept rates at 0.25%—a move that was widely anticipated. In August of 2011, the Fed announced that it would keep rates near zero until mid 2013. The Fed revised that on Wednesday, pushing the date out until 2014.

Yet, what may have been more interesting to investors was the Fed’s guidance for future policy.

The Fed revised its outlook for future US growth lower, dropping its expectations for GDP growth to 2.8-3.2%. The Fed had seen growth of 3-3.5% previously.

The Fed forecast the inflation rate at 1.5-2% for 2012.

For employment, the Fed believed… [Read More...]

January 26th, 9:48 pm by Sam

(eToro Blog) OpenBook trader waleed0987 has earned praise from his copiers this week for his profitable strategies that use low risk. The trader has traded both long and short EURUSD positions this week with gains as high as 11%. The pair traded in a range between 1.2950 and 1.3040 earlier in the week creating good opportunities for scalpers such as waleed0987. OpenBook trader waleed0987 also took advantage of the swings on the AUDUSD booking gains as high as 7%. The trader is an Aussie bear primarily and has built up some long term positions on the pair. Looking at his open exposure, the trader expects AUDUSD to… [Read More...]

January 26th, 5:00 am by Benzinga

Over the last two weeks, Greece has been deliberating with private investors to develop a bailout package that may save the country and its people. To the dismay of many investors, Greece has yet to finalize the deal despite claiming that it would do so quickly. Investors should not be surprised, but should mobilize themselves to be ready for anything.

Greece has had a rocky history in its fundraising efforts. In 2011, when a bailout package was agreed upon by the country as well as certain allies, Greek Prime Minister George Papandreou decided to not pass the bailout package himself. Rather, he decided to hold a referendum. Attempting to… [Read More...]

January 25th, 10:01 pm by Sam

(eToro Blog) Ahead of the Fed Rate decision, OpenBook trader pyruss has closed several positions on the EURUSD. The trader has been scalping during the European session and looks for opportunity to sell the EURUSD as it approaches 1.3000 and buy the EURUSD when it approaches 1.2950. This technical trader believes that the EURUSD is giving bearish signals in the short term. He keeps an eye on fundamental news as well as European stock markets when making trading decisions on the EURUSD. This trader who has 380 copiers on OpenBook is heading into the Fed rate decision with several short EURUSD trades with entry price from 1.2700… [Read More...]

January 25th, 5:00 am by Benzinga

They will call him a socialist. Some of them will call him a communist. The Republicans will be sharpening their teeth and loading up the weapons that they fight so hard for the right to carry, because Warren Buffett has once again publically criticized tax rates offered to millionaires and billionaires.

Of course, Buffett is not a socialist (and he certainly is not a communist – any such claims are ridiculous), he is simply a successful, extremely rich man who has retained his conscience.

When Buffett first made public his opinion that people who earn as much money as himself are not paying nearly enough in taxes, one of the… [Read More...]

January 24th, 9:42 pm by Sam

(eToro Blog) Ahead of the Federal Reserve interest rate decision which will be announced tomorrow, traders on OpenBook are primarily short on the EUR/USD with average limits at 1.2800 and stops at 1.3050. Guru pawelskrzypek, who allocates 100% of his portfolio to EUR/USD and is up 50.6% in the last three months, is expecting the EUR/USD to drop further. The trader has positioned himself with several shorts, with entry prices from 1.2900 and 1.3000. Looking at his TP, the trader is anticipating that the EUR/USD could drop as low as 1.2500. This trader is a big Euro bear, and so are 628 OpenBook traders who are… [Read More...]

January 24th, 5:00 am by Benzinga

On Friday, the Canadian consumer price index printed at less than expected, coming in at negative 0.6% against an anticipated drop of 0.1%.

The prior month’s CPI reading was an increase of 0.1%.

Canada’s drop in inflation echoes trends seen around the globe. Although headline inflation in the US continues to increase at a modest pace, core inflation has held tight for some time and has decreased from relative highs seen in the summer.

Earlier in the week, CPI figures released in the Eurozone indicated that inflation had receded, although it remained sharply above 2%. Likewise, inflation figures in China had recently shown a declining trend.

This leads to an increasing amount… [Read More...]

January 23rd, 8:00 pm by Sam

(eToro Blog) Wall Street had earlier rallied higher on investor hopes that Greece would reach an agreement with private bond holders that would prevent the country from defaulting on the debt which comes due in March. Despite some initial pull back for the Euro-Dollar as the trading day commenced, the EUR/USD pair has broken through resistance at 1.3000 and continues to claw higher, reaching an intraday high of 1.3047. It has most recently traded at 1.3039, and sentiment on the OpenBook is predominantly bullish. Guru pyruss commented (on his wall) that he’d like to measure the bull’s mettle, though he wonders too if it’s not a… [Read More...]