Another Day of Weak U.S. Statistics

Euro tried to regain some of its strong positions against U.S. dollar today after some new weak economical statistics regarding personal income and spendings were released to the financial market traders. But after construction spending and very optimistic PMI reports were released dollar started to press on euro and EUR/USD returned to its daily open value.

The most notable are the personal income and personal consumption expenditures (PCE) data reported by U.S. Bureau of Economic Analysis - in October they both rose by 0.2% while markets were expecting 0.4% growth in personal income (same as in September) and 0.2% for PCE.

Chicago PMI report (Business Barometer) showed an increase of this index above the average expectations by the analysts. It was at 52.9 in November, while 50.5 was expected it was 49.7 in October.

Total housing construction spending in October 2007 decreased by 0.8% (seasonally adjusted) compared to September's value, that's below pessimistic expectations of 0.3% drop. Real estate sector of the U.S. economy is heading into a deep crisis and new data reports prove that easily.

FXcast Offers Corporate Accounts

FXcast Forex broker announced today that it is now starting to accept corporate Forex trading accounts, providing full array of required paperwork. A legal company trading account can allow some successful Forex traders to create managed pool accounts based on FXcast brokerage. So, if you think you are good at Forex trading and view yourself as an entrepreneur you can try opening your own Forex trading company. Another good possibility which has now became possible is for exporting/importing companies to hedge their Forex risks using FXcast trading account, but that's for really serious companies of course.

GDP Data Released in U.S. Today

EUR/USD confirmed its downtrend intentions today falling from yesterday's retracement to 1.4740 level. One of the reason for a stronger dollar can be seen in expectations for the increased real GDP growth in third quarter of 2007.

U.S. Bureau of Economic Analysis released its preliminary report on real Q3 Gross Domestic Product. The growth was higher than the previous advance value for third quarter - 4.9% against 3.8% and the same as analysts expected (that were quite optimistic with this indicator). As it was stated by Bureau, the growth was mainly caused by increased exports (thanks to a cheap dollar, I suppose).

Initial jobless claims report for the last week was opposite to GDP. In the week ending Nov. 24, the advance figure for seasonally adjusted initial jobless claims was 352k. That is 23k above the previous revised (from 330k) value of 329k and expected 330k.

New home sales disappointed dollar and U.S. stocks bulls too. Annualized and seasonally adjusted October number was just 728,000 whereas at least 750,000 were expected. And September value was also revised down from 770,000 to 716,000.

EUR/USD Retraces After Bad Fundamentals

EUR/USD seemed almost completely independent of the important fundamental indicators which were signaling the worsening economical situation in USA. EUR/USD was falling by more than 100 pips during the day, but then it returned to a more moderate loss - 50 pips.

Manufacturers' durable goods orders in October 2007 decreased by $0.9 billion which is 0.4% the previous month value. The consensus forecast for this value was at 0%, meaning that the orders shouldn't been changing at all.

National Association of Realtors announced its October existing home sales number - 4.97 million annualized, well below both 5.03 million in September and 5.00 expected for October.

Crude oil inventories reported by the U.S. Department of Energy from November 16 to November 23 declined by 0.4 million barrels, showing another week without an increase, which is so needed after some major inventories downfall several weeks ago.

Consumer Confidence Lowest Since 2005

In November Consumer Confidence Index, surveyed by the Conference Board Inc., fell by 8.3 points to its lowest value since 2005. It decreased from 95.6 in October to 87.3 this month. Consumer confidence is the important measure of the consumers' readiness to spend money and take credits. When this index falls so sharply, it usually means that U.S. economy is experiencing a slowdown or even a recession.

Contrary to the declining confidence index United States dollar strengthened its positions against many other currencies on the Forex market. EUR/USD fell by almost 50 points today. Signs of U.S. economy weakening began to worry OPEC and they promised to increase oil exporting volume, which caused oil prices to slide down. Decreasing oil prices in their turn caused a dollar uptrend.

Free Forex Webinar

Today I've "attended" a Forex trading webinar by http://www.fxinstructor.com. FXOpen informed me via the MetaTrader 4 mail message that FX Instructor will be holding a free technical analysis on-line lessons on November 26th. The webinar lasted through Asian, European and New York sessions with two hour and a half breaks. The communication via hotCam software went smooth and interactive. There was a chat window, where everyone could say or ask everything they wanted; there was a charting window, where instructor showed the chart and indicators, and the instructor spoke via microphone - the audio was of a good quality, but compact enough to transfer via the web rapidly.

To the contents part, it was informative. That was a large chunk of various information. Two analysts from FX Instructor shared their vision of the majority of popular Forex currencies using a technical analysis. All participants could ask their questions and share comments. All questions were answered thoroughly by the leading analysts. So, to outline the advantages of this webinar:

• A lot of information
• Professional; instructors know what they say
• Convenient form
• Multiple timeframes, currency pairs, trading timezones and technical indicators are covered
• Interaction between students and instructors

Of course, it had some minor disadvantages:

• I had to reconnect manually after losing my connection 2 times
• Instructors speak fast, so a good command of English is a must

That's it, not many disadvantages I could think about. Overall, I think this service is worth its monthly fee, so, maybe I will subscribe soon. I recommend you to look into it as they often hold free lessons, which are just fun and interesting to look and listen to.

marketindex by ABN AMRO

Some traders don't like trading with brokers registered in some offshore zone with a little or no regulation at all. For these customers exist such Forex brokers as marketindex. ABN AMRO marketindex is the broker which offers financial market trading services as the division of one of the largest banks in Europe. marketindex offers Forex, CFD, commodities and indexes trading. They offer their own custom Java based platform (you don't need to download anything) with some interesting functions, like box trading. Actually, I would prefer MetaTrader 4 or even Marketiva's Streamster to this platform, and the trading conditions are a bit below the competition level, but this broker is a good choice for traders which don't want to risk losing their funds fraud or broker's bankruptcy.

Forex Technical Analysis for 11/26-11/30 Week

EUR/USD trend: hold.
GBP/USD trend: sell.
USD/JPY trend: hold.
EUR/JPY trend: sell.

Floor Pivot Points:
Pair	3rd Sup	2nd Sup	1st Sup	Pivot	1st Res	2nd Res	3rd Res
EUR/USD	1.4303	1.4462	1.4649	1.4808	1.4995	1.5154	1.5341
GBP/USD	2.0151	2.0301	2.0463	2.0613	2.0775	2.0925	2.1087
USD/JPY	103.35	105.45	106.88	108.98	110.41	112.51	113.94
EUR/JPY	155.06	157.26	158.99	161.19	162.92	165.12	166.85

Woodie's Pivot Points:
Pair	2nd Sup	1st Sup	Pivot	1st Res	2nd Res
EUR/USD	1.4469	1.4663	1.4815	1.5009	1.5161
GBP/USD	2.0301	2.0463	2.0613	2.0775	2.0925
USD/JPY	105.45	106.88	108.98	110.41	112.51
EUR/JPY	157.26	158.99	161.19	162.92	165.12

Camarilla Pivot Points:
Pair	4th Sup	3rd Sup	2nd Sup	1st Sup	1st Res	2nd Res	3rd Res	4th Res
EUR/USD	1.4646	1.4741	1.4773	1.4804	1.4868	1.4899	1.4931	1.5026
GBP/USD	2.0453	2.0539	2.0568	2.0596	2.0654	2.0682	2.0711	2.0797
USD/JPY	106.37	107.34	107.66	107.99	108.63	108.96	109.28	110.25
EUR/JPY	158.56	159.64	160.00	160.36	161.08	161.44	161.80	162.88

Tom DeMark's Pivot Points:
Pair:	EUR/USD	GBP/USD	USD/JPY	EUR/JPY
Resistance:	1.4794	2.0850	111.46	164.02
Support:	1.4448	2.0538	107.93	160.09

Fibonacci Retracement Levels:
Pairs	EUR/USD	GBP/USD	USD/JPY	EUR/JPY
100.0%	1.4967	2.0763	111.08	163.39
61.8%	1.4835	2.0644	109.73	161.89
50.0%	1.4794	2.0607	109.32	161.43
38.2%	1.4753	2.0570	108.90	160.96
23.6%	1.4703	2.0525	108.38	160.39
0.0%	1.4621	2.0451	107.55	159.46

ActiveTrades - Multipurpose Forex Broker

ActiveTrades is my new addition to the Forex brokers list. It is quite an old on-line British broker, which allows not only Forex trading (via MT4 platform), but also stocks CFD trading and the access to the world exchanges: CME, CBOT, NYMEX, COMEX, LIFFE, EUREX, IDEM, NYSE and NASDAQ via futures trading. ActiveTrades also supports many different trading platforms: MetaTrader 4, J Trader, Ninja Trader, RAN Order, Strategy Runner and X Trader. Forex accounts can start with 250 euro, with the leverage reaching 1:400 level.

Learning Flawless Execution of a Trading System

A new trader's psychology related e-book for you to read:

Learning Flawless Execution of a Trading System by Mark Douglas

It's more like an article - just 4 pages long, but it contains a useful information for all Forex traders that have problems in applying a trading strategy. Sometimes, it seems that you know better than your strategy and you correct its actions. Mark describes why such approach is completely wrong and tells us how to avoid it. If you constantly find yourself changing a Forex strategy after it lost 2 positions, you will probably learn some interesting facts from this book.

Pessimistic Indicators from U.S.

U.S. dollar looks unsure whether to fall or to rise on the Forex market after some important macroeconomic indicators were released today. One of the most important data came out from the University of Michigan and Reuters - Michigan Sentiments Index, which represents consumer confidence. Consumer confidence is important, because it will determine future consumer spendings that in their turn fuel the U.S. economy growth.

Michigan Sentiments Index in November was 76.1; it fell by 4.8 points compared to its October value of 80.9. But according to over-pessimistic expectations (that were at 75.0), Michigan index did quite well this month. Of course, objectively it didn't.

Initial jobless claims for the previous week were released today by the U.S. Department of Labor. They fell right into the market forecast value of 330k, lower than last week's 341k (revised from 339k).

Leading market indicators are considered to be weak in their influence on markets behavior, but nevertheless their value for the October reflects current U.S. economical situation - decrease by 0.5%, below 0.3% expected drop and, of course, worse than 0.3% growth in September.

And with the U.S. commercial crude oil inventories another falling week, oil can be expected to see new record highs in the next days. Crude oil inventories decreased by 1.1 million barrels last week, following the 2.8 growth on previous week. High oil prices may hit dollar on Forex, pushing to the new bottoms.

Mixed Housing Data and FOMC Minutes

EUR/USD is hitting its all-time record high level beyond 1.4800 after the pessimistic analysts' forecasts on housing data appeared to be almost completely true today. Housing Starts for the October grew to a seasonally adjusted annual rate of 1.229 million, compared to 1.193 million in September and 1.175 million expected for this month. Meanwhile Building Permits dropped significantly - October seasonally adjusted annual rate appeared 1.178 million, compared to 1.261 million in September and 1.200 million expected by the market for this month. Significant dropdown in new building permits will eventually lower the housing starts numbers in future, thus the all-negative market reaction to this housing report.

Federal Open Market Committee released the minutes for their October 30/31 meeting today. As it was generally expected by the traders, the concerns of FOMC are slowly but surely moving from inflation to a possible economical slowdown on the background of the housing crisis, the subprime lending crisis and unemployment destabilization in U.S. These were also the first minutes to include Federal Reserve Governors and Reserve Bank Presidents projections of the future economy development. Actually, those projections don't look very informative to me (with a high possible forecast error and all the numbers to close to the current), but it is a good sign that FOMC will share its views regularly and formally, without traders having to guess "what did they mean by that node"-style. Here is the introduction of the projections from the minutes:

The Committee then resumed its discussion of an enhanced role for the economic projections that are made periodically by the members of the Board of Governors and the Reserve Bank presidents. At this meeting, participants reached a consensus on increasing the frequency and expanding the content of the projections that in the past have been released to the public in summary form twice a year. They agreed to publish with the minutes a summary of participants’ economic projections made for this meeting and to release a press statement describing the plan for the future. The release of more frequent forecasts covering longer time spans and accompanied by explanations of those forecasts was seen as providing the public with more context for understanding the Committee’s monetary policy decisions.

I hope that FOMC will continue to improve its information sharing services and these projections will start to offer a more clear picture of the market to the traders soon.

Scalping Forex Strategy Article

Now you can read a new Forex article on my site - Scalping The Forex Market For Profits Every Day (by Dean Sauders). As you can guess from its title it is about scalping. This article offers an interesting scalping strategy based on the big amount of Weighted Moving Average. Basically, it is a support and resistance system traded on M1 charts with 24 different levels. Scalping this way gives trader an opportunity to enter multiple trades with low stop-loss. I recommend it to active traders that have access to low spread Forex brokers.

Forex Trader's Cheat Sheet

I've added a new Forex e-book to my site - The Forex Trader's Cheat Sheet. It's not just a book, but a real cheat sheet which can be used every time you consider opening a new position on Forex market. It has several pages of explanations on how to apply its statistical data and a printable version of cheat sheet for 5 currency pairs: GBP/USD, GBP/JPY, EUR/USD, USD/CHF and USD/JPY. As the authors say - it doesn't tell you HOW to trade, it tells you WHEN to do it. But it also has recommendations on position target sizing. Forex Trader's Cheat Sheet is based on the statistical data for H4 timeframe - you can consult it to determine if the trend which you are seeing now is going to last or is it at its end.

I've checked the performance of this cheat sheet combined with a simple moving averages cross system and it was quite good. I used GBP/USD on H4 timeframe on the last two months period. Near 80% of all generated trades were profitable with an average profit/loss rate of more than 2.5. Use it wisely :-).

Forex Technical Analysis for 11/19-11/23 Week

EUR/USD trend: hold.
GBP/USD trend: sell.
USD/JPY trend: sell.
EUR/JPY trend: sell.

Floor Pivot Points:
Pair	3rd Sup	2nd Sup	1st Sup	Pivot	1st Res	2nd Res	3rd Res
EUR/USD	1.4304	1.4412	1.4536	1.4644	1.4768	1.4876	1.5000
GBP/USD	1.9793	2.0073	2.0309	2.0589	2.0825	2.1105	2.1341
USD/JPY	106.89	108.01	109.53	110.65	112.17	113.29	114.81
EUR/JPY	153.98	156.33	159.60	161.95	165.22	167.57	170.84

Woodie's Pivot Points:
Pair	2nd Sup	1st Sup	Pivot	1st Res	2nd Res
EUR/USD	1.4416	1.4545	1.4648	1.4777	1.4880
GBP/USD	2.0073	2.0309	2.0589	2.0825	2.1105
USD/JPY	108.01	109.53	110.65	112.17	113.29
EUR/JPY	156.33	159.60	161.95	165.22	167.57

Camarilla Pivot Points:
Pair	4th Sup	3rd Sup	2nd Sup	1st Sup	1st Res	2nd Res	3rd Res	4th Res
EUR/USD	1.4533	1.4597	1.4618	1.4640	1.4682	1.4704	1.4725	1.4789
GBP/USD	2.0260	2.0402	2.0449	2.0497	2.0591	2.0639	2.0686	2.0828
USD/JPY	109.61	110.33	110.58	110.82	111.30	111.54	111.79	112.51
EUR/JPY	159.79	161.33	161.85	162.36	163.40	163.91	164.43	165.97

Tom DeMark's Pivot Points:
Pair:	EUR/USD	GBP/USD	USD/JPY	EUR/JPY
Resistance:	1.4706	2.0965	111.41	166.40
Support:	1.4474	2.0449	108.77	160.78

Fibonacci Retracement Levels:
Pairs	EUR/USD	GBP/USD	USD/JPY	EUR/JPY
100.0%	1.4751	2.0870	111.76	164.29
61.8%	1.4662	2.0673	110.75	162.14
50.0%	1.4635	2.0612	110.44	161.48
38.2%	1.4608	2.0551	110.13	160.82
23.6%	1.4574	2.0476	109.74	160.00
0.0%	1.4519	2.0354	109.12	158.67

Dollar Suffers From Lower Industrial Production

EUR/USD stopped its fall today and jumped back up to 1.4670 levels on Forex after today's Federal Reserve release on industrial production. In this October industrial production fell by 0.5% after 0.2% growth in September and median expectation at 0.1% for this month. That means that FOMC will probably need to adjust U.S. interest rates once again to stimulate economy growth.

With the decrease of industrial production, economy of the Unites States showed a decrease in industrial capacity utilization (which, of course, could be a cause for production drop). It fell from September's 82.2% to 81.7%, while an insignificant difference was expected (82.0%).

While Henry Paulson of U.S. Treasury spoke that Government will conduct a "strong dollar" policy. Its hardly can be done with such economical indicators reports. "Currency will represent the U.S. economical growth" - that was the main idea of Paulson's speech. But if economy is taking damage? Dollar will continue its demise.

Net foreign purchases of the long-term U.S. securities in September were at $55.4 billion. This is better than the August's negative -$33.6 billion, but worse than expected number ($66.0 billion) and average 2006 monthly net foreign purchases ($97.2 billion).

Marketiva Adds New Trading Instruments

These news aren't that new, but for Forex traders it would be interesting to know, that Marketiva broker now offers world indexes (Dow Jones, Nasdaq 100, S&P 500, DAX and FTSE 100) and precious metals (gold, silver, platinum and palladium) trading. Metals are now part of the Commodities tab in Marketiva's Streamster, which may hint for adding other commodities (think of oil) too. Spreads for the new instruments are higher than for currency pairs, but that's OK, since other brokers also use high spreads on the less popular trading symbols. Spreads vary during the day and become lower during stock markets trading session periods.

CPI at 0.3%, Jobless Claims at 330k, Oil Inventories Grow

The release of the not so good news from the U.S. economy caused a wave of bullish dollar speculation on Forex with the increased risk aversion sentiments among traders. Going back from stocks to bonds wasn't prevented even by the fear of another possible cut rate before the year's end. EUR/USD fell from almost 1.4700 to the powerful psychological support level of 1.4600.

Bureau of Labor Statistics published its consumer inflation data - CPI increased only by 0.2% in October, whereas 0.3% growth was mostly anticipated. U.S. Department of Labor gave its numbers for the previous week's initial jobless claims - 339,000 - 14,000 higher than expected.

Crude oil inventories report finally gave a positive sentiment for the dollar bullish traders - there was a 2.8 million barrels growth last week. A good sign after some major decreases, which spiked oil prices to $100/barrel and depreciated dollar against other currencies.

Unexpectedly, Philadelphia Fed General Business Conditions Index increased significantly in November compared to October - constituting 8.2 against 6.8 in October with even more pessimistic forecasts for November.

Minor Update

I've updated Forex brokers description pages to use AJAX for broker rating system. So now you can vote for your favorite broker without having to reload a page. It's not a big thing, but I think that my visitors should be able to do thing in a convenient way :-). If you didn't rate your Forex broker yet, please do it now, it will take just a few seconds now.

Low Producer Prices Inflation Helps Dollar

After Bureau of Labor Statistics reported its statistical data for October Producer Price Index (which indirectly affects Consumer Price Index with a time lag) today, U.S. dollar began reclaiming some of its strength against major currencies. Most notably - against Euro which grew significantly against all majors today. After PPI report dollar went back from past 1.4700 levels to 1.4670 levels. PPI increased by 0.1% - lower than pessimistic forecast value of 0.3%, that was after September 1.1% growth. Core PPI didn't change at all.

October Retail Sales came out at the expected level of growth, increasing by 0.2%, while September numbers were revised from 0.6% to 0.7% increase. The same situation was observed with September Business Inventories report - growth by 0.4% and previous month number revised from 0.1% to 0.3% increase.

Good PPI increases the chances for interest rates cut by Fed. But today Richard Fisher (Federal Reserve Bank of Dallas President) spoke about the Fed's vision of U.S. economy growth as strong and inflation risks as a more important factor. Perhaps, lower producer prices inflation caused more demand for U.S. dollar basing on its increased buying ability.

Will Better Budget Deficit Help USD?

U.S. dollar started its decline against other majors almost with the beginning of today's Asian trading session. EUR/USD broke through 1.4600 level but fell from it several times. Overall trading day for EUR/USD can be described as the "highly volatile correction".

The only important (to Forex market) economical data from U.S. today is Federal budget deficit figures by U.S. Treasury. It came out better expected - lower by almost 4 billion dollars than consensus number, landing at -$55.5B. It is a good result, considering September $111.5B budget surplus, but it is worse than previous October -$49.3B.

Budget results report's effect on currency market will be mostly determined by traders' reaction; positive or negative, it will depend on their own interpretation of the budget deficit influence on the FOMC's decisions.

Forex Technical Analysis for 11/12-11/16 Week

EUR/USD trend: sell.
GBP/USD trend: sell.
USD/JPY trend: sell.
EUR/JPY trend: sell.

Floor Pivot Points:
Pair	3rd Sup	2nd Sup	1st Sup	Pivot	1st Res	2nd Res	3rd Res
EUR/USD	1.4188	1.4316	1.4496	1.4624	1.4804	1.4932	1.5112
GBP/USD	2.0357	2.0569	2.0736	2.0948	2.1115	2.1327	2.1494
USD/JPY	104.87	107.69	109.18	112.00	113.49	116.31	117.80
EUR/JPY	155.03	158.59	160.52	164.08	166.01	169.57	171.50

Woodie's Pivot Points:
Pair	2nd Sup	1st Sup	Pivot	1st Res	2nd Res
EUR/USD	1.4329	1.4523	1.4637	1.4831	1.4945
GBP/USD	2.0569	2.0736	2.0948	2.1115	2.1327
USD/JPY	107.69	109.18	112.00	113.49	116.31
EUR/JPY	158.59	160.52	164.08	166.01	169.57

Camarilla Pivot Points:
Pair	4th Sup	3rd Sup	2nd Sup	1st Sup	1st Res	2nd Res	3rd Res	4th Res
EUR/USD	1.4508	1.4592	1.4621	1.4649	1.4705	1.4733	1.4762	1.4846
GBP/USD	2.0694	2.0798	2.0833	2.0867	2.0937	2.0971	2.1006	2.1110
USD/JPY	108.31	109.49	109.89	110.28	111.08	111.47	111.87	113.05
EUR/JPY	159.43	160.94	161.44	161.95	162.95	163.46	163.96	165.47

Tom DeMark's Pivot Points:
Pair:	EUR/USD	GBP/USD	USD/JPY	EUR/JPY
Resistance:	1.4868	2.1221	114.90	165.05
Support:	1.4560	2.0842	110.59	159.56

Fibonacci Retracement Levels:
Pairs	EUR/USD	GBP/USD	USD/JPY	EUR/JPY
100.0%	1.4751	2.1161	114.81	167.64
61.8%	1.4633	2.1016	113.16	165.54
50.0%	1.4597	2.0972	112.66	164.90
38.2%	1.4561	2.0927	112.15	164.25
23.6%	1.4516	2.0871	111.52	163.45
0.0%	1.4443	2.0782	110.50	162.15

Currency Trader — Free Forex Magazine

Currency Trader is one of my favorite monthly read. It is published every month by http://www.currencytradermag.com/ website and contains many articles by professional authors. Articles vary from covering recent news topics to technical analysis matters, to fundamental macroeconomic factors. From every issue I learn a lot of important information on global economics and some interesting connections between various financial markets and Forex. For those who don't have economic education this magazine is a good way to get some, at least to improve trading experience. The best thing about Currency Trader is that it is completely free - you can subscribe for it here: http://www.currencytradermag.com/subscribe_acrobat.htm. The worst thing — it has a lot of advertising. There is so much of it that content is almost lost in ads.

For some reason guys from Active Trader Magazine Group, which publishes Currency Trader Magazine, doesn't want it to be freely downloaded from anywhere. So, I had to remove it all from my site. If you still want to read this magazine, you can subscribe to the new issues for free, or you can always find past issues somewhere else (P2P networks, for example).

New Metatrader Broker - iTradeFX

I've added a new MetaTrder 4 Forex broker to the Forex brokers section today - iTradeFX. It's not a new broker to the on-line market, in fact it offers trading services since 2004, but it is a new broker to my site. iTradeFX has its own trading platform - WinTrader (along with a more common MetaTrader 4), which in my opinion is much inferior to MT4, though I'm sure it is quite popular among beginner Forex traders. Another good thing about this broker is that it is NFA member and regulated by CFTC, meaning that the funds deposited will be less likely to disappear.

Carnival of Forex Trading - November 4, 2007

Welcome to the November 4, 2007 edition of Carnival of Forex trading. More general articles these time with a more detailed approach on pivot points trading and trailing stop technique.

Allen Taylor presents Doubling Stocks With A Small Bankroll posted at Investing World Today, saying, "Successful traders know that you should never risk more than a small fraction, like maybe 5%, of your bankroll at any given time. When I say risk only 5% I'm not suggesting you only spend 5% of your bankroll on shares, but rather that, for a losing trade, you exit the trade when your loss would only represent 5% of your bankroll."

Sam presents Can YOU Make Money Trading Forex? The Foreign Currency Markets. Trade Foreign Exchange. posted at Surfer Sam and Friends, saying, "Can YOU make money trading Forex? Trading currencies in the Forex foreign exchange market, the small investor takes on the global money markets. Forex is the new Gold Rush of the Internet Age."

Dr. Barry Burns presents How Football Ruined My Trading posted at Top Dog Trading, saying, "An unusual article, but it's absolutely true about how watching football ruined my trading results for a short period of time. This story is a little embarrassing. I was going to write it last year. But finally got up the courage to reveal it as I thought we all have weaknesses and perhaps if I share mine, it will help you deal with yours."

Ian Welsh presents More Abandonment of The Dollar posted at The Agonist.

Tony Rich presents How To Start Winning Again In Forex posted at NiaTradingSignals.

Sagar Satapathy presents How China Could Crash the US Dollar on a Whim posted at Currency Trading.net.

Ray Chong presents Protecting Profits - The Art Of The Trailing Stop posted at Trading Tips, Strategies and Insights.

ganes presents Pivot Point posted at Forex Trading Tips.

Dr. Barry Burns presents What Keeps You From Trading Success? posted at Top Dog Trading, saying, "Find out what REALLY prevents traders from making money. Here it is directly from the source!"

Forex Technical Analysis for 11/05-11/09 Week

EUR/USD trend: sell.
GBP/USD trend: sell.
USD/JPY trend: buy.
EUR/JPY trend: hold.

Floor Pivot Points:
Pair	3rd Sup	2nd Sup	1st Sup	Pivot	1st Res	2nd Res	3rd Res
EUR/USD	1.4255	1.4315	1.4409	1.4469	1.4563	1.4623	1.4717
GBP/USD	2.0273	2.0401	2.0647	2.0775	2.1021	2.1149	2.1395
USD/JPY	112.02	113.02	113.93	114.93	115.84	116.84	117.75
EUR/JPY	161.88	163.08	164.86	166.06	167.84	169.04	170.82

Woodie's Pivot Points:
Pair	2nd Sup	1st Sup	Pivot	1st Res	2nd Res
EUR/USD	1.4324	1.4427	1.4478	1.4581	1.4632
GBP/USD	2.0401	2.0647	2.0775	2.1021	2.1149
USD/JPY	113.02	113.93	114.93	115.84	116.84
EUR/JPY	163.08	164.86	166.06	167.84	169.04

Camarilla Pivot Points:
Pair	4th Sup	3rd Sup	2nd Sup	1st Sup	1st Res	2nd Res	3rd Res	4th Res
EUR/USD	1.4419	1.4462	1.4476	1.4490	1.4518	1.4532	1.4546	1.4589
GBP/USD	2.0688	2.0791	2.0825	2.0860	2.0928	2.0963	2.0997	2.1100
USD/JPY	113.80	114.32	114.50	114.67	115.03	115.20	115.38	115.90
EUR/JPY	165.00	165.82	166.09	166.37	166.91	167.19	167.46	168.28

Tom DeMark's Pivot Points:
Pair:	EUR/USD	GBP/USD	USD/JPY	EUR/JPY
Resistance:	1.4516	2.1085	116.34	168.44
Support:	1.4362	2.0711	114.43	165.46

Fibonacci Retracement Levels:
Pairs	EUR/USD	GBP/USD	USD/JPY	EUR/JPY
100.0%	1.4528	2.0902	115.92	167.26
61.8%	1.4469	2.0759	115.19	166.12
50.0%	1.4451	2.0715	114.97	165.77
38.2%	1.4433	2.0671	114.74	165.42
23.6%	1.4410	2.0616	114.46	164.98
0.0%	1.4374	2.0528	114.01	164.28

New Work Places Sink Dollar

For some strange reasons good data on October nonfarm payrolls which came out today had a very bad impact on dollar's pricing against major currencies. With 1.4524 on EUR/USD greenback fell down to its new historical minimums as with Canadian dollar - USD is now worth only 0.9326 CAD.

Monthly nonfarm payrolls is one of the most looked at health barometers for U.S. economy. With a very weak past two month numbers (96k in September; 93k for August), report for October gave a far more better picture of the employment market - 166k new nonfarm payrolls. With the expectation averaging at 80k, this should have added to dollar's value on Forex. Overall unemployment rate remained at 4.7% percents and will hardly move up or down until the end of the year.

Factory orders for September gave another pleasant surprise for dollar bulls increasing by 0.2%. That is compared to -3.5% in August and expectations near -0.4%.

All these positive factors could move EUR/USD back to 1.4300-1.4400 range, but instead it rallied to new historical maximums. In my opinion this can be explained only by historically high oil and gold prices. It can be almost certainly that next week we'll see a correction on EUR/USD, in which today's employment data will play the role of catalyst.