Forex analysis and recent news
Large companies with sustainable dividends
Until the late 50’s, most investors had not focused on capital gains but in dividends. According to Fidelity Viewpoints, “For many years the dividends were the primary reason for investing in the stock market”
Future returns on the 10-year Spanish bond
This future will be very interesting because it will become one of the few opportunities to hedge against the descent into hell of Spain. The weeping and gnashing of teeth of our beloved country is safe, only have to specify the timing and intensity of suffering.
More pieces of good news in UK
Though not the first time, the United Kingdom is located halfway between the U.S. and what we are seeing in Europe as a whole. He has not had such positive data but not surprise the U.S. has been affected by the never-ending fiscal concerns of the Eurozone. The latest data from loans definitely fall into this category. Most (ex-interventions) collected as a surplus in January more important than expected (GBP 10.7bln), a month characterized by a high level of tax receipts from corporations. This figure was 8.6% …
Risk taking leads to significant gains in the euro
The riskier assets had a significant increase yesterday as expected Greek rescue plan was finally approved. The EUR / USD rose over 100 pips before stabilizing after the deal was announced, standing as high as 1.3291. Today, traders should still pay attention to news from the euro zone. Analysts warn that there is still the possibility that Greece could stop paying its debt next month. Any negative listing on the Greek economy today, can cause the euro has a bearish reversal.
Business News
USD – USD falls after reaching agreement on the Greek debt
The U.S. Dollar began the week on a pessimistic note, as the risk appetite of investors amid rising hopes that Greece received its long-awaited rescue package. That trend continued throughout the day and overnight trade, after the Greek rescue deal was approved. The EUR / USD rose to just below 1.3300 level before riding a slight downward correction. The AUD / USD soared to the level of 1.0815 before correction itself during operations at night. The pair is currently trading at 1.0735.
As of today, traders will continue to monitor the news of the euro area to the ads about Greece and its current debt issues. Despite the rescue package, it is still unclear whether Greece will be able to avoid defaulting on its debt next month. Other eurozone countries, like Portugal, also have significant financial problems that could limit the euro’s gains in the long term. With respect to the U.S., has seen a number of recent signs that show this on the road to economic recovery. Analysts warn that recent developments in the euro could be severely limited, if the euro zone economies falter, while the U.S. continue to grow.
EUR – The EUR started the week bullish
The euro extended Friday’s upward momentum throughout the day yesterday, as investors poured on riskier assets to the approval of the Greek rescue package. Upon approval, the euro continued to advance against the currencies as safe-haven U.S. dollar and the Japanese yen. While the EUR / USD took their earnings just below the 1.3300 level in EUR / JPY continued to move this over night. The pair is currently trading just below 106.00, up over 100 pips since the agreement was announced Greek.
Today, traders should note that any pessimistic news in the euro area has the potential to adversely affect the euro. Greece is in a very fragile, and still remains to be seen which can pay off your debt. It is feared that the austerity measures that Greece has promised to carry out a rescue plan change could cause the country to fall into recession. It is clear that the euro area still has a long way to go before recovering financially. This means that the euro gains made last night could be short lived.
JPY – EUR JPY gains achieved through increases in risk taking
The yen had significant losses against the euro yesterday, after positive news from the euro zone that led investors to abandon the safe-haven assets. At the same time, the USD / JPY hit resistance just below the 80.00 level, which was followed by a slightly bearish correction. The pair spent much of the day hanging around the 79.45 level.
As of today, operators must monitor the situation in the euro area, since it is likely to be the driving force behind risk appetite. In addition, key indicators from the United Kingdom and Canada, could influence the market sentiment. Positive indicators may cause the yen extended its losses against riskier currencies like the euro and Australian dollar.
Oil – Oil started the week with a bullish note
Oil prices soared close to $ 2 a barrel yesterday, after fears of supply as a result of increased tensions in the Middle East. Specifically, the Iranian threats to cut oil exports to other Eurozone countries, plus France and the United Kingdom caused prices to make themselves significantly higher during the day. In addition, positive news from the euro zone rose significantly risk-taking, which helped to raise the price by about $ 106 a barrel.
As of today, operators must monitor the situation in the Middle East. Tensions between Iran and the West remain the driving force of changes in oil prices in the market. Any escalation could cause the goods to extend its upward trend even further.
Technical News
EUR / USD
Most long-term technical indicators place this pair in neutral territory, which means they still do not know a definite trend for this week. The only exception is the Slow Stochastic on the weekly chart, where it has formed a bearish cross. Traders should keep an eye on the relative strength index on the same graph. In case of moving in overbought zone, a downward correction to take place.
GBP / USD
The Slow Stochastic on the weekly chart has formed a bearish cross, indicating that the downward movement could occur in the coming days. This theory is supported by the Williams index on the daily chart, which is currently hovering around the level of -20. Going short might be a good choice for this couple.
USD / JPY
After several weeks of upward movement, technical indicators now show this pair in overbought territory. The Williams index on the weekly chart has crossed into overbought territory and is now leaned down. Meanwhile, the relative strength index on the daily chart, has remained stable in 90, indicating that the pair is out of upward momentum. Going short might be the best option for this couple.
USD / CHF
The Slow Stochastic on the weekly chart we see that it has formed a bullish, indicating that the pair could see an upward movement in the coming days. That said, most other indicators in the long run put this pair in neutral territory. Traders if they wish, can take an approach of wait and see what happens in the pair.
Letter of the Day
AUD / JPY
On the daily chart, the percentage of Williams is about to level -20, indicating that a downward movement can occur in the near future. The Slow Stochastic on the same chart has formed a bearish cross, another sign that the pair could see a change during the day today. Forex traders can go short in their positions ahead of a possible fall.
Analysis offered by Forexyard
In Canada, retail sales remain stable
Today Tuesday the news are in Canadian retail sales were stable in the month of December.
In a major report on retail sales which do not include car sales were flat in December.
It was reported that November sales rose 0.4%. The total retail sales decreased to a total of 0.2% after an increase in rise in November.
Other News in the U.S. the key index of economic activity was set to a positive field, but showed a decrease compared to December.
In a report announced that the national economic activity rate stood at 0.22 in January from 0.54 in December.
Dollar, Yen recovery.
The uncertainty of an agreement on the second bailout package for Greece earlier this week, we held during this period with a score of anti-climax. While the Euro jumped immediately after the announcement, the bullish momentum quickly faded. At first glance, it seems CONTRAINTUTIVO considering the extent to which the [...]
The album, another story by Borges
A few lines are enough to Borges to describe the essence of a man’s greed and possible madness of another.
The Solution to the Economic Crisis is the Technology!
In my previous article “Our socio-economic model is dying and Us With” I wrote that we are in a social economic model is obsolete for many reasons, a model that creates poverty, crisis, famine, wars, environmental issues and others, many people do not have the answer to how to get out of this, politicians and economists are more than lost and overwhelmed by the current crisis, it seems incredible that have not realized that the solution is in technology!
That is about an economic crisis and social-environmental with teconologia
All, a great mistake of politicians and economists to think that these issues are separated, when they go hand in hand as always has been. Try to explain how it is that technology is what we need to succeed.
You’ll always have problems, but the problems we have been neither resolvido by politicians or economists (sorry to mention them both) problems have been solved thanks to technologists: scientists, engineers, technicians, inventors, thinkers, visionaries, it was they who invented the internet that allowed us teleconomunicaciones almost free when before we had to pay high telephony bills, invented the mass transport such as car, airplane, which allowed the train to move large numbers of people, goods and services much more cheaply, efficiently and across the world, also invented the washing machine, boiler, electrical energy, computers, telephones, movies, radio, TV, etc etc etc was they who invented the technology that solves problems it cheapens things and that makes our lives better.
What does the current crisis with all this? The crisis results from failures, errors, where a company is in crisis is because there are things that no longer serve, who fail to burst, companies no longer die when can solve the problems, the great empires of the world fell for that lost their ability to evolve, to innovate, renew, and that is what is happening at this time.
Imagine just imagine a world in which your car was completely electric, your water heater and electric stove were also, and this electricity was almost free because you would have solar panels on your roof that will provide this electricity virtually free, except for the investment you made in buying these solar panels. Also imagine your car to be electric and does not require oil changes, spark plugs and antifreeze and other things that it is electric, and is so durable that no longer have to renew every 5 or 7 years but has a useful life of maybe 30 or 50 years.
Do you think this is a dream? the truth is that it is not, is real or at least may be real, the existing electrical panels become cheaper and increasingly more, the electric cars already exist but are still expensive but also will go down in price and increasing its efficiency, in addition I will say that the electric car in existence since 1836 and existed before the gasoline engine never developed because the oil mafia never allow it, if you want to read more about it read here in wikipedia, then imagine that even if you win a little money and even stay unemployed llegarias to your home and no longer have to pay the bill for the electric light, gas or electric vehicle and your not being willing to pay gas electric, everything would take the sun and other renewable energy sources and free. That we would solve half-life and improve the quality of it tremendously.
On the cars you can also say that last decades, Henry Ford made his Model T very durable unlike the current every 5 or 10 years must renew by the “planned obsolescence” strategy to force us to consume and spend and poorer.
The technology that would make things become cheaper and there, and we can develop it further, but instead of investing in science and technology gastans world governments billions of dollars in their wars, such as afganstan and Iraq that cost an billion dollars, the world’s governments spend outrageous amounts of buying weapons, subsidize fossil fuels, imagine if that money invested in science and technology
What’s the problem with the current model? you do not like what is sustainable, durable and economical, why? abundant because it is not profitable, the air is vital but has no value if a product becomes so abundant and cheap is not profitable and finished the business, oil companies, bankers and governments around the world are not interested in people Renewable energy has free and are not interested to develop the electric car’s why so many decades it bloqueron if it starts coming out now because there is another. The current system creates Shortage by little it is expensive and profitable.
The technology is allowing the population to increase in size, we could not have grown so had it not been for the machines that can harar land much faster than hundreds of people or animals, because these foods also can travel thousands kms in hours, the mass transport and allowed travel cheapened the birth of a new industry called tourism, previously only the rich could travel for weeks and the world.
But our system was successful once is obsolete, because it relies on excessive consumption and irrational, 100 years ago the cars were not contaminated much because few, now in the millions, pollute our air and make us sick, change the climate and create problems, see 100 years ago the system worked well no longer, with many things has been the same.
The politicians think that by creating money out of thin resolve the problems, just calm down and elongate but not resolved, solving problems is the technology that allows more efficient and cheaper products and services.
Progress is not going to the moon, is that people live each day better than yesterday, that’s progress. The technology will allow us to live better, pollute less, work less, less dependent on money, have better quality of life, the food is healthier and cheaper. Here I leave a video or several videos explaining more about what technology can do for us and the world:
Www.youtube.com/watch?v=5-1FTjdbF5c
Www.youtube.com/watch?v=fY_TTwUPo1A
How to read data from companies. Part 2
In the first part we saw the data that ROEs we can see, cash flows … but of little use unless we can get an idea of how much better the company and we often use methods based on averages of benefits to get a projection of estimated future benefit, which is not entirely correct and can lead us astray.
Short analysis of First Solar (NASDAQ: FSLR)
Instead, it has reached this critical time when the world’s most populous nation can no longer burn much more coal without killing its inhabitants and in urgent need of new sources, sources that are already available at prices not imagine the most optimistic .
Consequences of German nuclear power outage
A real tragedy of the German nuclear blackout. Many predicted slightly less than the fall of the German economy due to lack of competitiveness goes hand in hand to close plants as cheap to move to rely on subsidized renewable.
Impact position
The other day traveling on a flight low cost sticker I noticed the front seat with the safety instructions. The was so close to my nose that almost cost me to focus my eyes, and remembered with nostalgia the times those who recommend putting your head between your legs.
Wells Fargo, a banking business model to imitate
Most middle-aged people invest their savings only on the recommendation of the employees of the bank branches that sell products without analyzing the investor’s risk tolerance. Spanish banks and the financial community has continued as usual ignorance on their customers. Given this model there are alternatives as proposed by Wells Fargo.
The underlying … from 3 angles
Underlying the selection performed in different ways. The general conditions to be met is that they have very good characteristics in terms of liquidity, volatility, diversification and fundamental.
COMPANY: Bank Novagalicia: the large “fudge” policy
But what is the future of the Galician financial institution? For it is challenged more than ever, having been nationalized and failed first attempts at attracting private investors recapitalization.