Spot and Trade Institutional Money Moves

Algorithmic Trading with Human Interaction for:

Day Traders, Swing Traders, Long-Term Investors

Showing posts with label Euro. Show all posts
Showing posts with label Euro. Show all posts

Thursday, January 7, 2016

Day Trading for All

Opening and closing positions at the same day takes the overnight risk away.
Can you be a day trader and still go to work?
Yes, when you trade instruments that are traded around the clock: Futures or FOREX.
However, make a meaningful choice and only trade instruments that are fulfilling minimum volume requirements; else you might face some ugly stop taking, without knowing why.
Let us go through a trading day:
Today’s US-financial market opening happened yesterday at or 6 p.m. EST (asset depending). This gives you opportunities to trade immediately with the new market development.
Let us show you two different systems and charts, both portraying how we follow institutional money flow with activity based algorithmic trading models:
  • The first chart shows NLT Top-Line (our high end system).
  • The second chart is based on TradeColors.com (our budget introductory system).
In case your email does not display our charts…click here.
NLT Top-Line Chart for Euro Futures Trading (January 7, 2015)
NLT Top-Line Euro Futures
The above chart shows confirmed trade signals at 8:20 p.m. EST, 1:20 a.m. EST, 2:20 a.m. EST; each easy to spot and follow. The signal at 10:40 p.m. EST was not confirmed.
TradeColors.com Chart for Emini S&P Futures (January 7, 2015)
TradeColors January 7, 2015
The following chart shows confirmed trade signals at 8 p.m. EST, 1 a.m. EST, 2:40 a.m. EST.
By the financial markets being accessible to you in the early morning and evening hours, you have a chance to participate with shorter-term trading strategies.
In addition: you learn in our mentorships, how you can pre-program your orders so they are opened and closed without the need for you to be present and in front of your screen.
In summary: Even if work dominates your hours between 8 a.m. and 5 p.m.; you have many hours available to find sound trades: just make a meaningful pick of reliable instruments.
Schedule your personal consulting hour to find out, which system best supports your trading:
Call +1 866 455 4520 or contact@NeverLossTrading.com
In case you are not already subscribed to our free trading tips, reports and webinars…sign up here.
By teaching one-on-one, our capacities are limited.
Do not miss out.
Good trading,
Thomas

Saturday, November 29, 2014

Crude Oil Prices, Stock Market, Currencies

Summary: In a short note, we will share the influence of the recent crude oil price deterioration on the stock market: Energy sector and the currency markets.

As a day or swing trader, Crude Oil Futures offer a fantastic instrument to trade with the up- and down moves of the market.

Crude Oil Futures on the NeverLossTrading Top-Line Chart


The chart shows how our indicators catch the beginning of each price move; since July 2014 they all pointed downwards, asking you for selling Crude Oil Futures.

A price drop from $105 to $65 relates to a price change in Crude Oil Futures of $40,000 per contract, with an average maintenance margin of $3,500/contract, had you gotten the direction right, it would have produced you $120,000 of profits, in four months, on a $10,000 investment.

Check out how you can spot and follow such price moves: NeverLossTrading Top-Line.

A $40 price drop per barrel of oil means that all oil producers lost $40 of margin and thus their profitability perspective drastically changed.

On a short note: What are estimated costs to produce a barrel of light sweet Crude Oil?
  • In Canada, where a more complicated extraction method is used: $65/barrel
  • In the middle east, where you have the lowest production price point: $35/barrel
  • Offshore drilling as you find it at the coast of Mexico: $45 - $50/barrel 

With the current market price for crude oil, Canada production has an issue: Profit margins are gone and all other producers realize a big cut in profitability, which will put their stocks and the entire primary energy production sector under pressure.

Crude Oil Prices and Energy Sector Stocks Compared


The above chart shows how the latest price move of energy stocks started to close the gap that had opened between crude oil prices and primary energy related stocks; however, there is still a gap that remains to be there and we can expect that one side has to give to close it.

What does this mean for currencies?

Crude Oil can only be purchased in US-Dollars on a worldwide basis; thus the demand for US-Dollars will drop, lifting the Euro (minor crude oil production) and the Yen (no crude oil production); while the British Pound (heavily related to crude oil through BP) and Canadian Dollar should rather see downside pressure.

Crude Oil Prices and Canadian Dollar Compared


Even so the Canadian Dollar had a slight value decrease in the resent days, the gap opened by the crude oil price deterioration will lead to further price pressure on the Canadian Dollar.

When you want to learn how to trade various financial markets to the up- and downside with different financial instruments or if you are in a business and you want to learn how to hedge against strong price fluctuations: Call +1 866 455 4520 or contact@NeverLossTrading.com and you will learn how to spot and follow those market moves.

We are looking forward to hearing back from you.

Good hedging and trading!

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Sing up for our free reports and webinars….click here.


Thomas 

Thursday, November 11, 2010

New Forex Regulations – Who takes the lead for Currencies: Futures or Spot?

With the new regulations for Forex that came into place the landscape for margin requirements changed (see our article: http://neverlosstrading.wordpress.com/2010/10/12/new-forex-regulations/) .
We made a first calculation comparing key features of the one towards the other investment vehicle.

See it yourself in the following table. There are various pros and cons, but they are pretty tight to each other now:



Some of the key pros and cons are:

EUR/USD Spot has the advantage of offering mini and micro accounts allowing the novice investors a playground where they can risk less money to test the markets. By offering more variability the spot market allows for better fine tuning on dollar investments.

Currency futures are regulated, there is always a trader on the other side of the contract. In the spot market, the market price is a theoretical calculation and your broker takes the other side of the trade, which is a scary thought for many investors.

All in all, spot and futures go hand in hand in their daily moves, while the spot market shows more spikes which can be an advantage or disadvantage.

Good Trading!