Client Protection by ActivTrades

Most important when trading is to make sure your balance will not go into negative. In fact trading is risky and that is why having a reliable broker is obligatory.

 For my broker, ActivTrades, the interests of clients are main objective, which is why it is offering its clients Negative Balance Protection.

Your account has a trade out level which is put in place to ensure you do not lose more money than your deposit. ActivTrades also offers the Balance Protection Policy and will credit your account to a zero balance if your account goes into negative as a result of trading activity.

The Balance Protection Policy applies across multiple accounts, so if you have a negative balance in your account and a credit balance in your second account then the credit balance will be used to offset the negative balance. This option applies to joint accounts too, as each joint account holder will be responsible for a debit or credit available equally.

The balance protection is open to all retail clients.

To learn more about ActivTrades negativebalance protection, follow this link.

Inspiring Benjamin Graham Quotes

“The underlying principles of sound investment should not alter from decade to decade, but the application of these principles must be adapted to significant changes in the financial mechanisms and climate.”

“The individual investor should act consistently as an investor and not as a speculator.”

“If you are shopping for common stocks, choose them the way you would buy groceries, not the way you would buy perfume.”

“Confronted with a challenge to distill the secret of sound investment into three words, we venture the motto, Margin of Safety.”

“In the short run, the market is a voting machine, but in the long run it is a weighing machine.”

“Buy not on optimism, but on arithmetic.”

“As in roulette, same is true of the stock trader, who will find that the expense of trading weights the dice heavily against him.”

Inspiring Peter Lynch Quotes

“If you’re prepared to invest in a company, then you ought to be able to explain why in simple language that a fifth grader could understand, and quickly enough so the fifth grader won’t get bored.”

“Behind every stock is a company. Find out what it’s doing.”

“Twenty years in this business convinces me that any normal person using the customary three percent of the brain can pick stocks just as well, if not better, than the average Wall Street expert.”

“Know what you own, and know why you own it.”

“If you don’t study any companies, you have the same success buying stocks as you do in a poker game if you bet without looking at your cards.”

“In the long run, it’s not just how much money you make that will determine your future prosperity. It’s how much of that money you put to work by saving it and investing it.”

“Go for a business that any idiot can run – because sooner or later, any idiot probably is going to run it.”

“Although it’s easy to forget sometimes, a share is not a lottery ticket… it’s part-ownership of a business.”

Inspiring Warren Buffett Quotes

“Price is what you pay. Value is what you get.”

“Rule No.1: Never lose money. Rule No.2: Never forget rule No.1.”

“Only buy something that you’d be perfectly happy to hold if the market shut down for 10 years.”

“We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful.”

“Risk comes from not knowing what you’re doing.”

“We don’t have to be smarter than the rest. We have to be more disciplined than the rest.”

“Cash combined with courage in a time of crisis is priceless.”

“If you have more than 120 or 130 I.Q. points, you can afford to give the rest away. You don’t need extraordinary intelligence to succeed as an investor.”

“Unless you can watch your stock holding decline by 50% without becoming panic-stricken, you should not be in the stock market.”

“Wide diversification is only required when investors do not understand what they are doing.”

“If you are not willing to own a stock for 10 years, do not even think about owning it for 10 minutes.”

“Calling someone who trades actively in the market an investor is like calling someone who repeatedly engages in one-night stands a romantic.”

Merry Christmas!

Dear friends,

Christmas usually brings family and friends together.

Christmas helps us appreciate the love in our lives we can often take for granted. 

May the true meaning of the holiday season fill your heart and home with many blessings!

May this holiday season sparkle and shine!

May all of your wishes and dreams come true, and may you feel this happiness all year round.

Wish you a Merry Christmas!

EUR/GBP At 23.6% Fibo

EUR/GBP remained relatively volatile this week and is developing within a pretty good range of 0.8660 – 0.8900. Euro bulls succeeded to conquer the support at 0.8750 and currently the pair is preparing to break the 23.6% Fibonacci retracement of late August to December bearish drop at 0.8835. Amid the Brexit uncertainty and weakened Sterling, the single currency encourages another move toward the middle of the range. Indicators on the daily chart support the bullish outlook, so we may see the pair back again at 0.8900. Should the pair close above the 38.2% of same Fibo at 0.8925, doors are opened for testing the 0.9000 price zone, which is 50% Fibo level and the upper side of the range. In case the pair fails to conquer the 23.6% Fibo, then yesterday’s low around 0.8810 will be revisited.

Gold remains in a broader downtrend

Gold revisited December 6th high’s at $1265 today but shortly afterwards reversed its course and entered into NA session at $1259. As it is seen on the daily time frame XAU/USD bounced form the resistance turned into support at $1260 price zone and the current market price is $1261.50. However even having short term positive outlook, the price remains within the broad downward channel.  Meanwhile the price is about to cross to above the recent rising trend line, but even so, this will shift again focus back to the downside. According to indicators on the daily chart we may expect a flirt with the top side of the same channel and even higher resistance levels. But in the short term game remains bounded as the rising trend line may use a gauge for when price might turn back down. 

GBP/USD Tough times for Sterling

Тhe EU chief Brexit negotiator Michel Barnier announced that is excluding aspecial deal for the UK banks with access to the common European market as Brexit is taking pre-negotiation position. PM May’s cabinet is staying united while her Conservative party rebels. By and large tough times for the Sterling after almost a year in the first stage of negotiations.
GBP/USD was caught in tight range today between 1.3320 – 1.3450. This movement might be considered as correction, but before year’s end the downward trend line was marked out.
On the four hour time frame the price is few pips below its bearish 20-day SMA, while the 100-day and 200-day SMAs maintain slow upward slopes. Stochastic reached its mid-line, but has turned sharply to south. RSI is also around its middle and is showing bearish momentum.
Immediate support is provided by the 38.2% Fibonacci rertacement of latest August to September bullish run at 1.3320 and the pair will try to test it.
The macro agenda from UK today offered nothing, but from US we have housing data release. But more interesting news are the news surrounding the US tax reform bill. This configuration of fundamentals is favoring the US dollar and provides another confirmation of the bearish trend.

AUD/USD Higher

Aussie gained traction today and is seen hovering around mid 0.76s amid lack  of strong fundamentals DXY extended its downward slope to a fresh two week low, backed up by weakened US dollar coming form the jitters surrounding the outcome of the tax bills reforms. 

Friday’s bottom has been left behind today’s gains and AUD/USD is entering the Asian session in uplifted mood. Since marking low at 0.75 in 8th of December, the pair has been recovering ground, supported by good macro data from Australia. 

Technically speaking, the short term outlook remains bullish. On the four hour time frame the price is moving above all its moving averages, having 20-day SMA with strong bullish momentum and flat 100-day and 200-day SMAs. RSI is located around its 60 level, but has lost directional strength. Stochastic has turned sharply to north although is at its mid-line. 

Yet the 0.7700 remains critical zone and first bulls’ challenge and in case of conquering it, doors are opened for testing 0.7730 (November’s high). 

RBA minutes are due tomorrow with expectations of no change on its current  monetary policy, but amid no major other news and weak greenback, Aussie favors to the upside. 

USD/JPY Lower

The new trading week started with renewed weakness for the US dollar, despite the surging US Treasury bond yields and the optimism surrounding the expected tax reform bill.
Among this environment the USD/JPY pair is trading lower, having retreated from the early Asian session highs around 112.80 and the price is now hovering around 112.50.
According to the four hour time frame, the short term outlook remains neutral to bearish. The pair found resistance at the 112.80 price area, which is also last Thursday’s high, which makes this level great challenge for the bulls. Currently the price is stuck between its 100-day and 200-day SMAs with first one providing support at 112.40. RSI is around its mid-line but has lost directional strength, while stochastic has turned sharply to south.
The week ahead is offering US macro data and Bank of Japan’s monetary policy decision that will bring fresh directional impetus.

Spread Betting with ActivTrades

Spread betting is a kind of speculation that includes taking a bet on the price movement of a security. For example a spread betting company quotes two prices, the bid and offer price (this is called the spread), and investors bet whether the price of the underlying stock will be lower than the bid or higher than the offer. You do not need to own the underlying stock in spread betting, because you simply speculate on the price movement of the stock.

My broker, ActivTrades, offers incredibly favourable Spread Betting conditions and here are the advantages the advantages of which you may benefit:

• Spread betting is available on Metatrader 4 and 5;
• The minimum stake is 10 pence per point;
• The leverage is up to 1:400 giving traders the opportunity to trade larger positions with smaller capital requirements;
• You can trade on your PC, tablet or smart phone while enjoying fast execution and being able to use automated trading;
• You can spread bet on Forex, Indices, Metals, Commodities, LSE Shares and Fixed Income from a minimum stake of 10 pence and up to £100 per point;
• Spread betting profits are tax free for UK residents.

To learn more about spread betting with ActivTrades, follow this link!

Gold unable to extend the post-Fed gains

Following the Fed’s rate hike decision gold prices surged and marked one week high at the level $1259.00, but today is seen few pips lower, hovering around a neutral space at $1255.00. The US Dollar’s selling pressure is relieved by the uptick in the US Treasury bond yields which further impedes the gold bulls.
On the four hour time frame XAU/USD crossed to above its 20-day SMA that is starting to turn north while the 100-day and 200-day SMAs are showing bearish slopes. RSI has reached 60 level but currently is changing the direction. Stochastic is displaying strong bullish momentum and is located within extreme overbought territory and some exhausture exhaustion begins to emerge.
Immediate support comes at $1250.00, below which bears are likely to test $1247.00. Looking to the upside first resistance is provided by the daily high at $1259.00 and in case bulls succeed to regain this level, next target is the 200-day SMA at $1267.00.
Later in the day monthly retail sales and initial jobless claims are due from the US and in case of affected greenback, fresh impetus would be given to the precious metal.

EUR/USD Fed’s hike is pushing the pair towards 1.1800

After a two day meeting the FOMC finally announce its widely expected decision to hike the benchmark interest rate by 25 basis points to the target range of 1.25% - 1.50%. Following this the greenback lost its momentum and the EUR/USD pair was seen uplifted to currently trade at 1.1790 and seems that is climbing towards 1.1800. 

On the four hour time frame the price has crossed to above its 20-day SMA, which is starting to turn north, while the 100-day and the 200-day SMAs are still staying flat and are proving good resistance and support levels, respectively at 1.1830 and 1.1750. RSI and stochastic had turned sharply to overbought areas and are displaying strong bullish momentum. 

However first hurdle to the upside is seen at 1.1815 and in case euro bulls fight it, doors will be opened for testing the 1.1835.  

GBP/USD Limited upward potential

The UK November CPI release today showed best figures the last five years, having 3.1% increase on yearly basis and the inflation exceed the expectations of 0.2% and is p with 0.3%. Following the news the GBP/USD dropped to two weeks low at 1.3310, but the weakened greenback supported the bounce to the daily high at 1.3380. At this point the pair found strong resistance provided by the 50% Fibonacci retracement of latest bullish upleg. As seen on the four hour time frame the price retreated from this level and currently is hovering around 1.3320. On the same chart the 20-day SMA is displaying bearish slope above the price movement, while the 100-day and 200-day SMAs had eased their bullish stance. Stochastic has recovered from its extreme negative territory and started to turn north, but yet remains below 20. RSI is around 30 and has lost directional strength.

Stronger impetus the pair will get on Thursday when BoE will announce its monetary policy decision. Until then GBP/USD will remain range bounded. 

The God That Failed

A week after President Trump decided to  recognise Jerusalem as Israel's capital, there are plenty of reasons to here the hell bells.

Palestinian claims were not mentioned at all so no one is aware about how they feel about the eastern part of the city and are they ready for the two-state solution.

More questions were raised up after the Secretary of State Rex Tillerson’s statement that this event will not be possible even during next year.

So, what’s really happening?  

Trump states that this move is  “advance the peace process and to work towards a lasting agreement”. 

But I think that the God's role model do not fit him.

Palestine is forming lots of protest having the support by the  Middle East and Muslim-world capitals. During the past weekend four people have been killed in the Gaza Strip and at least eight people are injured after the clashes in Beirut in front of the US Embassy. 

"No one is going to touch us, because I'm so unpredictable." Exactly this Trump’s campaign promise is done. 

Moral conundrum or indefinite occupation? Whatever it is, no human should suffer it. 

How do you believe the piece will happen? 

Broken is the promise, betrayal.

EUR/USD To make or break

During the past week EUR/USD continued to develop between the April bullish trend line and the September bearish one. As seen on the daily chart the price touched, but couldn’t break the support provided by the first trend line and meanwhile is standing well above November’s low.the levels of support around 1.1800 were tested and were broken, but more significant challenge is the area around 1.1720 – 1.1730, because there is confluence of horizontal and trend-line support. So this is the place for pair to make it or break it.

On the same chart the 20-day SMA and 100-day SMA are staying flat above the current price movement and are providing resistance at 1.1800 – 1.1825, while the 200-day SMA is keeping bullish stance. RSI is located around 45 and has lost directional strength. Stochastic is displaying strong bearish momentum and is nearing extreme negative territory.

However the upcoming week will determine whether the bottom line would be under occupation of the bears or euro bulls would fight it.   

USD/JPY Uptrending, but NFP could impact

The USD/JPY pair is seen boosted today, marching beyond 113.00 level, despite no move in US Treasury yields and Nikkei’s weakness last night. From greenback’s side we have the US Senate intending to extend the debt ceiling and avoid a government shutdown and this might add some fuel. On the other hand NFP tomorrow is not giving good expectation for the US dollar. Q3 numbers are die in Japan with expectations for upward correction from preliminary calculations.

Technically speaking the pair is showing upwards potential. As seen on the four hour time frame the price is moving above its moving averages, but all of them had turned flat. Most important of the is the 200-day SMA, which is providing dynamical support around 112.90 level. RSI and stochastic are located withing extreme overbought ares and are displaying strong bullish momentum. 

I think that both indicators might face some exhaustion and we must be cautious ahead of the NFP data tomorrow.