Other opinions on the same debate:
• Richard Olsen: Trading Forex Is A Positive Sum Game
• John Forman: Retail Forex Trading is a Negative Sum Game
When it comes to stocks most investors make the pretense of trying to own value when in fact all they care about is the price of the security. Witness the recent price action in AAPL which has more cash on hand than the US government yet is dumped by the market like some two bit retailer on the verge of bankruptcy.
My point is that in our modern world there are no investors, only speculators. Stock guys can give you a very nice story about growth and valuation but at the first sign of price declines they will bail. ( And please no emails to me about how you are all long term holders. Remember -- long term in asset markets is decades, sometimes centuries). So if everyone is a speculator then you might as well trade in the biggest spec market of them all. At least in FX you won’t have any illusions as to where you stand.
Editors’ Picks
EUR/USD retreats below 1.0700 after US GDP data
EUR/USD came under modest bearish pressure and retreated below 1.0700. Although the US data showed that the economy grew at a softer pace than expected in Q1, strong inflation-related details provided a boost to the USD.
GBP/USD declines below 1.2500 as USD rebounds
GBP/USD declined below 1.2500 and erased the majority of its daily gains with the immediate reaction to the US GDP report. The US economy expanded at a softer pace than expected in Q1 but the price deflator jumped to 3.4% from 1.8%.
Gold drops below $2,320 as US yields shoot higher
Gold lost its traction and turned negative on the day below $2,320 in the American session on Thursday. The benchmark 10-year US Treasury bond yield is up more than 1% on the day above 4.7% after US GDP report, weighing on XAU/USD.
XRP extends its decline, crypto experts comment on Ripple stablecoin and benefits for XRP Ledger
Ripple extends decline to $0.52 on Thursday, wipes out weekly gains. Crypto expert asks Ripple CTO how the stablecoin will benefit the XRP Ledger and native token XRP.
After the US close, it’s the Tokyo CPI
After the US close, it’s the Tokyo CPI, a reliable indicator of the national number and then the BoJ policy announcement. Tokyo CPI ex food and energy in Japan was a rise to 2.90% in March from 2.50%.
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