Forex Trading debt issues

Many professional traders use basis with the technical studies. Many of the purely technical traders argue that the principles are the prices where they are in Forex Trading. Well, sometimes, and sometimes not. At the end of last week saw a move that caught most of the price unexpectedly merchants. What happened was that the credit issues suddenly broke out in Portugal. Reached the corner of the Greek budget is concerned, Spain is concerned and started, then some other nations. This unfolding story has attracted a wave of liquidations in many markets. Both the USD and JPY against the assets acquired in a lot of flight safety reasons, as the two already widely used in the transfer of all funding currencies in circulation. Sale of shares in the institutions they use those sales proceeds to pay back the USD-JPY, and the loan was taken into account. The same raw materials, gold, oil, raw materials, currency, etc. This process has begun a self-reinforcing cycle of funding carry trade currencies are becoming more expensive and reduce the value of investments. We have seen the details of the crisis on Thursday dribbled out to those who follow the foundation soon realized that a fundamental change in the market is in progress. On the other hand, we noticed that a lot of technical traders, instead of pulling out, trying to fade the move all the way down. Acknowledging the fact that this is not a status quo to save some of these steps could have been purely technical traders a lot of money, and they struck the right side of the market. The bottom line is a big mistake to think of all the basic built into the market. They are not now and never has been. This does not mean that the study of price patterns do not play a significant role in successful trading, but traders should be aware that these are only a part of the puzzle, which is trade. For the future, we are convinced that Europe matters of sovereign debt will be resolved quickly and easily, are structural problems will be addressed in time. One or other of the same issues will be discussed in more developed economies. Most traders in the trading horizon, liquidation, transfer of professions is likely to continue to support the USD-JPY and measure, and many of the popular investment vehicles.