SINGAPORE, SINGAPORE -- (Marketwired) -- 05/01/13 -- Going into May 2013 after a month in which the JPY continued selling-off, gold might remain under pressure in a "deflation" environment - based on economic releases, after a long period of central bank easing programs. Fundamentals for metals look bearish at the moment and China's near-term growth outlook looks dim.
During April, Mario Sant Singh, Director of Trading & Education at FXPRIMUS - whose views are widely sought after in the Forex industry, looked at the KRW, the JPY and the GBP and at trading styles for people with day-jobs, amongst other topics, in his AskMarioSingh.com blog, "Your toughest Forex Questions answered daily".
The Korean economy is expected to grow this year due to an export boost resulting from recovery in the U.S., and the Chinese economy, but a slumping Korean real estate market and major household debts will slow this growth, while the Bank of Japan (BoJ) continues to weaken the JPY in the long term through aggressive monetary policy, and the USD may depreciate due to ongoing quantitative easing, with the EUR expected to weaken further due to the continuous Euro Zone recession.
"Looking at the USDJPY," said Mario, "it is obvious that the Yen weakened over the past four months, and that the Japanese government will continue interfering with the Forex market to weaken the Yen to boost exports and reach a higher inflation target. In the UK, Bank of England (BoE) intend to weaken the Pound to stimulate economic growth, and I expect the Yen and Pound sell-off will continue in the long term," he said.
On trading styles for people with day-jobs, Mario recommended trading in higher time frames like swing or position trading, as having a day job doesn't allow for frequent market monitoring so trading in lower time frames with scalping or day trading might not be suitable. Mario recommended considering the use of an Expert Advisor (EA) to help trigger trades automatically. EAs that give control, include "education-and-trader-tools/mirror-trader">Mirror Trader" from FXPRIMUS, which allows a trader to follow profitable trades executed by other traders.
During April, the top ten Forex trading questions (click the links for the answers) were:
1.Question from Tansl: If many traders trade news releases and the economic calendar, who trades the opposite direction?
2.Question from Simon: Where can I get correct outlooks on the JPYKRW, USDKRW and EURKRW?
3.Question from Abhi: What does the phrase "Bank of Japan scraps overnight call rate, sets base money as new target" mean?
4.Question from Mikuan: Is there more room for the USDJPY to grow since it went up sharply after the BoJ's announcement? What is the best entry price to go Long on?
5.Question from Ron: Who is more dovish, the Bank of England (BoE) or Bank of Japan (BoJ)?
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