Week Ahead: Robust US Jobs Data to Restore USD Index to 1.28?

And as it’s been for most of the year, it’s set to be yet another dollar-centric week for global markets, with investors and traders awaiting the next US jobs report as well as potential policy clues by Fed officials who are scheduled to make public comments over the coming week.

Economic Calendar for Next Week

Monday, October 3

  • Mainland Chinese markets closed this week
  • JPY: Japan 3Q Tankan
  • EUR: Eurozone September manufacturing PMI (final)
  • GBP: UK September manufacturing PMI (final)
  • USD: US September ISM manufacturing and manufacturing PMI (final)
  • USD: Speeches by Atlanta Fed President Raphael Bostic, New York Fed President John Williams

Tuesday, October 4

  • JPY: Tokyo September CPI
  • AUD: Reserve Bank of Australia rate decision
  • EUR: Eurozone August PPI
  • USD: Speeches by New York Fed President John Williams, Dallas Fed President Lorie Logan, Cleveland Fed President Loretta Mester, and San Francisco Fed President Mary Daly

Wednesday, October 5

  • NZD: Reserve Bank of New Zealand rate decision
  • EUR: Eurozone September services PMI (final)
  • Brent: OPEC+ meeting
  • US crude: EIA weekly oil inventory report
  • USD: Speech by Atlanta Fed President Raphael Bostic

Thursday, October 6

  • AUD: Australia August external trade
  • EUR: Eurozone August retail sales, Germany August factory orders
  • USD: US weekly initial jobless claims
  • USD: Speeches by Chicago Fed President Charles Evans, Fed Governor Lisa Cook, Cleveland Fed President Loretta Mester

Friday, October 7

  • EUR: Germany August retail sales, industrial production
  • GBP: Speech by BOE Deputy Governor Dave Ramsden
  • CAD: Canada September unemployment
  • USD: US September nonfarm payrolls, speech by New York Fed President John Williams

US Dollar and the Next US Jobs Report

Recently, the equally-weighted USD index soared past 1.28, well above the 1.25 level cited in our previous Week Ahead article (posted every Friday). 1.25 also marked the early-April 2020 cycle high.

However, this dollar index then swiftly unwound gains, as it pulled away from ‘overbought’ conditions, with its 14-day relative strength index moving back below the 70 level.

The upcoming US jobs report may help determine whether this USD index can be restored to its recent peak above 1.28, or at least remain at these elevated levels.

Here are the market forecasts at present:

  • August nonfarm payrolls: 250,000 increase (median estimate)
    If so, this would be the lowest monthly jobs growth since December 2019.
  • August US unemployment rate: 3.7% (median estimate)
    If so, this would mark s slight uptick, but still hovering close to the pre-pandemic low of 3.5%.
  • 75-basis point hike by the Fed in November: 69%

If the US labour market continues to demonstrate its resilience, either by way of a higher-than-expected headline NFP figure or a lower-than-expected unemployment rate, that should ramp up market expectations for yet another 75-basis point hike by the Fed at its next policy decision due November 2nd.

Such ramped-up expectations may then restore the USD Index back up to 1.28.

Also, keep an eye on the slate of Fed officials who are scheduled to make public comments in the coming week.

Should they offer fresh signs that they’re willing to take bolder measures to quell stubbornly elevated US inflation, that may translate into more USD strength as well.

Alternatively, if market fears over an ultra-aggressive Fed further subside, that may in turn see the US dollar unwinding more of its recent gains.

For more information visit FXTM.

Custom Mobile Push Notifications Available for cTrader Brokers

Custom Push Notifications allow brokers to send push notifications on traders’ mobile apps directly from cBroker, enhancing the user’s experience and boosting the engagement rate of traders.

These notifications can be filtered by group and language, allowing brokers to better target their audience, and they allow for deep linking as well, enabling trader actions in fewer steps. This feature helps brokers to increase revenue, build audience relationships, and get users back into the mobile app, by sending real-time updates about market news, trending trading symbols, or newly-launched promotions for their traders.

There are a plethora of benefits when using cTrader’s push notifications. Brokers can reach users whenever they want, through the immediate distribution of news, announcements, trading stimuli and other engaging content, helping them to stand out from the competition. Unlike social media where users’ feeds are flooded with brand messaging and distracting posts, push notifications are direct, helping brokers build more personal relationships with their users.

Another benefit of push notifications is that brokers can engage their users with highly curated content, by alerting them about upcoming events, special promotions and updates, resulting in an increase in brand awareness, customer retention, and conversion rates without any extra marketing budget.

William Aweida, the Business Development Manager at Spotware, said:

“Push Notifications are undoubtedly an effective and free marketing communication channel for brokers and what sets this apart from other marketing methods is that everyone has their mobile within their reach at any given time. On top of that, the feature is not restricted to marketing and promotional purposes only. It can be used to deliver useful information, market alerts, industry news and whatever a broker wants to inform the traders about”.

Mobile Push Notifications are an excellent way to boost in-app conversion rates, lifetime value, and most importantly revenue as they provide guaranteed impressions since users are sure to see these notifications popping up on their mobile screens.

About Spotware – cTrader

cTrader, a premium trading platform offered by leading brokers and trusted by millions of traders worldwide, is the flagship product of Spotware, an award-winning financial technology provider specializing in complete business solutions and complex custom development projects.

cTrader is a one-of-a-kind platform that doesn’t engage in trader fraud and prides itself on 100% transparency while providing brokers with a complete solution that raises their brand value by putting them in a category of brokers that can be trusted while simultaneously catering to the needs of all their traders.

From complete beginners to professionals, the cTrader Suite offers numerous trading modes – cTrader Trade, cTrader Copy, cTrader Automate, and features available on the Web, Desktop, and Mobile devices. Spotware has been raising the standards of the online trading industry since 2010, providing constant innovation ever since.

Founded on the values of transparency and the TradersFirst™ approach, the company develops products responsive to the changing demands of the business and regulatory landscape while serving the long-term interests of all market participants.

For press inquiries, please contact: marketing@spotware.com

Why You Should Be Keeping a Trading Journal

There are many different reasons that people get attracted to Forex trading and depending on their objectives there are many different ways to trade. One thing all traders have in common, whether they be day traders or longer-term traders is the need to keep clear and concise trading records. A trading journal can be the difference between turning a profit and making losses. A trading journal will be a key factor shared by most successful traders. Here are a few reasons why trading journals are very useful when you are looking to improve your trading:

Spotting Patterns and Trends

When you have a trading journal to note all of the different trades that you are making, it allows you to build up a base of data that you can then analyze. You can take a look back and see what types of trades have been successful for you and what types of trades have consistently been losers.

This can give you an insight into what types of trades you should focus on and what you should avoid. Some people will record their trades with a pen and paper, while others will use web-based platforms that allow you to quickly and easily keep track of trades.

Testing Out New Strategies

Traders are always looking at ways in which they can get an edge. Whether this is trying out a new strategy or using new tools, there are many things that you can try to boost your bottom line.

It is a good idea to test out the new approach by using a demo account first. This allows you to spot any potential weaknesses or areas of improvement before you properly implement it. Only once you have a tried and tested strategy developed should you then bring it into real money trading. Most leading forex brokers, such as Forex4you, will have demo accounts that you can use in the same way as if you were placing real money trades.

Take Control of Emotions

By keeping a trading journal, you will have a factual record of your results. This allows you to take an objective look over everything, rather than letting emotions dictate your decisions.

You might be able to spot triggers that led you to make poor trades. Alternatively, you can see what sorts of environments tend to deliver good results. This feedback can be invaluable, as it helps you to evaluate which trades are worthwhile making and when you have an edge.

Staying the Course

Discipline is one of the most important traits for a forex trader. If you do not have the discipline to stick to your plan, then you’ll likely not be able to achieve consistent results over time. Keeping a trading journal means that you are going to be accountable for all of the trading decisions that you make.

It allows you to avoid making similar mistakes in the future, refining your plan as needed. Regular reviews are needed to identify any potential areas of concern. You will also be more motivated to stay the course when there is a hard record of all your results.

Assessing Strengths and Weaknesses

Cold, hard numbers are not going to lie. A trading journal is an objective measurement of your trading activity. It means that everything will be starkly laid out in front of you.

A trading journal will hold up a mirror to all of your strengths and weaknesses. This will ultimately improve you as a trader, as you’ll get an insight into what you need to do to get better. Shoring up any weaknesses can be just as effective as improving your trading skills.

Conclusion

There are many undeniable benefits associated with keeping a trading journal. Not keeping a journal is a great disservice to yourself. It doesn’t have to be a mammoth task either. You can keep a simple journal to start with and you might surprise yourself at just how much value you can get out of the process.

Forex Trading involves significant risk to your invested capital. Please read and ensure you fully understand our Risk Disclosure.

New Leader Looks to a Bright Future for Investment Platform Oval Money

Mr Merolla takes the helm to offer a fresh outlook for the brand’s two products. Oval is a clever app to save and invest money automatically and OvalX (formerly ETX Capital) – a trading platform to access shares, currencies, stock indices, commodities and other financial markets.

With a background in computer science, Merolla brings a wealth of experience to the role, having worked in financial services for more than 10 years for the likes of online trading company Swissquote and private equity firm Guru Capital.

He said: “I’m excited to take this new position and I’m looking forward to a bright future, which will continue to be our major focus on investment in Oval Money’s technology, infrastructure and brand.”

The announcement comes as Oval Money’s UK entity Monecor (London) Ltd presents its 2021 figures which show a total revenue of £24.2 million, compared to £31.8 million for the prior year.

Results are driven by the company migrating its European business operation and clients to a European group entity as part of the Brexit group strategy.

Mr Merolla added: “In 2021, Oval Money increased its workforce by 30 percent as it sought to bolster the company’s technology, compliance, and risk departments.

Now, with full support from our shareholders, who have invested significant capital to drive the business’s strategic initiative, we can push through this continued phase of growth and development with the aim of transforming into a more diverse financial services company.”

Former CEO Philip Adler steps down from the position to pursue the role of Chief Business Development Officer within the company.

He said: “I have been very proud to lead our teams through ownership changes and the rebranding to OvalX. I am now incredibly excited to grow our existing business lines and to develop new revenue opportunities.”

With greater market expertise and a growing team of more than 250 people based in the UK, Italy and Cyprus, Oval Money has built a solid foundation to realise its goal of becoming a standard of excellence across the UK and Europe.

Oval is currently available in Italy and will launch soon in the UK. OvalX is available in the UK and EU.

For more information contact Elena Giardino on press@ovalmoney.com

ACY Securities Webinar for October 6: Live Forex Market Review – Identifying High Probability Trading Levels

In this webinar, Duncan Cooper will analyse the trend, support and resistance, and use Fibonacci retracements to identify high probability trading levels on the major currency pairs. Plus, a live Q & A on your favourite charts.

Date: October 6, 08:00 PM Sydney Time

REGISTER FOR FREE

UPDATE: Is the Worst Really Over for US Stocks?

Last month, we posed the question: “Is the worst over for US stocks?”

Answer: apparently not.

A week after that August 10th article, the S&P 500 did climb higher, only to be resisted by its 200-day simple moving average.

The blue-chip stock index even closed above the 50% Fibonacci retracement level, which was the key criteria for suggesting that the worst is over for the 2022 rout in US stocks.

As cited in the August article, according to data by the CFRA and S&P Global, in 18 of the 19 ‘bear markets’ seen since World War II, the S&P 500 then went on to a fresh bull run after closing above its 50% Fib retracement line.

But as the saying goes across financial markets “Past performance is no guarantee of future results.”

And that track record (stated above) now needs to be updated to “18 out of the past 20 bear markets …”.

Since that August article, the S&P 500 has unwound all of its summer gains, even printing intraday prices not seen since end-November 2020.

In essence, we have seen “worse” levels this week for the S&P 500 compared to those June lows.

Why Did the S&P 500 Erase Its Summer Gains?

Recall the premise for the S&P 500’s summer rally, as stated in last month’s article:

“Arguably, the primary reason is that markets believe that the Fed has done the largest chunks of its rate hikes already.”

Additionally, the S&P 500’s summer gains was based on the idea of a “dovish pivot” by the Fed.

That’s to say that markets had expected the Fed to be less courageous about sending US interest rates higher, for fear of triggering an economic recession.

But now we know better.

Since then, we have seen the US inflation data stubbornly printing near its highest levels in around 40 years.

Hence, many Fed officials, including Fed Chair Jerome Powell himself, have since sent a strong message to the markets:

The US central bank is hell bent on taming multi-decade high inflation by sending US interest rates even higher, and is willing to tolerate economic pain along the way.

Markets duly paid heed and raised their forecasted peak for this ongoing Fed rate hike cycle by about 90 basis points!

  • Back in August, markets expected that US rates won’t go higher than 3.6% in March 2023.
  • Today, that forecasted peak is now expected to reach nearly 4.5% by March.

What Do Higher Us Interest Rates Mean for the Us Economy?

Essentially, the Fed wants to see some “demand destruction”.

Policymakers want to see less money in an economy chasing after scarce goods and services.

That should, in theory, discourage businesses from ramping up their selling prices, hopefully resulting in slower inflation.

However, more economic pain could also bring about a shrinking economy i.e. a recession.

What Do Higher US Interest Rates Mean for the US Economy?

More downside likely.

With the US unemployment rate forecasted by the Fed to rise to 4.4% by end-2023, significantly higher from the 3.7% figure from last month, more jobless Americans should translate into less demand/spending in the US economy, which should also mean less earnings for companies.

Lower earnings due to such “economic pain” should also lead to lower share prices, with such a narrative already dragging on the S&P 500.

Tech Not Spared

Also, higher interest rates mean its tougher for so-called “growth companies” to continue borrowing cheap loans to fund its expansion plans while forsaking profitability.

Hence, as higher interest rates chock some of the potential growth (and earnings potential) for these growth companies, that has led to lower stock valuations as well.

Keep in mind that, with many of these growth stocks concentrated in the tech sector, no surprise then that the tech-heavy Nasdaq 100 has a year-to-date decline of almost 30%, falling deeper than the S&P 500’s 22% year-to-date decline.

However, the Nasdaq 100 is still managing to not surpass its June lows … for now.

Also, note that tech-led declines would only exert more downward pressure on the S&P 500.

This is because IT stocks (think Apple, Microsoft, Nvidia, etc.) account for over a quarter (26.6%) of the S&P 500.

So, if you couple the S&P 500’s exposure to tech stocks with the weightage of consumer discretionary stocks (e.g. Amazon, Tesla, McDonald’s, etc. – which tend to take an earnings hit when customers have less disposable income during times of economic pain), then a US recession that’s triggered by higher US rates would only exert more downward pressure on the S&P 500.

NOTE: The S&P 500 index is widely used as the benchmark to gauge how overall US stocks are performing.

So What’s Next for the S&P 500?

Brace for the low-3000s.

In market fears surrounding a US recession continue ramping up, that may send the S&P 500 to as low as:

  • 3400: around the pre-pandemic peak set in Feb 2020
  • 3200: double-bottom from Sept/Oct 2020

Though for more immediate consideration, the S&P 500 is testing a crucial support level – its 200-week simple moving average.

This technical indicator has supported the S&P 500 in recent years, with such an episode last occurring at end-2018.

Athough the Fed was also busy raising interest rates back in 2018, those benchmark rates today have already surpassed those levels and are now standing at its highest since 2008 at 3.25%.

And US inflation is still around its highest levels since the early 1980s.

So if this 200-week SMA doesn’t hold, the S&P 500 is likely to then set course for the low-3000 region, dragged down by heightened  fears over a potential US recession and higher-for-longer US interest rates.

For more information visit FXTM.

WELTRADE Terminal Demo Contest

To take part in the Contest, traders need to register their presence starting from September 26. The Promo will last for four weeks, plus the week of registration.

Contest Terms

Every trader can take part in this Contest for free. When the Promotion week ends, each participant’s balance resets to zero. After, the next one starts, and so on. The exact dates of the Contest and the lucky winners’ rating can be found on the WELTRADE official website.

The competition timeline is as follows:

The total Prize Pool of the Contest is $20,000, with each week’s prize fund of $5,000. Winners of the Contest will get real cash prizes in accordance with the position they place in the rating and the results they get.

The rating of the winners will be compiled automatically and in real time, by making a comparison of the current balance values of each Participant.

The fund distribution can be found below:

Participation Steps

Demo Contest Trading is open to everyone who wants to try his or her luck, and participation is free of charge. Traders can join in any of the rounds during the whole Contest timeline.

WELTRADE will select the winners based on their trading success and distribute the prizes among them. The remaining parts of the $20,000 fund will be given away to the Participants after the end of each round. Right after that, the amount may be withdrawn.

To get a chance at a real cash prize, you need to follow these steps:

1. Log in or register on WELTRADE Terminal

2. Head over to our new advanced Trading Terminal and join the Contest

3. Start trading on your Contest Account

4. If you succeed, take your prize and withdraw it

What is WELTRADE Terminal?

The WELTRADE Terminal combines an easy-to-use, friendly interface with cutting-edge graphing technology to provide traders with a well-rounded trading experience. With more than 50 drawing tools and 100 indicators, the Terminal is geared towards traders who want to stay on top of their game.

The Terminal is intuitive and fast thanks to the diligent efforts of developers and designers at WELTRADE. All data and information are safely encrypted.

About WELTRADE

Established in 2006 by a group of professionals with a common interest in international finance and IT, WELTRADE has been a huge success in serving traders of all scales. The platform represents a fresh perspective on investing techniques and makes secure Forex trading available to everyone.

In December 2020, the number of active traders around the world surpassed 600,000 in 180 countries. The broker offers a wide range of financial instruments, including currency pairs, metals, commodities, and digital currencies.

The company’s mission is to create a smart, intuitive trading ecosystem, and build long-term connections with clients based on empathy, interactivity, and feedback.

Among the key features are:

  • 250 trading tools, including indices, energies, metals
  • Smart deposit insurance
  • Easy trading start with $1 and no extra efforts
  • Cashback up to 6% per year
  • The fastest deposits and withdrawals in the market
  • Unique promo offers
  • 24/7 full multilingual support

WELTRADE offers innovative tools for traders of all scales with credit bonus 100%, no commission fees, and an easy-to-join affiliate program. Creating products, trading conditions, and bonus programs is always centered around user feedback.

Spotware Sees a Spike in Demand From Large Brokers

Limassol, Cyprus – 29/09/2022

Since its development, Spotware is known in the industry for fighting malicious brokers, following its Trader First™ approach. In its more than 12 years of existence, the company kicked out multiple bucket shop brokers as well as brokers accepting US clients.

cTrader was built to protect traders by not allowing any “inject price” function and preventing scam brokers from stop-loss hunting or installing any plugins like “Virtual Dealer”. Also on cTrader, each user’s activity is logged, it’s easy to understand and any trade amendments are recorded and marked separately,”

The Head of Technical Support at Spotware, John Parnaby, said.

“cTrader is hosted on Spotware’s infrastructure and only Spotware employees have access to it. Trade receipts with all necessary information about each trade, including but not limited to chronological events, slippage, and Level 2 market snapshot and execution times are stored and cannot be modified, ensuring trading transparency. All the above features make cTrader less appealing to brokers with malicious intentions”.

Spotware’s business approach and global user base of over one million traders show that fraudsters and scam brokers don’t turn to cTrader’s transparency and Traders First™ approach themselves.

About Spotware – cTrader

cTrader, a premium trading platform offered by leading brokers and trusted by millions of traders worldwide, is the flagship product of Spotware, an award-winning financial technology provider specializing in complete business solutions and complex custom development projects. cTrader is a one-of-a-kind platform that doesn’t engage in trader fraud and prides itself on 100% transparency while providing brokers with a complete solution that raises their brand value by putting them in a category of brokers that can be trusted while simultaneously catering to the needs of all their traders.

From complete beginners to professionals, the cTrader Suite offers numerous trading modes – cTrader Trade, cTrader Copy, cTrader Automate, and features available on the Web, Desktop, and Mobile devices. Spotware has been raising the standards of the online trading industry since 2010, providing constant innovation ever since. Founded on the values of transparency and the TradersFirst™ approach, the company develops products responsive to the changing demands of the business and regulatory landscape while serving the long-term interests of all market participants.

For press inquiries, please contact: marketing@spotware.com

Mid-Week Technical Outlook: Dollar Dominates FX Space

Major currencies have been crushed by the dollar’s meteoric rise this month with the British Pound and New Zealand dollar shedding over 8%. Given how the dollar continues to draw strength from aggressive rate hike bets, geopolitical tensions, and positive US economic data – more upside could be on the cards.

With more Fed officials scheduled to speak this week, this may translate to more volatility on the dollar. Where there is volatility, there are potential opportunities.

Our focus today will be mainly on USD crosses with the tool of choice none other than technical analysis.

DXY Bulls Unstoppable?

The dollar’s appreciation over the past few days has been phenomenal. Bulls remain supported by key fundamental forces with the technicals signalling further upside. Prices are trading around 114.70 as of writing with the next key point of interest at 115.00. A strong breakout above this level may open the doors towards 115.34 and 118.75. Should 115.00 prove to be strong resistance, a decline back towards 113.30 and 111.60.

EUR/USD Eyes 0.9500

An appreciating dollar has dragged the EURUSD well below parity. Prices are heavily bearish on the daily timeframe with the candlesticks respecting a bearish channel. A strong breakdown below 0.9500 could open a path towards 0.9300. If 0.9500 proves to be tough support to crack, a rebound back towards 0.9900 and parity could become reality.

GBP/USD Preparing to Resume Selloff

It’s been a rough week for the GBPUSD. After hitting an all-time low on Monday, we saw the currency stage a sharp rebound. Nevertheless, prices remain heavily bearish with a break back below 1.0600 suggesting a decline towards 1.0520 and 1.0350, respectively. Should prices rebound back towards 1.0850, the currency pair could test 1.1000 and 1.1350.

AUD/USD Bears Eye 0.6200

Aussie bears remain in the driving seat as the currency pair descends lower with each passing day. There have been consistently lower lows and lower highs while the MACD trades to the downside. A strong breakdown below 0.6350 could encourage a decline towards 0.6270 and 0.6200.

USD/JPY Breakout on the Horizon

It’s all about the 145.00 level on the USDJPY. A stronger dollar could encourage bulls to conquer this resistance, opening the doors towards 147.00 and higher. Given how this level has stood the test of time. A rejection from this point could result in the USDJPY trading back within its current range.

NZD/USD Rebound in the Process?

After dropping over 500 pips this month, could the NZDUSD be preparing for a rebound? There have been consistently lower lows and lower highs while the MACD trades to the downside. Prices recently staged a strong rebound from the 0.5560 level with bulls eyeing 0.5720 and 0.5800, respectively, below 0.55600 – prices may sink towards 0.5500.

For more information visit FXTM.

iFX EXPO Asia 2022 Brought Fintech Industry to The Heart of Bangkok

iFX EXPO, excellently run by Ultimate Fintech, is gaining more and more popularity attracting retail & institutional brokers, technology & liquidity providers, payment service providers, banks, affiliates & IBs, regulators & compliance, as well as crypto and blockchain brands. Since 2012, it has been the largest financial B2B exhibition and a hot spot in financial hubs across Europe, Asia, and the Middle East.

iFX EXPO Asia 2022, held in the impressive Centara Grand & Bangkok Convention Centre at CentralWorld on 13-15 September, brought together thousands of top professionals from the online trading, financial services and the fintech industry from all over the world for 2 days of unparalleled networking and business collaboration. The EXPO floor abounded with insightful conversations, meaningful connections and heated discussions.

Pioneering industry brands that took part in this iFX EXPO Edition as proud Exhibitors and Sponsors played a pivotal role in its unrivalled success. Zulu Trade, the world’s leading social trading platform, was the Global Official Partner of iFX EXPO Asia 2022. An impressive list of sponsors included industry leaders such as ATFX, AximTrade, Finalto, TMGM, B2Broker, Equity Capital, just to name a few.

Insightful talks at the Speaker Hall by leading industry speakers were one of the event’s highlights. Distinguished speakers like Daniela Egli (COO at Skilling), Malik Khan Kotadia (Co-founder & Chairman, Finnovation Labs), Marc Robinson (Head of APAC Market Operations, Coinbase), and other esteemed CEOs of trailblazing companies took the stage to discuss thought-provoking topics, like digitalization, financial services regulations and their impact on the industry, liquidity in APAC, Web 3.0, Metaverse and others. Meanwhile, in the Idea Hub, experts and industry professionals engaged in fireside chats, sharing their ideas and views on the current industry trends.

Bangkok edition of iFX EXPO Asia exceeded attendees’ expectations with its impressive parties. Welcome Party provided an opportunity to get to know each other and have a conversation in a casual setting. The Night Party was hosted at one of Bangkok’s most luxurious nightclubs – Sing Sing Theatre – and offered participants to unwind after a busy networking day at the EXPO.

The official photos of iFX EXPO Asia 2022 have been released, so you can check them out and see how the event unfolded from the Welcome Party, Day 1, the Night Party, through to the closing of the expo doors on Day 2.

What is Coming Up Next?

Bringing together leaders from finance and fintech, iFX EXPO Dubai 2023 is the next must attend event for industry professionals. Over 100 leading brands and more than 3000 attendees will gather under the vault of the Dubai World Trade Centre, Za’abeel Hall 6, between 16 and 18 January 2023, for showcasing their brands and services, creating new business opportunities and sharing vision for the future of the industry.

Don’t miss the opportunity and save your spot at iFX EXPO Dubai 2023 by contacting iFX EXPO team now and stay tuned for news and updates on the official event website!

Redefining the Trading Industry with AximTrade

It is an award-winning broker with a competitive edge, commitment to quality standards and utmost professionalism in its services.

Based in Singapore and with a presence in 11 countries and counting, AximTrade is committed to reshaping the Trading industry for its partners and clients. Driven with an understanding deeply rooted in clients’ and partners’ needs, AximTrade is dedicated to surpassing the expectations of traders in all levels.

• Official Partner of Alfa Romeo F1 Team ORLEN 2022

• Title Partner of Porsche and Porsche Carrera Cup Asia (PCCA) 2021

• Winner of 4 Global Forex Awards 2021

• Winner of 4 Global Forex Awards 2022

• Winner of 2 Fazzaco Business Awards 2022

• Fast growing broker with an expanding 400,000 client base

AximTrade offers a diversity of trading instruments and premium access to the global markets with the best trading conditions and optimum transparency. Through a wide array of trading accounts, traders enjoy direct access to 49+ forex pairs, commodities, indices, 60 cryptocurrencies and 70+ global stocks.

Overview of AximTrade Trading Services

  1. CopyTrade: Get inspired by professional and successful traders by emulating trades and profits. Unlock an unmatched trading experience loaded with knowledge while honing your skills.
  2. LifeTime Bonus: A unique deposit bonus that provides extensive and long-term benefits for our traders up to 50%.
  3. Infinite Leverage: Unleash your trading possibilities with one of the most flexible leverages in forex and CFD trading up to Infinite Leverage. Trade more for less.
  4. AximTrade Mobile Application: Convenience in your fingertips with the all new AximTrade app, available for Apple and Android users
  5. Commission Free and Low Spread Accounts: Enjoy trading with one of the best conditions in the market.
  6. Low Deposit Requirements: Start your investment with as low capital as $1. Discover the variety of trading accounts designed to meet your needs.
  7. Free Online Forex Course: A multiscale online forex course conducted by professional traders to help anyone get easily acquainted with the forex market.

As a globally highly-competitive broker, AximTrade strives to provide premium services to develop client and partner profitability, an exceptional trading experience, services, and conditions for all our clients, and competitive partner rebates for partners.

About AximTrade

AximTrade Group is an award-winning Financial Services Provider, headquartered in Singapore, specializing in CFDs, Cryptocurrency Stocks and Indices. AximTrade Pty Limited is regulated by the Australian Securities and Investments Commission (ASIC). Having a presence in 11 countries and growing, with a staff count of more than 350, AximTrade promises to provide the best trading conditions and experience for our clients.

By ensuring ease of access to their funds, optimum liquidity and enhancing our ever-expanding lists of trading instruments, we strive to be the trusted partner with all our clients through our dedication, service, and support.

Find out more: www.aximtrade.com

OctaFX is on an Award Spree, Receiving the ‘Most Secure Broker Indonesia 2022.’

The Dubai-based International Business Magazine is the award’s issuer.

The awards ceremony will take place on 29 October 2022 in the famed hotel resort Atlantis The Palm—Dubai, United Arab Emirates.

OctaFX’s press office had this to say: ‘When hard work pays off—it’s a feeling of relief as well as tremendous accomplishment. Despite difficulties and challenges, we were able to continue providing one of the best services for our clients—helping them achieve their financial goals. Our labour was not in vain; even more, it was appreciated by a very fine magazine that we have cherished and respected since its inception’.

An International Business Magazine representative elaborated on their commission’s selection, saying ‘We chose OctaFX this year for the most promising investment products, for delivering the top of line services to investing clients and partners, and for its impressive figures of 12 million trading accounts throughout 150 countries—all of which are a testament to their reliability. In addition, dedicated and well-intentioned initiatives for financial inclusion across the entire strata of society deserve applause’.

Since 2018, the online publishing company has distinguished itself as a remarkable research and analytics centre in the world of financial services and technologies. Its team of experts’ exhaustive inspection in evaluating each of the yearly candidates made it a compelling contributor to the industry’s reliability, transparency, and security.

For this same year, the International Business Magazine chose OctaFX for the ‘Best Global Broker Asia’ distinction.

About OctaFX

OctaFX is a global broker providing online trading services worldwide since 2011. It offers commission-free access to financial markets and a variety of services already utilised by clients from 150 countries who have opened more than 12 million trading accounts. Free educational webinars, articles, and analytical tools they provide help clients reach their investment goals.

The company is involved in a comprehensive network of charity and humanitarian initiatives, including the improvement of educational infrastructure and short-notice relief projects supporting local communities and small to medium enterprises.

In addition to the latest ones mentioned above, OctaFX has won more than 50 other awards since its foundation, including the 2021 ‘Best Forex Broker Asia’ award from Global Banking and Finance Review, the 2021 ‘Best ECN Broker’ award from World Finance, and the ‘Best Mobile Trading Platform 2022’ issued by Forex Brokers Awards.

Week Ahead: Hawkish “Fed speak” May Lift USD Index to Fresh Two-Year High

Economic Calendar for Next Week

Traders and investors worldwide will be closely monitoring the slew of speeches by officials out of the world’s most influential central bank, amid these other major economic data releases and events in the final days of Q3 2022:

Monday, September 26

  • EUR: Germany September IFO business climate and expectations
  • EUR: ECB President Christine Lagarde speech
  • USD: Speeches by Boston Fed President Susan Collins, Atlanta Fed President Raphael Bostic, and Cleveland Fed President Loretta Mester

Tuesday, September 27

  • CNH: China August industrial profits
  • USD: Speeches by Fed Chair Jerome Powell, Chicago Fed President Charles Evans, St. Louis Fed President James Bullard
  • Brent: OPEC to publish World Oil Outlook

Wednesday, September 28

  • AUD: Australia August retail sales
  • EUR: ECB President Christine Lagarde speech
  • US crude: EIA weekly oil inventory report
  • USD: Speeches by San Francisco Fed President Mary Daly, Atlanta Fed President Rafael Bostic, Chicago Fed President Charles Evans

Thursday, September 29

  • NZD: New Zealand September consumer confidence
  • AUD: Australia August job vacancies
  • EUR: Germany September CPI, Eurozone September economic confidence
  • USD: US weekly initial jobless claims, 2Q GDP (final)
  • USD: Speeches by Cleveland Fed President Loretta Mester and San Francisco Fed President Mary Daly
  • Nike quarterly earnings

Friday, September 30

  • NZD: New Zealand September consumer confidence
  • JPY: Japan August jobless rate, retail sales, industrial production
  • CNH: China September PMIs
  • EUR: Eurozone August unemployment rate, September inflation
  • GBP: UK 2Q GDP (final)
  • USD: Speeches by Fed Vice Chair Lael Brainard and New York Fed President John Williams
  • Tesla’s AI day

Earlier this week, the US Federal Reserve signalled its intent to send US interest rates even higher than expected.

Such policy signals then spurred the US dollar onto greater heights, while dragging many of its major peers to fresh lows, including:

  • EURUSD: trading below parity, lowest since 2002
  • GBPUSD: trading below 1.13, lowest since 1985
  • USDJPY: spiked briefly above 145, Yen’s weakest against US dollar since 1998 (before USDJPY eased back lower due to currency intervention by Japan’s Ministry of Finance).

READ MORE: Why FX markets react to central banks?

There’s Still Room for the Us Dollar to Climb Even Higher

This is because, somewhat oddly, markets have yet to fully price in another 75-basis point hike for the next FOMC meeting in early November. And that’s despite the hawkish signals out of the just-concluded FOMC meeting earlier this week.

The odds for a fourth consecutive 75bps hike (at November FOMC meeting) currently stand at 85.6% at the time of writing.

And if those odds are ramped up closer to 100%, encouraged by Fed officials who continue banging on the same hawkish drums in the coming week in drilling home the message that US interest rates will continue to push higher and stay elevated for longer in the central bank’s quest to quash stubbornly-high inflation, that may well push the equally-weighted USD index to the 1.25 mark, levels not seen since the onset of the global pandemic in 2020.

Furthermore, if there’s also a ramping up of geopolitical tensions in the days ahead, that should spur more demand for the greenback as a safe haven asset.

But first, we could see an immediate pullback for this USD index, seeing as its relative strength index is on the cusp of breaking into overbought territory.

For more information visit FXTM.

Why FX Markets React to Central Banks?

Here’s a quick catch up:

  • US Federal Reserve: hiked by 75 basis points
  • Bank of Japan: left benchmark rate unchanged
  • Swiss National Bank: hiked by 75 basis points
  • Central Bank of Norway: hiked by 50 basis points
  • Bank of England: hiked by 50 basis points

READ MORE: (Sept 19 article) Trade of the Week: GBPUSD to sink further?

For an example as to how much a central bank can influence FX markets, consider how the equally-weighted USD Index (which measures the dollar’s moves against six other G10 currencies) has punched its way to a fresh two-year high, trading at levels not seen since the onset of the pandemic.

Such a spike in the US dollar came after the US central bank, also the world’s most influential central bank, informed markets that it has to push US interest rates higher than expected in order to combat stubbornly-high inflation.

With so much action going on across FX markets, here’s a timely reminder of the basics surrounding how central banks impact FX markets.

First, let’s begin with …

What Is A Central Bank?

A central bank is an institution that manages a country’s currency and money supply.

It also helps the economy achieve certain goals, such as keeping unemployment stable and low while ensuring price stability (keeping inflation under control).

What’s The Main Problem For Central Banks Right Now?

Currently, the number one problem facing most central banks around the world: red-hot inflation!

That is to say, the central bank’s is trying hard to make sure that the prices that consumers are paying don’t rise too much too fast.

Of course, the central bank wants to protect the public and make sure consumers can continue spending money to help grow the economy.

Otherwise:

  • When things get too expensive, consumers may not be able to afford as much goods and services, which may lead to lowered spending.
  • When overall spending sees a big drop in an economy, that would negatively affect the income that businesses and producers can get.
  • Less income for companies may translate into cost-cutting measures (e.g. job cuts) in order for the business to try and survive.

In short, inflation that’s out-of-control is bad news for the economy.

How Are Central Banks Trying to Control Inflation?

The main way that most central banks try and subdued red-hot inflation is by raising interest rates.

Here’s how it works:

Higher interest rates = lower demand / lower money supply = slower inflation

However, there’s a dark side to interest rate hikes as well.

If a central bank raises its benchmark rate(s) too high, too fast, that may destroy demand levels (drastically lowered spending) in an economy to the point that there’s a recession!

Hence it’s a tricky balancing act that central banks face right now.

They have to raise interest rates high enough to subdue inflation, but not do it too much so as to incur too much pain for the economy (e.g. too many jobs lost).

So How Does All this Impact Currency Markets?

Here are three key ways:

  1. Economic performance

Markets reward the currency of the economy that can better withstand these higher interest rates.

For example, the US dollar has surged to its highest levels against the British Pound since 1985, even though both the US Federal Reserve and the Bank of England have been raising interest rates.

Because markets believe that the US economy is better withstanding this ongoing rate hikes, better than the UK economy that’s facing its worst cost-of-living crisis in a generation, there has been more demand for the US dollar relative to the British Pound.

Hence, no surprise that GBPUSD has now reached its lowest levels since 1985.

  1. Yields

When a central bank raises its interest rates, investors also sell off its government bonds.

When the prices of these bonds fall, their yields rise.

NOTE: Yields are a measure of how much an investor can earn from a particular asset.

Hence, the country whose bonds offer a higher yield then attracts more investors, who then demand more of that country’s currency in order to purchase its assets.

In fewer words, generally speaking, higher yields = stronger currency.

This is especially evident in USDJPY which has soared to its highest levels since 1998 earlier, almost touching the 146.0 mark before pulling back today.

When you consider the following yields on offer:

  • US 10-year Treasuries: 3.53%
  • Japanese 10-year government bonds: 0.228%

Given this massive gap between US and Japanese yields, no surprise that investors have been flocking to the US dollar and less so the Japanese Yen.

  1. Currency intervention

A currency that weakens drastically can also have negative consequences.

For one, it makes imports more expensive, which means consumers in that country have to fork out more money to buy imported goods and services.

Again, when prices go up, demand/spending goes down.

Hence, a central bank may intervene to support its currency, like the Bank of Japan announced today (Thursday, sept 22nd).

And sometimes, markets are ready to react to the mere though of currency intervention, and not the actual “intervening” in and of itself, as was the case with the Swiss National Bank today.

With all that said, hopefully it is now clear what central bankers say and do often do have a massive impact on FX markets, as we’ve seen all of this week.

And there are more key decisions and announcements to be made in the months to come, seeing as this global battle against inflation is far from over.

So make sure you keep watching this space for the latest developments surrounding upcoming central bank decisions.

For more information visit FXTM.

Plus500’s Management Team Held the Company’s First Ever Capital Markets Day Event

In addition, Plus500’s management team presented across a range of areas, expressing excitement about Plus500’s market-leading position, the strengths of its proprietary technology‐based trading platforms and its key growth opportunities, notably in the US futures market.

In the US futures market, Plus500 identifies two major growth opportunities. Firstly, the Group is launching TradeSniper, an intuitive new trading platform, designed for the substantial retail trading audience. Secondly, Plus500 is targeting an institutional opportunity, where its brokerage-execution and clearing services are provided to institutional clients. Progress towards these opportunities will be driven by Plus500’s healthy balance sheet and highly differentiated technological capabilities.

Other important areas that were covered at the Capital Markets Day included Plus500’s strategy, track record, financial dynamics and business opportunities. In addition, there were deep dives on the Group’s technology, marketing, operations and product. Management emphasised that the strength of its proprietary technology-based trading platform has enabled the group to embark on its ambition to become a multi-asset fintech platform with the group now expecting the growth opportunities cultivated to generate five-year incremental, annualised revenue of c$500m, to be achieved through expansion of existing products, the introduction of new products, deepening customer engagement and expanding into new geographies, including the US.

Plus500 has developed over the years a wide range of technology capabilities to support customers on their journey, as the Group continues to diversify its product portfolio and geographic footprint.

These factors will drive future growth for Plus500 through expanding existing products, the introduction of new products, deepening customer engagement and expanding into new geographies, including the US.

To watch the event, please visit this link.

Mid-Week Technical Outlook: G10 Currencies

This negative development hit stocks as investors rushed to safe-haven destinations like the dollar, gold, and government bonds. With tensions likely to escalate between Russia and Ukraine following the latest news, risk-off may remain the name of the game ahead of the Federal Reserve rate decision this evening.

We have a couple of potential trading opportunities on our radar that could be triggered by not only the Fed but BoE and key economic reports this week. Our focus will fall on G10 currencies and our tool of choice will be none other than technical analysis.

DXY Gearing For a Breakout?

Heightened geopolitical tensions injected dollar bulls with fresh inspiration this morning. A hawkish Federal Reserve could feed the beast, pushing the Dollar Index (DXY) beyond 110.78 before the end of today! Such a development could encourage a further incline towards 111.00 and 112.50, respectively. A move back below 109.14 may result in a selloff back to 107.75.

EUR/USD Slams Into 0.9900

Bears are knocking on 0.9900’s door and may force their way through this support if the dollar continues to appreciate. The EURUSD is under a lot of pressure with bears enjoying the ride downhill. A solid breakdown below 0.9900 could encourage a selloff towards 0.9700.

GBP/USD Builds Downside Momentum

The BoE decision ON Thursday will heavily influence the GBPUSD near-term outlook. A hawkish central bank that moves ahead with a jumbo rate hike could throw pound bulls a lifeline. However, upside gains are likely to be capped by growth fears. Prices have the potential to sink lower if a daily close below 1.1350 is secured.

USD/JPY Trapped Within Range

Over the past few days, the USDJPY has been trapped within a 300-pip range with support at 142.00 and resistance at 145.00. The trend is bullish with prices trading above the 50, 100, and 200 SMA. A solid breakout above 145.00 could inspire a move towards 146.00 and higher. If prices sink back towards 142.00, we can see the USDJPY challenge at 139.50.

AUD/USD Breaks Below 0.6700

A stronger dollar continues to drag the AUDUSD lower. Should prices descend below 0.6650, this could trigger a selloff to 0.6520. For bulls to jump back in, prices need to trade back above 0.6700 with 0.6850 acting as a key level of interest.

Bonus: S&P 500

Appetite for riskier assets has been hit by mounting geopolitical tensions. This may translate to more losses on the S&P 500 which remains bearish on the daily charts. A strong move below 3810 could result in a selloff towards 3700 and 3636. If bulls can push prices back above 3905, expect a potential incline towards 3945 and the 100-day SMA at 4000.

Bonus: Gold

How gold performs this week will be heavily influenced by the Fed meeting on Wednesday evening. As highlighted earlier, the precious metal remains under pressure and could be in store for more punishment if the dollar and Treasury yields jump. A move below $1655 could swing open the floodgates, dragging prices towards $1600 and lower.

For more information visit FXTM.

XTB Announces Conor McGregor as Its Newest Global Brand Ambassador

London, 20/09/2022

XTB, a global fintech offering one of most popular investing platforms, has just announced the launch of their cooperation with famous mixed martial artist – Conor McGregor. He will be the global XTB brand ambassador for the upcoming two years.

  • It is with great pleasure that I announce our partnership with Conor McGregor. We wanted our new brand ambassador to be a global icon. Conor is one of the most successful athletes in the history of mixed martial arts who, thanks to his immense work ethic and continuous improvement, was able to be the first UFC champion in two weight categories. His story resonates well with our brand and strategy. At XTB we work hard to be able to offer our clients with top-notch technology and an innovative investing platform to help them achieve their investment goals. Determination, persistence in pursuing goals, the willingness to constantly develop and achieve the best results – these are also the features of a good investor. Conor as an athlete – and also a businessman – has the mindset of a winner. That’s why we decided to invite him to become the ambassador of the XTB brand – says Omar Arnaout, CEO of XTB.

Conor McGregor is a multi-weight UFC champion, entrepreneur, restaurateur, and global business and athletic icon. Hailing from Crumlin, Dublin, McGregor was a plumber’s apprentice and amateur fighter before bursting onto the UFC scene in 2013. He quickly rose up the ranks, winning the UFC Featherweight Championship in 2015. McGregor then made history by becoming the first fighter in UFC history to be champion in two weight divisions simultaneously, winning the UFC Lightweight Championship in 2016. McGregor is the largest draw in UFC history, headlining the top six most-bought pay-per-view events for the company. He is the most-followed UFC fighter on social media with more than 70 million followers across all platforms, and has set the record for the most career earnings by a UFC athlete.

Outside the Octagon, McGregor has found similar success. He founded Proper No. Twelve Irish Whiskey in 2018, which has become the fastest-growing whiskey brand on the market. In addition to Proper No. Twelve, McGregor has invested in a stable of business ventures including: TIDL Recovery Spray, McGregorFast fitness experience, the Black Forge Inn in Dublin, the Dystopia: Conquest of Heroes video game series, and Forged Irish Stout, among others. This diversified portfolio helped place McGregor at number 1 on the 2021 Forbes “Highest-Paid Athletes” list.

  • I am delighted to have become the official ambassador of one of the world’s leading investment companies for the coming years. I believe sport and investing require the same features: commitment, mental tenacity and the ability to set personal goals. That’s why I was happy to start a partnership with XTB – a recognized global investment company that supports its clients to facilitate their investment objectives – said Conor McGregor.

The announcement of the cooperation between Conor McGregor and XTB marks the start of the broker’s new global branding campaign in which XTB promotes a wide range of investment solutions it offers. In advertising videos with the new brand ambassador, the company explains that thanks to the easy access to XTB’s digital platform, numerous investing solutions are today available for everyone who is ready to start his or her investment journey.

With Conor McGregor as a brand ambassador XTB plans to continue its development. The number of the investing company’s clients worldwide has crossed the threshold of half a million. Thanks to the active global development and the systematically growing number of clients, the company strengthens its position on the investment market – XTB ranks among top five global brokers in terms of the number of active clients.

About XTB:

The XTB Group is an international provider of trading and investment products, services and technology solutions. The XTB Group entities are supervised by the world’s largest regulators, including FCA, CySEC and KNF. For over 17 years, the XTB Group has provided retail investors with immediate access to hundreds of markets around the world. XTB is a fintech company based on trust, technology and support.

Since 2004, the XTB Group has been expanding its business, which now covers 13 major markets in Europe, Latin America and Asia, gaining the trust of over 525,000 customers. Using their own award-winning xStation and xStation Mobile platforms, XTB Group entities offer access to over 5,500 financial instruments, including real stocks, ETFs and CFDs for Forex, indices, commodities, stocks, ETFs and cryptocurrencies. More at: www.xtb.com

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 81% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Fed Goes Large Again With More to Come

Written on 20/09/2022 by Lukman Otunuga, Senior Research Analyst at FXTM

Fed to Ramp Up Hawkish Rhetoric

Markets expect the U.S Federal Reserve will hike the target range by another 75bps at its meeting tomorrow. This would make it three jumbo-sized rate hikes in a row and take the Fed Funds rate up to 3%-3.25%, which is nearing “restrictive territory”. There is much speculation about whether the FOMC raise rates by a monster 100bps, but markets are giving this less than a one in five chance of this happening. The extension of the “dot plots” through 2025 will offer much insight into how Fed officials view the evolving economic cycle.

The central focus for FOMC policymakers at present is fighting raging inflation and bringing price pressures back to the Fed’s target of 2%. Front-loading of interest rate rises has been the weapon of choice for tightening policy while quantitative tightening ramped up earlier this month to $95 billion per month.

The latest inflation data came in hotter-than-expected and shocked markets into further raising the chances of rates staying higher for longer. August CPI figures highlighted the persistent and sticky nature of inflation, driven by shelter prices which have a lagging effect and continue to rise.

Any chance of a “hike of the century”?

After the shock US inflation report last week, money markets went into overdrive and saw over a 30% chance of a 100bp rate hike at tomorrow’s FOMC meeting. That probability has now come down to around 17% according to the CME FedWatch Tool. We’ve had plenty of hawkish Fedspeak recently, but it does seem that a mega-hike would probably unnerve Wall Street as the Fed hasn’t been willing to take that step before.

A rate move of that size may also imply some panic at the world’s most important central bank. It would increase the likelihood that the FOMC will overtighten policy and decrease the chances of a soft landing.

Fed Statement and Dot Plot in Focus

The statement language will be guided by the latest Summary of Economic Projections, which were last released in June. Meaningful changes in expectations are anticipated with the forecast for the Fed funds rate shown in the dot plot expected to be more hawkish. The previous projections saw rates at 3.4% at the end of this year, followed by 3.8% by the end of 2023. Markets currently see rates peaking at 4.5% in March and to be cut to 4% by December next year. Inflation forecasts are likely to be lifted while growth estimates are lowered.

Market Reaction and the Dollar

The greenback has hit multi-year highs this year while risk markets have suffered as the rate hike cycle has ramped up with front-loading. Tighter monetary policy increases the headwinds for risk assets, and this should help support the dollar going forward. In the near term, a 75bp “hawkish hike” is the minimum expected by markets.

For more information, please visit: FXTM

Disclaimer: This written/visual material is comprised of personal opinions and ideas. The content should not be construed as containing any type of investment advice and/or a solicitation for any transactions. It does not imply an obligation to purchase investment services, nor does it guarantee or predict future performance. FXTM, its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness of any information or data made available and assume no liability for any loss arising from any investment based on the same.

Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 81% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.