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What is FOMO in Trading? Characteristics of a FOMO Trader

- Reviewed by James Stanley, Nov. 24, 2021 FOMO – Fear of Missing Out - is a relatively recent addition to the English language, but one that is intrinsic to our day-to-day lives. A true phenomenon of the modern digital age, FOMO affects 69% of millennials, but it can also have a significant bearing upon trading practices. For instance, the feeling of missing out could lead to the entering of trades without enough thought, or to closing trades at inopportune moments because it’s what o

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Using the COT Report in Forex Trading

- Reviewed by James Stanley, Nov. 24, 2021 The COT report is a weekly sentiment report that can provide forex traders with important information on the positioning of currency pairs. Issued by the Commodities Futures Trading Commission (CFTC) the COT report can be cross-referenced with a trader’s underlying forex strategy. The forex market is not the only financial market included in the COT report analysis, which makes this valuable commentary for all traders. COT Report Analysis

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Dividend Adjustments 27th December 2021 - 3rd January 2022

Please see the expected dividend adjustment figures for a number of our major indices for the week commencing 27th December 2021. These are projected dividends and likely to change. IG cannot be held responsible for any changes made. Dividends highlighted in red include a special dividend, therefore some or all of the amount will not be adjusted. Amount in brackets is the expected adjustment after special dividends excluded (where shown on major indices). Dividend adjustments due to be posted

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4 charts show the current state of the Covid pandemic heading into 2022

Nearly two years into the Covid-19 pandemic, reported daily infections are rising again as the omicron variant spreads rapidly around the world, in countries ranging from the U.S. and the U.K. to South Africa and Australia. The World Health Organization labeled omicron a variant of concern. While much remains unknown about it, the WHO warned that the variant is spreading “significantly faster” than the delta strain and could change the course of the pandemic.   Stil

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FTSE 100, British Pound (GBP) Nudge Higher on Positive News Flow

FTSE 100 and GBP/USD Price, Chart, and Analysis Omicron may not be as severe as the Delta variant, according to recent studies. US Q3 GDP data beat market expectations. The FTSE 100 is trading around 0.4% higher in early turnover mirroring gains seen in the US yesterday and Asian markets overnight. News from South Africa that the risk of hospitalization from Omicron is substantially lower than the Delta variant, echoed by new studies from the Universities of Edinb

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DXY Index Weakens as US Dollar has Mixed Fortunes Before PCE Data. Will it Recover?

US DOLLAR, CHF/JPY, CRUDE OIL, OMICRON, CHINA, US DATA - TALKING POINTS: The US Dollar tumbled back inside key range as sentiment lifted. Encouraging Omicron study results lifted commodities and associated currencies. Equities moved higher ahead of US data. Will USD resume its uptrend? The US Dollar weakened against commodities and commodity-linked currencies while it fared better against the defensive Japanese Yen. With risk currencies appreciating, an unusual m

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Gold Prices Eye PCE Data but the XAU/XAG Ratio Shows Silver Primed to Outperform

GOLD, SILVER, XAU/USD, XAG/USD, GOLD-SILVER RATIO, BREAKEVEN RATES, PCE - TALKING POINTS Gold prices gain on flatter yield curve and rising breakeven rates Silver prices look set to outperform looking at the XAU/XAG ratio PCE data due out tonight may influence Treasuries, breakeven rates Gold and Silver charts look poised for more strength after overnight gains Gold prices are slightly firmer through the early Asia-Pacific trading session after a str

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The Future of Gold Miners: Bright or Lackluster?

Dec 22, 2021 By: James Blakeway, Tastytrade Gold investors saw back-to-back double digit returns for 2019 and 2020, at 18% and 25% respectively. Perhaps more impressive were the returns of the gold miner ETFs which outpaced both the Gold ETF (GLD) and S&P 500 (SPY) for the 2019, 2020 stretch. Whether utilizing the larger gold miners (GDX) or the small-cap, “junior” miners (GDXJ), investor had an impressive two-year run as miners were seemingly propelled by general stock index eupho

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Harami Candlestick Patterns: A Trader’s Guide

TRADING WITH THE HARAMI CANDLE: MAIN TALKING POINTS The Harami candlestick pattern is frequently used in forex trading to identify trend reversals or extensions. Technical traders respect the indications produced by the Harami candle which makes this pattern invaluable in a trader’s arsenal. This article will cover the following principal topics outlining the Harami candlestick pattern in forex: What is a Harami candlestick? Uses of the Harami candle in forex trading Har

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British Pound (GBP) – Mixed UK Q3 GDP Data, GBP/USD Nudges Higher

GBP/USD Price, Chart, and Analysis Mixed UK Q3 GDP data lends Sterling a small bid. Market liquidity continues to thin ahead of the holiday period. The UK economy grew by 1.1% between July and September this year, missing prior forecasts of 1.3% growth. The annualized rate however beta prior forecasts – 6.8% compared to 6.6% - due to an upward revision in the 2020 numbers. The latest data shows the UK economy is now 1.5% below where it was pre-coronavirus at Q4 20

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Stock Trader Sara Goldstein on Developing an Expertise

STOCK TRADER SARA GOLDSTEIN ON DEVELOPING AN EXPERTISE Sara Goldstein clearly remembers the cold day in January 2015 when the Swiss National Bank suddenly dropped its cap on the franc sending the safe-haven currency soaring against the Euro. In minutes, the Swiss Franc rose nearly 30% against the Euro. The move bankrupt some stock traders caught on the wrong side of the trade. “There are different types of volatile days. There are the ones you can predict, like a Fed rate decision, and th

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Trading Journal: What it is and How to Create One

- Reviewed by James Stanley, Nov. 24, 2021 WHAT IS A TRADING JOURNAL? A trading journal is a log that you can use to record your trades. Traders use a trading journal to reflect upon previous trades so that they may evaluate themselves, and you should too! You can use journals to evaluate where you can improve your trading. They are a useful form of record keeping. WHY TRADING JOURNALS ARE USEFUL Main reasons to keep a trading journal include: They help you identi

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Nasdaq Pullback: Where’s the Santa Claus Rally?

Nasdaq Pullback Dec 20, 2021 By: James Blakeway, Tastytrade Whether you want to blame it on the spread of the Omicron variant and impending global lockdowns or the upcoming slowdown of the Federal Reserve’s asset purchase program, the broad stock indices are taking a turn. Gone are the days of back-to-back, nonstop rallies in the S&P 500, Nasdaq-100 and Russell 2000, for now at least. The S&P and Nasdaq hit all-time highs on November 22nd, while the Russell found its high

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7 Step Trading Checklist Before Entering Any Trade

- Reviewed by James Stanley, Nov. 24, 2021 The video above focuses on the main aspects of the trading checklist and this article seeks to unpack further aspects of the trading checklist in greater detail. WHY YOU SHOULD USE A TRADING CHECKLIST Implementing a trading checklist is a vital part of the trading process because it helps traders to stay disciplined, stick to the trading plan, and builds confidence. Maintaining a trading checklist presents traders with a list of questions

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Impact of Bank of England Rate Hikes on FTSE 100, FTSE 250, GBP/USD, GBP/EUR

GBP, FTSE 100, FTSE 250, BOE Analysis and News BoE Rate Liftoff Despite BoE’s Cautious Communication Historical Performance of UK Assets During BoE Hiking Cycles The Bank of England surprised market participants yet again by raising interest rates by 15bps to 0.25%. I say surprised given that ahead of the December meeting, notorious MPC hawk, such as Saunders cast doubts over a rate rise, having mentioned the potential advantages of delaying a hike in order to assess the i

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S&P 500 Slide and Dollar Surge Without Clear Break as Liquidity Goes Haywire

SPDR S&P 500 ETF, NASDAQ 100, VIX AND MONETARY POLICY TALKING POINTS The S&P 500 completed a volatile range swing to end this past week, but the index clearly lacks for an explicit bearing In a mirror to the S&P 500, the Dollar’s rally has pushed the upper boundary of its own multi-week range without committing to a clear trend While there is some notable event risk and open-ended themes like monetary policy ahead, the name of the game is liquidity until the new y

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