Monthly Archive August 2017

ByAdmin

FIBONACCY WHEN RANGE IN WHICH?

forex,forexfx,fx,invest,investfx,investment,fibonacci,trade,tradefx,trader,money,monetary,financial,assets,earnmoney,earn,exchange,foreign,foreignexchange,buying,seller,currency,monetary,policyFIBONACCY WHEN RANGE IN WHICH?

The only variable in the analysis methods mentioned above is not the price. The time variable should also be examined extensively. In this context, Fibonacci Sequences can be used in price changes as well as in time intervals. When time intervals are set, the figures in the Fibonacci Series are bases in days, that is, they are divided into trend day intervals of 1-1-2-3-5-8-13-21-34. This analysis is used to determine the duration of the fluctuations.

 

WHAT ARE FIBONACCI BANS?

The Fibonacci Arcs are formed by the reference line drawn at the ceiling level from the trend base level observed by the parity. Fibonacci arcs are called springs that are plotted at the 81.8%, 50% and 38.2% levels of this line.

In the Fibonacci Arcs analysis method, if the price is getting closer to the pedestrian, the support is interpreted as resistance if it approaches from below.

 

WHAT IS FIBONACCI FANS?

Another use of the Fibonacci Sequence in financial analysis is the Fibonacci Fan Lines.

As we mentioned in other Fibonacci Analyzes, a guide line is drawn on the base and ceiling points in Fibonacci Fans. This guideline should be drawn to the ceiling point of the intermediate trend rather than the main trend.
Fibonacci FAN Analysis is not a straightforward method of analysis. This is because of the increase in the margin of error in volatile markets or periods. For this reason, it is recommended to apply it in more stable stabilized markets.
ByAdmin

What is Fibonacci Series?

What is Fibonacci Series?

 

The Fibonacci Sequence is a series of numbers obtained by summing each number by its previous number. The feature of the numbers in the Fibonacci Dice is that the numbers in the Fibonacci Sequence are proportional to the previous ones and that the series is approaching the golden one.

 

The Fibonacci sequence does not have to start with the number 1. It can start with any number.

For example, 0-1-1-2-3-5-8-13 is a Fibonacci Sequence, but may also continue as the Fibonacci Sequence, 4-4-8-12-20-32-52-84.

 

Why is Fibonacci Series called Fibonacci Series?

The Fibonacci series was found by Leonardo Fibonacci. Leonardo Fibonacci, born in Italy, discovers these numbers when he searches for a problem and decides to give his name.

 

 

Why is Fibonacci Series so Important?

Fibonacci Series As we have mentioned in the title, the numbers

in the series are  divided  by the number of the previous  number and the number of the gold is  approached within  the objects of

our lives and these numbers are important a nd mysterious. The golden  ratio   found in the  Fibonacci Series is  found in ancient Egyptians. The Greeks, like the  Egyptians, used this number in architecture. To put it simply,

The geometric orbital between the parts that make up the whole.

If we try to explain Fibonacci Sequence with examples from our daily life,

The ratio of our index finger to the previous node is the golden ratio.

 

The rate of gold we can reach with the Fibonacci series also arises from the proportion of sensory organs in the human face.

For example, the area of ​​our ears, from under the nose to the jaw, contains the golden ratio.

In Egyptian pyramids, the ratio of the base to the height gives the golden ratio.

 

USE OF FIBONACCIR DESIGN IN THE FINANCE SECTOR

FIBONACCI CORRECTION LEVELS (RETRACEMENT)

The Fibonacci series is used in the financial sector to estimate the value of the receivables of financial assets. The Fibonacci Sequence used in technical analysis applications is the gold bulb that we can reach. Generally used rates are 1.618 and 1.232.

 

E.G / Let’s consider a parity that has seen the lowest price of 1.0520 and the highest price of 1.1376 on the basis of time.

When we subtract the high price from the low price, 1,1376 – 1,0520 = 0,0856. If we hit this value with 1.272 above, it will be 0.0856 * 0.232 = 0.0198. When we add this value to the high price of 1.1376, it will be 1.1578. This emerging value reveals the trend we expect to see the parity rise.

 

As can be seen from this example, it can not be expected that the movement of a parity in the financial sector will be uninterrupted. The Fibonacci Series provides analyzes that can help in determining this trend.

Another use of the Fibonacci series in the financial sector is Fibonacci Time Spans.

ByAdmin

What is Inflation?

What is Inflation?

 

Inflation is an increase in the prices of goods and services. However, prices of goods and services may increase or decrease over time. Inflation is not just an increase in the price of a particular good or service, but a steady increase in the overall level of prices.

In other words, it is not inflation that only the prices of some commodities increase continuously or the prices of all commodities increase one time.

For example, the monthly inflation rate is 1 percent, which means that the general level of prices in that month increased by 1 percent compared to the previous month. The fact that the annual inflation rate is 30 percent means that the prices have increased by 30 percent on average compared to the previous year, for example, a commodity basket purchased for 200 TL last year could only be taken up to 260 TL this year.

 

Decrease in inflation; The decrease in prices, the increase in people’s purchasing power, and the increase in income. Declining inflation means less price increases, less purchasing power of people, and stability and prosperity.

 

 

Inflation rates are also very influential on exchange rates, as they can directly affect the steps taken by central banks in monetary policy. Because the inflation rate is the leading indicators for the changes in interest rates of central banks.
For example,
in the event that the inflation rates deviate upward from the targets of the central banks, the interest rate increase expectation is in the foreground, whereas if the inflation rate is below the targets of the central banks, the interest rate decrease expectancy is foreground.

ByAdmin

What is the index?

What is the index?

The stock market index is a value that contains certain stocks and is the result of calculating these stocks with different weights. The weight of each feeler in the index value varies.

 

The most active stock market indexes in terms of transaction volume in the world are Dow Jones, Nasdaq, S & P500, Ftse and Xetra Dax. In Turkey, there are more than one index under the Istanbul Stock Exchange. The types of indices / indexes that the most transactions are realized in stock exchange Istanbul; BİST 100 index, BİST 30 index and BİST Banking index.

 

ENDEX CALCULATION

 
Stock market indices are calculated according to the weights of the shares held.For example; In the Dow Jones 30 index, there are 30 active stocks. Some of these shares; Goldman Sachs, Microsoft, Pfizer, et al. The shares in the index are revised with certain periods, and the addition of indexes or additions of indexes is carried out.
ByAdmin

What is Commodity?

What is Commodity? – 2

 

Commodities are the goods given to the whole goods such as gold, silver, oil, natural gas, copper, cotton, corn, wheat, sugar, coffee which is the topic of the trade. The market in which these goods are traded is called the Commodity Exchange. Factors affecting commodity prices include seasonal changes, natural disasters, economic activity, supply-demand. Investors who want to invest in commodities will contribute to making the right investments to follow the effects of these factors. Commodity products are usually traded on futures markets, but there are spot markets for some products.

 

For example; The CBOT (Chicago Mercantile Exchange) is the largest commodity exchange in the world, where commodities are exchanged for futures, providing cash or physical reconciliation at maturity. Commodities traded on the futures market are divided into speculative and hedging purposes. Traders trading in commodities for hedging are generally manufacturers and companies that use these products in the industry. Investors are the ones that perform speculative commodity trading.

 

HOW TO PERFORM COMMODITIES IN THE FOREX MARKET? HOW DOES SELL TRANSFER?

The Forex Market for commodity trading is fast and easy to access and 5 days and 24 hours a day live trading is very practical, with only one click giving you the opportunity to make a profit and lower your profit. Trading transactions are not physical and are based on profit / loss difference from the difference between buying and selling prices.

ByAdmin

What is a Micro Lot?

What is a Micro Lot?

Increasing trading volume in Forex markets plays an important role in the processing of more players in forex markets by attracting interest to professionals and / or institutional investors as well as to those with different expertise and / or lower guarantees. Leveraging trades on forex markets leads investors with low collateral to get higher profit / loss due to leverage.

 

While trading in Forex market positions, such as BUY (BUYING) or SELL (SELLING) trading in USDTRY, the Meta Trader 4 trading platform, QNB Finansinvest trading platform, which uses more than 90% of all FX institutions worldwide, The position can be opened in various sizes starting from the volume. If the number of digits, called digits, is two, and the last digit is different from zero (0,01), this is called a micro lot. Thanks to the micro lot application, it is also possible to open position sizes of 0.02 / 0.13 / 1.27.

 If the transaction volumes are written as 0,10 / 0,20 / 1,50 / 2,70, ie the last digit (second digit after the conviction) always remains zero then the mini lot application is meant here. This means that the minimum lot size that forex traders can use is not a micro lot but a mini lot.

 

Micro Lot Size; 0.01 Lot = 1,000 br. In other words, if the position is to be bought in USDTRY, a position is opened with a base exchange rate of US $ 1,000 in the initial currency. If the size of the position taken is, for example, 1.56 lots, then the position is set at $ 156,000.

ByAdmin

What is Rectangular Formation?

What is Rectangular Formation?

 

Rectangular graph formation occurs when prices are touched by both levels for a period of time between support and resistance levels.

These levels of support and resistance can be horizontal, as well as down or up-view channels. What is important here is not that the support and resistance levels are in the form of horizontal or up / down channels; Are parallel to each other.

The formation of the rectangle starts with the price movements rising from the support level, then comes back to the support level again after reaching the level of resistance and then completes by making a movement towards the resistance level again.

Conversely, it is also possible to create a graphic which starts with a withdrawal from the resistance level.  Rectangular graphic formation
occurs  when  the  prices are at  least  twice the level of support and
twice the level of resistance, in other words the formation of at least
four movements.  It is not possible  to talk about the  formation of a
rectangle if the prices move to any side breaking the level of support
or resistance before the completion of the four movements.

 

The entry point to the position is determined according to which side of the price will break after the completion of the fourth movement. The target price level is the distance between the support-resistance levels that form the rectangle, up or down, from the fracture level.

ByAdmin

WHAT DOES THE DEVELOPMENT SAMPLES HAVE?

WHAT DOES THE DEVELOPMENT SAMPLES HAVE?

 

For example; Egypt had serious pressure on the exchange rate due to the fall of the US dollar to the black market. The rise of the black stock market had serious consequences for Egypt’s domestic production and investments. For this reason, Egypt devalued its currency by 14% against the US dollar in March 2016.

 

After the devaluation, the Egyptian stock market showed very serious rises, but against it the black market forced the Egyptian central bank to take more precautions. On June 12, 2016, the Egyptian bank once again devalued the value of the Egyptian Pound against the US dollar.

 

Another example of devaluation is China. China, which is experiencing serious problems with the credit market and economic contraction in 2015, has devastated Reminbi, the local currency. China, repeating this devaluation movement several times over the course of the year, warned China that it intervened with the US on monetary policy instruments on global trade. By devaluing the countries’ currencies, trying to gain advantage in global trade and being advantageous in exports is seen as the main cause of currency wars.

ByAdmin

What is devaluation?

What is devaluation?

 

 

Devaluation is a monetary policy tool used by countries that implement a fixed exchange rate regime or a semi-fixed exchange rate regime. Devaluation is the reduction of the value of an official currency of an country against other country currencies or against a group of currency values, or at a currency standard. Devaluation is often confused with depression and is exactly the opposite of revaluation.

 

 

Devaluation is a tool used by the government or central bank of the fixed country for the relevant currency. One of the most fundamental reasons for devaluation is that the country reduces the value of its money to compensate for trade deficit. Devaluation is to lower the value of currency and to make exports cheaper and become more advantageous in global trade competition. However, imports become more expensive, and domestic households increase demand for products from domestic producers while expecting a reduction in demand for imported products.

 

Devaluation seems to be a means of positive monetary policy, but there are also negative effects. Making imports more expensive can make domestic production less effective, or making exports cheaper can cause inflation by increasing demand very seriously.