A jump in the pound just before the Bank of England's rates decision was announced will be investigated by the markets' watchdog. The Financial Conduct Authority said it is "looking into" claims that some currency buyers might have known the decision before it was made public at midday on Thursday. Before the Bank announced its intention to hold rates at ...
Paul Tudor Jones II was born in Memphis, Tennessee. In 1976 he earned a bachelor’s degree in economics from the University of Virginia. He was accepted to Harvard Business School in the 1980’s but he did not enroll. PTJ was a commodities broker for E. F. Hutton & Co between 1976-1980. PTJ was mentored by cotton trader Eli Tullis. Tullis was a representative ...
This is the only way you can really stay on top of your trading. Allow yourself to make mistakes - and don't make the mistake of being scared to prove yourself wrong - you'll be in a much better position for it in the long run. You have to be comfortable with accepting that mistakes are inevitable, especially in the early stages. It's all part of the learning curve.
However, this can steer you away from a carefully planned trading strategy. Even worse, it could cause you to make rash decisions, with the hope of turning that losing trade around, causing you to lose much more money than you would have if you had just left it to play out. Instead of focusing on the long term plan, your mind wants to focus on making the best out of this short term losing position.
More specifically, the spot market is where currencies are bought and sold according to the current price. That price, determined by supply and demand, is a reflection of many things, including current interest rates, economic performance, sentiment towards ongoing political situations (both locally and internationally), as well as the perception of the future performance of one currency against another. When a deal is finalized, this is known as a "spot deal." It is a bilateral transaction by which one party delivers an agreed-upon currency amount to the counter party and receives a specified amount of another currency at the agreed-upon exchange rate value. After a position is closed, the settlement is in cash. Although the spot market is commonly known as one that deals with transactions in the present (rather than the future), these trades actually take two days for settlement.
×