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China’s Impact on the Global Economy

China is one of the world’s largest economies. In fact, when measured by the quantity of goods and services produced, it is now the biggest economy. In 2016 it is expected to account for nearly 18% of world economic activity, according to the International Monetary Fund. When China’s economic growth slows down, or its currency is allowed to fall, it will have an effect on the foreign exchange market and other economies across the globe. This will, in turn, have an impact on forex traders, consumers, and businesses all over the world. Devaluing the Yuan Since August of 2015, China has allowed its currency to depreciate. Unlike many of the country’s trade partners, they have a managed currency policy, which means they can control the yuan’s daily movements through intervention in the forex market. For forex traders, China is critical when it comes to evaluating currency-trading opportunities. They must look at China’s economic data since any surprise will impact expectations surrounding the country’s exports and imports. It shows how important it is to be acutely aware of the markets when you work in this type of industry. While devaluing your currency to cushion your economy may not be anything new, ...

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Thailand Housing Industry Ready To Climb With Economy

The best time to get in on an investment is not only when the price is low but also before everyone else jumps on it. Although the economy is not booming right now, it also is not receding. The housing sector tends to be the last to react to major shifts in other industries. Economic muscle Recently, the Thai government began working with China not only to gain better military hardware but also advanced military training and technology. Although the feds will not allow foreign military bases, they are willing to engage in joint exercises and share landing strips. The administration is focusing on moves that will be most beneficial to Thailand’s security and future. International infrastructure projects such as a railway system stretching across the Land of Smiles that will connect with China provide benefit without Thailand shouldering the full financial burden. The railway system not only will improve local business operations, it also will encourage more foreign investment and tourism. Meanwhile, Thailand exercised its economic influence by reducing exports of rubber to raise the price of the commodity on the world market. The feds also agreed to pay local growers more than the market price. China is the ...

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Steering Clear of the 6 Major Novice Mistakes of Forex Trading

Forex Trading Mistakes

You’re new to forex trading, and you’re not entirely confident in your abilities. That’s fine. You’re not alone. At the same time, you don’t want to be just like most new traders who end the day at a net loss. Here are some of the more common mistakes you can make, and how to avoid them. You Don’t Make Consistent Decisions Of all of the forex trading mistakes, this has got to be the most common. Almost everyone has a problem with consistency when they first start. Everyone figures that the forex market is simple enough. You have a 50/50 chance of profiting. You either win or you lose on every trade. But, there’s more to it than that. Sure, you either win or lose on every trade, but there’s a lot that happens between and during trades that affects your profits. A successful trade involves making disciplined decisions about stop losses, when to take profits and when to ride out the trend. Most new traders don’t have a clue about how to make rules for themselves and how to stick to those rules. So, this is the first step you can take that will keep you out of trouble: ...

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Broaden Your Investing Horizons with Foreign Currency Trading and Emerging Markets

In trying to become a financially independent person, I’ve certainly realized that it requires having diversity in my investments. While I am always trying to keep my Eyes on the Dollar, maybe it’s time I also kept my eyes on the peso, yuan, real, or rupee. I think many investors stick with what is most familiar, the US stock exchange,  when we really need to be broadening our portfolio with international and emerging market stocks or currencies. Luckily, there are several options for those who want to add some international flavor to your investments. Foreign Currency Exchange Foreign currency exchange or Forex trading has become a popular topic in financial blogs. You can take a Forex trading course, then set up an account through a broker and buy or sell foreign currency, depending on whether you think that particular currency is going to rise or fall. Forex is experiencing huge growth in availability in many international markets, including India, Latin America, and the Middle East. Because this market exists in several time zones, it is pretty much accessible 24 hours a day for those who don’t like typical Wall Street hours.

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