Toronto, Canada (PRWEB) February 1, 2009
THE EURO TAKING A CHUNK OF THE DOLLAR'S FORCE - InvestTechFX the worldwide leading Forex trading 1 PIP spread Analyst says that the Euro is relatively stable, having not depreciated so much in the recent economic crisis. Compared to the British pound, the Euro has actually appreciated. The Euro/US Dollar pair is now the number one tradable pair in the world Forex market. Investors believe in the strength of the European Union, and its currency the Euro. It is very hard to manipulate because it affects a market of 500 million people in nearly thirty countries powering the EU in the European continent. As of late 2008, the Euro is the currency with the highest combined value of cash in circulation in the world today. It is expected that in the near future the Euro could replace the U.S. dollar as the world's primary reserve currency.
THE SWISS FRANC - SAFE HAVEN
InvestTechFX the global leading Forex trading 1 PIP spread Director of Forex Analysis Department highlights that the Swiss franc is a relatively stable currency. Investors often buy it in times of an uncertain world economy. Since its days of being a safe shore in the Second World War, Switzerland has consistently shown reliability. Its banking system is a solid bedrock in the world, due to its stable economy. The Swiss, and their franc, survived a great crisis. All over the world, investors have returned to this safe shore. Furthermore, the Swiss franc is relatively static. When an investor's aim is to make money fast, he will put more weight in exotic investments such as Eastern European and Far Eastern currencies. When the investors are keeping a close watch on their money, they stick with the Swiss franc, maintaining status quo.
THE AUSTRALIAN DOLLAR - FAR FROM THE EYE OF THE STORM
InvestTechFX the worldwide leading Forex trading 1 PIP spread notes that the Australian dollar is a currency that has remained notably strong during a time when the market has been dominated by the American dollar. Australia is not a central player in the financial market, which can be a disadvantage at times. The Australian economy is more conservative and established on self-consumption. When the financial market is in crisis, the Australian dollar's periphery nature can be a big advantage. Compared to countries that depend on foreign workers who send money to their native countries each month, Australia carefully selects the work force and offers equal rights. Real estate prices in Sydney and Melbourne are keeping steady, even in these uncertain times. Unemployment is stable and the local stock market absorbs the affects of the financial crisis. These are all sure signs of a strong and independent currency.
JAPANESE YEN - REACHING ITS ZENITH
InvestTechFX the global leading Forex trading 1 PIP spread Senior Analyst notes that the Japanese yen has become much stronger in the past few months. The Yen is now the third most traded currency in the Forex market after the U.S. dollar and Euro. The trend of investors borrowing money in Japan and investing in other countries due to Japan's low interest rates is nearly over: all countries around the world have lowered their interest rates. The time of carry-trades is passing, and investors are now choosing to hold to hold on to the Yen. The forecast for this currency is quite strong at present.
THE BRITISH POUND - UNDER HEAVY PRESSURE
InvestTechFX the leading Forex trading 1 PIP spread Expert comments that unless you are doing business in or with the UK, now is not the time to hold the British pound. Recently, the pound has weakened significantly across the board. InvestTechFX Currency Expert states that the sinking of the British pound in the last year was unexpected. As a result, the British Government decreased interest rates in a few stages, with the intention of strengthening the local currency. The fear of inflation continues to damage the country's currency, with the ultimate result of reducing British wealth. Exposure to the credit crisis has only magnified the pound's struggle. For the investor, it is better off to avoid this royal island's currency for the time being.
CRUDE OIL VALUE PLUMMETING
InvestTechFX the worldwide leading Forex trading 1 PIP spread Analyst highlights that after a few months plunge in the price of oil, we believe that the nadir has been reached, and it is now a ripe time to invest in this commodity. Investors initially were scared by the prospect of a major recession, and although serious, the world economic downturn does not match the steep drop in the price of oil. It is simply out of proportion. Until alternative sources of energy become commonplace and inexpensive, consumers will continue to heat their houses with oil and automobile owners will pump their gas tanks full of crude. Finally, with OPEC's cut in oil production in December 2008, supply and demand will soon again become in sync with each other, with the subsequent effect of raising oil's price in the marketplace. Peaking with a price close to an all-time high of 150 dollars a barrel in mid 2008, the black gold has dropped sharply to a low of nearly $30 dollars a barrel by the end of 2008. The market will correct itself so that oil's value will rise in the near future.
CURRENCY VS GOLD
InvestTechFX the global leading Forex trading 1 PIP spread Senior Commodity Analyst comments that currency fluctuates more than gold. It is deeply connected to change and to movement, which makes it highly volatile. Investing in currency is considered a risky move, during times of high volatility. It is well known and used quite often by hedge funds and Forex traders. In times of financial crisis, an investment in currency can be profitable, if the trader follows the trend. On the other hand, investing in gold is a safer move for jittery investors. Gold can be a good investment in times of uncertainty, as this precious metal's value is well insulated from economic fears. Worldwide, gold has made an outstanding 250% jump in the last two years. Starting in 2006 with a low of $400 per ounce, Gold jumped dramatically to $1000 per ounce in 2008. Today, Gold stands at approximately $900 per ounce. While currencies are fluctuating dramatically in these uncertain times, gold stands in stark contrast keeping relatively calm. http://www.investtechfx.com