THE FOREX MARKET
A BRIEF HISTORY
In the aftermath of WWII, delegates from 73 nations met in Bretton Woods NH, United States, for the purpose of establishing an international settlement of world currencies. The main purpose of the Bretton Woods Accord, as it would come to be known, was to prevent devaluation of a nation’s currency by establishing a reserve system for lending currency to nations that were devastated by the atrocities of the war. In essence, a reserve system was established whereby all foreign debts could be settled in US dollars and the dollar in turn was backed by gold reserves.
In 1971, U.S. President Richard M. Nixon signed an executive order that took the United States off the gold standard and allowed the currency to float freely in the marketplace. After some resistance, due in large part to the importance of the US Dollar in world trade, other world currencies then followed suit. By 1973 the world saw the rapid onset of freely floating currencies from nations throughout the globe and the evolution of the Forex markets began.
The Forex (“foreign exchange”) market provides the mechanism by which all international transactions take place. Whenever a transaction is made in a foreign country the settlement must also be paid for in the nation’s currency where settlement occurs. This is known as currency conversion. All exporting and importing throughout the world is dependent upon the conversion of currency from one denomination to another. For these reasons, the Forex markets constitute perhaps the most important financial markets in the world affecting virtually all other financial economic indicators (Explained in more detail below).
In many ways the dynamics of the Forex market are vastly different than virtually any other market in the world. These dynamics include the size, structure, leverage, and the opportunity that this market presents to investors. Most importantly, The Futures Wizard is able to consistently identify profitable opportunities in the Forex marketplace.
In terms of trading volume, the Forex markets are by far the largest financial markets in the world. The unique nature and enormity of these markets exemplifies the manifestation of pure competition. Indeed, the combination of the size of these markets and the inherent competitive nature of them, are the elements that create perhaps the world’s most fascinating financial instruments.
Trading volume in Forex transactions, according the Bank for International Settlements triennial report of 2016, revealed the following breakdown in daily Forex transactions with the total aggregate volume estimated at $5.1 trillion per day:
• $1.654 trillion in spot transactions
• $700 billion in outright forwards
• $2.383 trillion in foreign exchange swaps
• $96 billion currency swaps
• $254 billion in options and other products
Presently, the average daily volume of trading in the Forex markets is 25 times the volume of all equity markets worldwide. While it is true that The Futures Wizard (“TFW”) generally considers liquidity to be one of the most significant factors in identifying market efficiency, there are other factors under the surface that can influence investor parity and the comparative advantages that may exist.
THE STRUCTURE OF THE FOREX MARKET
In the futures markets, valuation is typically based on the pricing of several currencies in relation to an underlying currency being quoted. In the Forex markets all currency quotations reflect the value of one currency in relation to a single “opposing” currency. This one on one structure of the forex markets is what is commonly referred to as “pairing.” As a result of this structure, every valuation, or disseminated quote, is based on currency “pairs.”
The mechanics of Forex trading involves the simultaneous buying of one currency and the selling of another currency. This process completes a currency “pair” and is the common nomenclature for all Forex trading. With the exception of the Euro, the first two letters in a given Forex quote represent the country and the third letter identifies the actual name of the currency (For ex. “USD” denotes the United States dollar).
Foreign exchange is traded in an over-the-counter market where broker/dealers negotiate directly with one another. There is no central exchange or clearing house as there is with most other financial instruments. The largest geographic trading center is the United Kingdom, primarily London, followed by the United States primarily in New York. When the International Monetary Fund calculates the value of its special drawing rights every day, they use the London market prices at noon that day. The Forex markets do not have a structured mechanism for the settlement of prices.
This decentralized market is comprised of a network of dealers that largely emanate from what is known as the “inter-bank market.” This market is a network of large banking institutions that are interconnected and display quotations based on the bid and asking price for currency pairs. Central banks, large institutions, and hedge funds comprise the largest share of the marketplace.
What may seem at first glance to be a detriment to the attractiveness of trading is actually, and ironically from a traditional standpoint, what engenders the unique opportunities and comparative advantages that are prevalent in the Forex market.
The purest form of unregulated free competition is what gives rise to the essence of the credibility, liquidity, and ultimately the efficiency of the world’s largest financial market. As will be discussed in further detail below, the only caveat is the manner in which these markets are accessible to the retail investor.
For every currency pair there is one “base” currency and one “counter” currency the base currency is always placed on the left and it is always set at a value of 1. The counter currency (also referred to as the quote currency) fluctuates in relation to the base currency.
Like all financial markets, the Forex markets are quoted with “bid” and “ask” prices. The bid is what potential buyers are willing to pay for a particular currency pair and the asking price is what sellers of a given currency pair are willing to sell it for. Unlike futures markets, or virtually any other regulated market, the structure and terms of particular trades often depend on the dealer/broker/or banking institution where the trades are executed – in more practical terms, this means where a trading account is maintained.
Virtually all currency pairs are quoted in 4 decimal places with the exception of the Japanese Yen which is quoted in 2 decimal places. The standard “lot” size of all currency trades is 100,000 units. All trades in the Forex market are based on either the standard lot size or some fraction of it.
For example, some dealers will place an added decimal to the quoted price of a given currency pair for the purpose of calculating lot sizes that are denominated in fractions of the standard lot size. A fifth decimal place would exist to display the quotation for lot sizes that are 1/10 of the standard lot size or for quotes that are based on 10,000 units.
Forex pairs are devised in a manner that is analogous to a numerator and a denominator in mathematical division. The numerator is the “base” currency with the denominator denoting the “counter” (or quoted) currency. For example, for the following quote of the currency pair involving the US dollar and the Canadian dollar;
USD/CAD = 1.3400
The currency to the left of the slash (“/”) is the base currency (in this example, the US dollar) and the currency on the right is the counter currency (in this example, the Canadian dollar). The base currency will always be placed to the left of the slash mark and, again, will always have a value of 1.
This quotation indicates that 1 US dollar (the base currency and numerator) is the equivalent of 1.3400 Canadian dollars (the counter currency and denominator). Put simply, 1 US dollar has the same purchasing power (value) as 1.34 Canadian dollars and inversely 1.34 Canadian dollars has the purchasing power (value) of 1 US dollar. With the exception of weekends, the Forex markets trade virtually around the clock.
Trading Sessions According to EST (Eastern Standard Time):
|Europe||London||3:00 am||12:00 noon|
|America||New York||8:00 am||5:00 pm|
|Asia||Tokyo||7:00 pm||4:00 am|
|Pacific||Sydney||5:00 pm||2:00 am|
THE VALUE OF “PIPS”
In much the same manner that the value of a point in futures markets is ultimately determinative of profit and loss, an understanding of the Forex market demands an understanding of the smallest unit of measurement for which any currency pair can fluctuate. This smallest unit of movement in any currency pair is known as a “pip.” This acronym stands for “price interest point” and is also referred to as “percentage in point.”
The publications disseminated by The Futures Wizard are usually based (unless specifically stated otherwise) on pips and a standard lot size of 100,000. Like many of the variables in Forex markets, the value of a pip is not constant and is based on the value of the counter currency.
The number of pips between the bid and ask is what is known as the spread. The spread is a particularly important variable in the Forex markets and in Forex trading. Spreads are an exceptional indicator of market liquidity and are also the mechanism for which all Forex “brokers” receive their remuneration (as explained below, in actuality there are no Forex brokers in the traditional sense and most act as some form of “dealer”).
Very few firms that execute Forex transactions charge a commission. Do not be misled by that fact. The manner in which these firms profit is through the spreads (or the difference in the quoted price between the bid and ask of a currency pair). We will discuss the features you should look for when deciding on a particular firm to open an account with.
CHANGES IN PIP VALUES
In USD-denominated accounts where the U.S. dollar is the second or counter currency the pip value is virtually always equal to $10 in a standard lot. Whenever the U.S. dollar is the base currency or is not one of the currencies involved in the pair, such as in EUR/GBP (known as “cross currencies” which will be discussed in more detail below) then the pip value is based on a percentage of the counter currency in the pair.
We have provided a chart that delineates many of the pip values for the lion’s share of currency pairs for which TFW will publish predictions. A reliable method for determining the value of a pip in any given trade, and hence the profit or loss of a transaction, can be summed up by the following rule;
Typically, a pip is 0.01% of a single unit/lot, or the fourth digit after the decimal point, of the counter currency. In EUR/USD, for instance, a move of 1.0001 to 1.0002 would be a single pip move and would have a value of $10.
There is an exception to the rule. Some currencies (such as the yen) delineate a pip as 1% of a single unit of currency which is only two decimal places to the right. In trades involving the USD/JPY, a move of 120.01 to 120.02 would be a single-pip move.
One of the biggest sources of confusion for those new to the currency market is the standard for quoting currencies. In the next section, we will go over currency quotations and how they work in currency pair (Forex) trades.
“THE FUTURES WIZARD WILL ALWAYS DISSEMINATE THE PIP VALUES RELATING TO ANY PREDICTION PUBLISHED”
READING A FOREX QUOTE
Direct Currency Quote vs. Indirect Currency Quote
Currency pairs may be quoted in one of two ways. A direct quote entails a Forex pair in which the domestic currency is the base currency. Indirect quotes entail quotes emanating from Forex pairs where the base currency is the foreign currency. For example, a direct quote of USD/JPY indicates that the Yen is the (variable) foreign currency and the US dollar is the domestic currency. When the United States is the base currency than the pairing would indicate a direct quote since this quote will inform you of how much of a foreign currency your currency (here the USD) is able to purchase. For all US accounts, whenever the USD is the base currency (the one to the left) the quotation is considered to be a direct quote.
There really is little import or practical value in the implied confusion that emanates from direct or indirect quote labeling. The proper labeling of quotes is simply a matter of geography. In the end, what is important is the cogent ability to understand what a given quote means and how to interpret that quote in a manner that allows a trader to understand profit and loss based on a particular transaction. Put simply, how much of a foreign currency your currency can purchase= a direct quote of your currency.
In the Forex market, most currencies are traded against the U.S. dollar, and the U.S. dollar is frequently the base currency in the currency pair. In these cases, it is called a direct quote in the United States.
The exception to direct quote labeling in USD trading in the United States, emanates from what are commonly referred to as the Queen’s currencies. In the early stages of foreign exchange the British pound (GBP) was the world’s dominate currency. In harmony with those traditions, the countries that were tied to the British Empire are quoted as base currencies when paired with the US dollar. The Euro is also another exception to the rule.
In the aforementioned instances, what we see is an indirect quote. The conversion between direct and indirect quotes is mathematically simplex and follows this simple formula:
Direct quote= 1/ Indirect quote
Even though the USD may not always be the base currency in a quotation it is important to realize that the overwhelming percentage of all Forex trades involve the USD (United States dollar) as one of the currencies in a given pair.
Whenever a currency pair does not include the US dollar it is always considered to be a cross currency transaction. The most common cross currency pairs are the GBP/CHF, GBP/JPY, EUR/GBP, EUR/CHF and EUR/JPY. There is an abundance of cross currency pairings available to trade in the Forex markets. There is also an abundance of opportunities that arise in what The Futures Wizard calls “exotic” cross currency pairs. These opportunities will typically only be disseminated to the more sophisticated membership levels.
For certain, the majority of our predictive publications will be based on what is coined the “majors” which are currency pairings that include the USD. The Futures Wizard has made it perfectly clear that the greater the liquidity of a particular market the higher the likelihood that the market is also efficient.
Regardless of which type of pairing is involved in any of our publications it is important to understand that the BASE CURRENCY IS BOSS. What this means is that if you are long a currency pair you are long the BASE currency and if you are short a currency pair you are short the BASE currency.
In the Forex markets, there is no “indexing” of currency pricing and fluctuations are solely based on a one on one pairing of the values of two currencies. Indeed, the skill needed to consistently derive profits through Forex trading is unparalleled in any other financial market or instrument. THIS IS WHERE THE FUTURES WIZARD COMES IN. It is our humble opinion that over 90% of retail traders in the Forex market will lose their capital if they do not take heed to our publications.
“BID” AND “ASK”
When taking a long position, the asking price refers to the amount of counter currency that has to be offered (the “bid”) in order to obtain one unit of the base currency. When taking a short position, the bid price reflects the amount of the counter currency that participants are willing to pay for one unit of the base currency.
As with all financial instruments available for trade, the bid price is always on the left and the asking price is on the right. The bid and asking price in Forex markets is typically done in two decimal places. For example, in the pairing EUR/USD at a current quoted price of 1.2370, the bid and ask will typically be displayed as 1.2370/75. Fundamental logic, something all of The Futures Wizard’s members maintain, dictates that the bidding price will always be lower than the asking or “offering” price.
REMEMBER- PRICES WILL ALWAYS BE QUOTED IN THE DENOMINATION OF THE COUNTER CURRENCY.
DIFFERENCES IN QUOTATIONS INVOLVING FOREX CURRENCY PAIRS
In the futures markets, foreign exchange is always quoted against the US dollar. In any pairing where the US dollar is the base currency the quotation is analogous (in form) to that which is present in the futures markets. The inverse is true when the US dollar is the counter currency.
In mathematical terms, as discussed above, this simply means that when the US dollar is the counter currency the futures market would reflect a price where the numerator and the denominator are reversed. IMPORTANTLY, the futures market is not a precise reflection of the Forex markets and only keen insight and understanding of the marketplace can identify the nuances that decipher the two markets. In fact, it may seem paradoxical at times when looking at the quotes in both of these fascinating markets. Indeed the USD/JPY may be up in the Forex market while the futures market is displaying a decrease in the US dollar and an increase in the Yen! Although this is the exception rather than the rule, these discrepancies occur since the futures markets base values on a “basket” of underlying financials and Forex is a one on one pairing of two currencies.
The upshot is that the futures and forward markets will not always be in harmony with the spot market quotes seen in the Forex markets.
When placing a trade in the Forex markets you will be required to put forth a good faith deposit in order to maintain a position in a particular Forex market pair. This is similar to a performance bond in the futures markets with the main difference again being that these levels are determined by the clearing broker (“dealer”) where you maintain your account. There are levels that TFW has analyzed based on a statistical sampling of dealers worldwide that will be used when disseminating our publications. This is also an important aspect of determining what membership level a particular subscriber chooses to partake in.
Different memberships call for a differing ability to both put forth and maintain margins for the various positions that may be predicted from time to time. It is always a good idea to have excess capital in your account to be able to withstand market fluctuations and to build positions in predicted markets.
LEVERAGE IN THE FOREX MARKETS
The Forex markets offer the highest degree of leverage available in the investment community. Leverage levels are set by the Forex broker (dealer) and can vary, from: 1:1, 1:50, 1:100, or even as much a 1: 300.
In the Forex markets, the level of competition in the marketplace is the only factor that drives the fundamental fairness of the marketplace. Brokers (“dealers”) will allow traders to adjust leverage up or down, but all will set limits. In most instances, Forex traders can choose their required leverage, from 1:1 all the way up to 1:300 (and sometimes even more).
For various memberships we will recommend the amount of leverage applicable to our publications
Being Consistently Accurate is the Best Risk Management Tool there is.
“ALL ALGORITHMS WILL FAIL… PERIOD!”
In a discussion The Futures Wizard had with a renowned data scientist the following comments were made regarding algorithms:
“Weapons of Math Destruction: How Big Data Increases Inequality and Threatens Democracy,” the data scientist argues that the mathematical models underpinning these algorithms aren’t just flawed, they are encoded opinions and biases disguised as empirical fact, silently introducing and enforcing inequities that inflict harm right under our noses.”
Dr. Cathy O’Neill Ph.D. (Harvard University)
Factually, as more and more algorithms are introduced into the market place the more ineffective they become. This is indeed a trend that is virtually irreversible. Quantitative systems are designed for speed of execution and have little predictive value. The exponential growth of such systems has only caused them to cancel each other out. This not only renders them highly unreliable, but from The Futures Wizard’s perspective, they are all virtually doomed for failure.
IN ANY EVENT, TFC COMFORTABLY MAKES THE ASSERTION THAT NO ALGORITHM WILL REMOTELY COMPARE TO THE PERCENTAGE OF ACCURATE PUBLICATIONS, OR THE PROFITABILITY OF THE PREDICTIVE PUBLICATIONS, WE DISSEMINATE. SUCCESSFUL TRADING IS AN ART AS WELL AS A SCIENCE AND ALGORITHMS, ROBOTS, AND AUTOMATED SYSTEMS WILL NEVER CAPTURE THE ARTISTRY THAT IS INVOLVED IN THE UNPARALLELED PUBLICATIONS THE FUTURES WIZARD DISSEMINATES. INDEED THE TAPESTRY OF WHAT MAKES A WIZARD IS SIMPLY NOT SOMETHING THAT CAN BE CAPTURED BY ANY MATHEMATICAL EQUATION OR FORMULA AND UNTIL MARKET PARTICIPANTS ARE REDUCED TO LITTLE MORE THAN DRONE’S THIS WILL NEVER CHANGE.
WHAT TO LOOK FOR IN A TRADING FIRM
In the first instance, all of TFW’s members should realize that all so called “Forex brokers” are more accurately defined as “dealers.” This means that either the trading firm, or their client’s, are the counter-parties to your transactions. If a particular transaction that you place cannot be “laid off” to other traders than the firm you are trading with will want the exact opposite of what you want to happen in a particular transaction. Hence, larger trading firms, or firms that are “Straight through Processors” with a wide network of other institutions they trade with are typically more desirable.
It is not TFW’s domain to recommend a particular broker but if you are trading you should do your research to find a reputable firm that affords decent leverage and does not place margin calls to close to entry points. Your chosen firm should not charge you carrying costs to maintain a position (despite being labeled as cash transactions, Forex trades typically settle in two days).
Moreover, the spreads between the bidding and asking prices should be extremely small. Remember that the spread is principal manner in which Forex trading firms make their money. The fact that they do not charge any commissions should be of no enticement value at all since they all profit from the difference in the spreads quoted in the transactions their clients partake in. Any firm handling your account should not require either capital requirements or a particular volume of trading activity. Furthermore, the margin requirements, and the amount of leverage afforded should be competitive in the marketplace and any maintenance margins should never be too close to entry points.
One major difference in the use of options in the Forex markets, as opposed to futures markets, is that futures options, like the contracts themselves, have a set structure that is quoted on the open market. Forex options, however, are typically initiated through an offer or a bid. This does make them tailor made and customized to the demands of the trader and an agreement with the firm that offers the desired option. Despite these inherent vagaries, perhaps the most liquid options available in any financial product or marketplace emanate from the Forex markets.
“Forex options offer the highest degree of leverage that can be found in any financial instrument”
Call/ Put Options
The most common types of options are the traditional “call” or “put” option. The call gives the buyer the right to purchase a currency pair at a given exchange rate at some time in the future. The put option gives the buyer the right to sell a currency pair at a given exchange rate at some time in the future. Both put and call options give investors a right to buy or sell, but there is no obligation to do either. If the current exchange rate puts the options “out of the money,” then the options will expire worthless. These options are similar in parameters to virtually all options that trade in any leveraged marketplace. For this reason they are not labeled “exotic” options.
Single Payment Options Trading (SPOT)
The other type of options available to retail Forex traders is the Single Payment Options Trading (SPOT) option. SPOT options have a higher premium cost compared to traditional options, but they tend to be easier to establish. When they are established, the counter party, which is your broker (“dealer”), or one of your dealer’s clients, will often take the opposing position.
Spot options due engender the “exotic” label for several reasons. These are options that are literally crafted by the investor and are based on parameters that are established by the purchaser who crafted the option. Do they create exciting opportunities? … absolutely. Are they difficult to craft so that the premiums do not eat into the viability of reaping significant rewards?… Absolutely again.
EXAMPLES OF SPOT OPTIONS
A trader believes that the value of the USD/CAD will rise above 1.35 in the next 14 days. If at any time during this period this prediction indeed occurs the trader receives a payout based upon an agreed upon settlement. This is typically referred to as a “one touch spot option” since the predicted price level need only be reached one time during the underlying 14 day period.
Another example of a spot option may entail the following:
A trader believes that the USD/CAD will not break below 1.30 in 21 days, the trader would pay an agreed upon premium to a dealer to establish this transaction. If the trade turns out to be accurate the trader will collect an agreed upon payout (minus the premium paid to take the position). However, if this prediction does not come to fruition then the investor will lose the full amount of the premium. This is known as the “no touch spot option.”
Forex trading terms like “scalping,” “hedging,” (in a Forex speculation sense) and “carry trading” are seldom if ever a part of the domain of our publications for a multitude of reasons.
IMPORTANTLY, THEY ARE ONLY PUBLISHED AT THE HIGHEST OF THE SOPHISTICATED LEVEL OF MEMBERSHIPS.
These strategies are indeed viable at times but that again is the exception rather than the rule. In rarefied circumstances they can- with The Futures Wizard’s wisdom- put our readership in place to be substantially successful.
Since there are many variables that may be utilized to establish Forex transactions between two or more entities (which in effect “create” various currency positions) this engenders the most flexible and the most sophisticated of markets. Regardless of the perceived complexity of any transaction, TFW’s publicized expertise is necessary for continued success in Forex retail transactions at any level.
“IT IS NOT SPECULATIVE, IT IS NOT INVESTING, ITS “SPECULATIVE INVESTING.”
Traditionally, speculation is not investing and investing is not speculation. From a traditional perspective The Futures Wizard agrees with this cardinal principal. At the same time, TFW realizes that there has been a fundamental shift in the marketplace that imparts the ability to obtain profits in a much shorter time frame than the traditional investments those theories derived from.
TFW conforms to those principals while adapting and employing them to the new frontier of the investment community that is structurally and dynamically inapposite to traditional investments. You will not find anyone who can outwit, out talk, or out trade, The Futures Wizard. The purpose of this mission is to bring those cardinal principals into the frontier of the investment community and combine them with the precision and ability to consistently identify opportunities that you will simply not find anywhere else.
THE TRUE FACTS ABOUT THE ACCESIBILITY OF THESE MARKETS
It is true that these markets have been brought to light and made available to retail investors. However, they still remain allusive where portfolio enhancement and profitability are concerned. The majority lose their capital.
This fact renders them not practically accessible as the big players profit while the retail investor provides the market with more victims by adding to the accessibility of available opposing transactions (this includes the firm you are trading through particularly when they act as counter party to your transactions!). Being successful simply cannot be accomplished through a part time endeavor or through any online training course.
TFW sees these markets as an important portfolio asset class. While the retail customer has also contributed to the rapid expanse of Forex trading, what The Futures Wizard still finds allusive is the ability of that retail customer to become profitable and to trade at a level that is comparable to, and here will surpass, that of the largest financial institutions.
THIS IS NOT A SYSTEM OR AN ALGORITHM OR A MECHANICAL TOOL FOR WHICH OUR MEMBERS CAN CUSTOMIZE A TRADING STRATEGY THROUGH ANY PLATFORM. THIS IS NOT SOFTWARE. THIS IS THE PUBLICATION OF SUCCESS WHICH IN OUR OPINION OBVIATES THE NEED FOR ANY OF THOSE PRODUCTS THAT WILL NOT HELP YOU ACHIEVE SUCCESS IN THE LONG TERM (OR PERHAPS EVEN THE SHORT TERM). THE FUTURES WIZARD IS ONE WHO CLEARLY HAS AN UNCANNY KNOWLEDGE OF WHAT IS TO COME, ONE THAT LISTENS TO AND CAN HEAR THE MARKETS, AND ONE THAT CAN PREDICT UNLIKE ANY SYSTEM, ALGORITHM, OR MECHANICAL DEVICE HAS EVER BEEN ABLE TO DO ON A CONSISTENT BASIS. LIKE OUR TRADEMARK INDICATES…
FOLLOW THE WIZARD…AND YOU WILL BE SUCCESSFUL.
FOR CERTAIN MEMBERSHIPS, THIS IS NOT THE CLASSIC GUARANTEE OR REFUND THIS IS A GUARANTEE OR YOU DO NOT PAY AT ALL!
THE FUTURES WIZARD BELIEVES THAT IT IS TIME TO LEVEL THE PLAYING FIELD AND IN FACT TILT IT AGAINST ALL THOSE THAT DO NOT FOLLOW THE FUTURES WIZARD.
Remember that just like the futures markets, the Forex markets depend on a fresh supply of losers every day. Who do you think the best victims are? BY FOLLOWING THE FUTURES WIZARD YOU WILL BE A BIG PLAYER IMMEDIATELY AS YOU AND EVERYONE ELSE CAN SEE.
At TFW there are no gimmicks just proven results that you can witness first hand each and every time. Our success is not established by lame comments from “Joe M. in Minnesota.” That, of course, is ridiculous. At The Futures Wizard, all of our members -our organization- are the benefactors of our success! After all, his success will only be measured by your success! And to all of the naysayers…We wish you good luck finding anyone in the world that will out predict us…
THAT IS SIMPLY NOT GOING TO HAPPEN!
The Futures Wizard does not comment on economics or the fundamental characteristics of an open marketplace with the exception of reflexivity which, to The Wizard, is a mere reflection of how causes and effects are economically indeterminable and hence utterly irrelevant to the ability to predict the future.
In fact, reliance on these economic suppositions make it difficult to predict the past let alone the future. These suppositions also lead to a revolving commentary about matters that are of no real consequence to profitability. It is the knowledge of the cause and effect nature of fundamental economics that is, however, minimally relevant and is incorporated into The Futures Wizard’s overall assessment of the financial conditions affecting market fluctuations.
Partaking in a marketplace that is governed primarily by the forces of pure competition espouses a refreshing concept. The Futures Wizard’s keen eye on the nuances that serve to detract from that concept provides the essence of the immeasurable value that our members have at their unique disposal.
Follow the Wizard The Wizard knows the Future(s)… and the Forex.