Today, our Forex Trading Blog will cover important economic and market news to watch out for, and which can assist you further in your online trading career, in addition to professional forex forecasts for 2019.
The US Economic Outlook for 2019 and a brief preview of 2018
Platinum analysts have finally got to their roundtable conference for the economic outlook for 2018, and their in-depth research shows that the US economy is growing at a healthy pace. One of the key factors to measure the economy is an economic indicator called GDP. This is known as the gross domestic product, which is a measurement of the nation’s production output. Our analyst predicts that the growth rate for 2019 shall remain between two to three percent, which is the average, and also a safe growth rate. Donald Trump promised to increase the economic growth to 4 percent which could lead to an irrational boom that could lead to a bubble syndrome.
When an economy grows at this pace, it could lead to the failure of short-term business cycles. All Business Cycles are dependent on supply and demand with long-term and short-term borrowings.
From the latest federal open market committee meeting which was held on December 19th of 2018, the final figures of US GDP growth would be based at 3 percent. The figures to follow as per forecast would be 2.3 percent in 2019, 2 percent in 2020 and 1.8 percent in 2021. The primary reason for this slowdown is a result of the Trump economic policies.
A brief snippet of the other Key economic indicator and the forecast are as follows:
Interest Rates in 2019.
If you have been following the currency exchange markets closely, you must be aware that the current fed funds rate was raised to 2.5% in December, and as per forecasts, the base rate is likely to increase by another 50 basis points to reach approximately three percent. This is the target for the Federal Open Market Committee for 2019.
Tips and tricks for Forex Beginners:
One of the key roles of the Fed Funds rate is to control the short-term interest rates.
Under the short-term Intrest Rates this would be liable for :
- Bank Prime Rate
- Variable or adjustable rate loans
- Credit Card Interest Rates.
The Fed is not replacing any of its purchased securities which it purchased during its QE Phase back in 2014. On the contrary, they started reducing its treasury holding in the last quarter of 2017. As a result of no more purchasing, there will be an increase in the supply which will result in an increase in the treasury market. This will increase the value of the 10-year note. All of this will have an impact in driving the long-term interest rates like corporate bonds and fixed mortgage interest rates.
If you are on variable interest rates, try and get a long-term fixed interest rate!
- Should you buy a property in this kind of market where the interest rates are increasing, and the market volatility is increasing with this?
Being veteran Traders for nearly 18 years in the financial Markets these are very uncertain times with every individual calling the market crash. I would like to explain this, in brief, a little better.
EVERYTHING YOU NEED TO KNOW ABOUT A MARKET CRASH
What causes a market crash?
In the Financial Market, you will keep hearing different terms such as a market crash, market corrections, black swan events, and bear markets. Our aim here is to ensure that you understand what defines a crash and what is the differentiation between these terms.
- A Market Correction is an event where the market drops by 10%
- A Bear Market is where the markets drop by around 20%
- Market Crash is where the markets fall by 35% to 65% over a period of 3-6 months.
- What is the difference between recession and depression?
Alongside the words market crash, what we hear a lot is words like recession and depression. So let’s bring some clarity to both these terms.
- A Recession is where we see a decline in the economy over a period of 6 months or higher.
- A Depression is where the economy is in a recession for more than two years, and the GDP of the country drops by 10%.
What is a black swan event?
When we see the markets drop all of a sudden, or investment management analysts start talking about black swan event, what they generally mean is a catastrophic event that has affected the financial markets. These events are very difficult to predict and have extreme consequences. An example would be the 9/11 attacks. If you would like to know how to earn money from these events, please attend our Forex Trading News Events every Wednesday at 14:30 GMT.
How to prepare and benefit from a market crash?
Platinum Trading Academy gives you the opportunity to make a secondary income via online trading. Did you know that you too now have an opportunity to work from home and make a secondary or part-time income, and take advantage of the financial markets and be your own boss? The days of salary brackets are now a thing of the past as online trading in forex markets could bring you a substantial revenue if you have the correct skill sets.
We are entering Generation x. In 2019, the forex markets will be one of the best markets to trade in through the technical advances made by platinum forex trading academy.
You too can now take the advantage of the forex market and get a chance to trade wall street as well as the foreign exchange markets from the comfort of your own home.
We will open a virtual trading account for £10000.00 to enable your online trading. It will help you see realistic returns on your forex trading course. Remember that anyone can start to trade, but to learn to trade the art of online trading, you need the right trading tools to master currency trading. This is what we provide here at platinum forex trading academy.
If you are a beginner, why not take our free trading course? It is a two-hour trading course in which we will give you a basic understanding of the financial markets. You can check for yourself if this is for you or not.
As an advanced trader, you can take advantage of our live online trading floor, Platinum Trading Television, Platinum forex signals Alerts, Profesional Forex Mentors with more than 18 years experience in the Financial Markets, Forex Trading System and our forex trading algorithm.
With our online Trading Academy you can get to learn to trade the following:
Learn to trade forex: If you are ready to make money by online trading and take advantage of a 24 hours a day, 7.2 trillion dollar foreign exchange market, and earn a passive income from the fluctuations in the currency market, this is the course for you. Every day the major currencies move on an average a 100 points. Your job is to play the money game using our trading strategies and trading system to maximise your profits. We teach you the right money management techniques, so you learn how to trade online and make money with consistency.
Download your online trading portal today!
Learn to trade stocks and shares: Stock Trading may not be as volatile as forex markets. But one thing is for sure – If you have the patience, we will teach you how to trade a number of securities such as FTSE, Dax, S&P 500, Dow Jones and the NYSE that trade on the exchanges. We can teach you how to trade stocks, when to buy stocks, how to use technical analysis, and trading live quarterly results for these stocks and shares.
Learn to trade cryptocurrencies: Crypto Currencies have just come to the forefront in 2017. With the price of bitcoin reducing to the £4000 level, and many other cryptocurrencies attaining premium buying levels, this may be an excellent time for you to learn how to trade. In our basic Cryptocurrency trading course, we cover all aspects of cryptocurrencies ranging from what are cryptocurrencies, how to buy cryptocurrencies, and the last but not the least – how to profit from day trading cryptocurrencies.
We wish you all the best for 2019.
Happy Trading and remember make your money work for you and learn the money Game!
The Platinum Formula:
Perfect Fundamentals + Perfect Technical Analysis + Perfect Logic + Perfect Risk Management = Perfect Trade
The Platinum Way
At Platinum Trading Academy, United Kingdom, we teach all individuals from different walks of life to become a full-time trader or create a secondary revenue stream by trading part-time. We trade in an Institutional Way by letting the market come to us and being patient. Using Platinum’s Trading system you can take many Pips out of the market. We can ensure using this style of trading your trading will make a turnaround as you will become much more consistent.
If you want to trade like the professionals do, making consistently profitable returns from your trading, get in touch with us and we will demonstrate live exactly how we approach the markets.
Download our free ebook to read about the various Trading Patterns that work in the Financial Market. Watch Trades of the Week Videos in our video gallery. Subscribe to Platinum’s Forex Newsletter.
Hopefully, you have enjoyed today’s article. Thanks for reading! Have a fantastic day!
Live from the Platinum Trading Floor.