This week will be the introduction of a series of important data. This evening will be announced in November the U.S. wholesale inventories and wholesale sales data. 2011 will be announced on Wednesday, Germany’s GDP, as the core euro area countries has been the main driver of economic growth, Germany’s economic recovery is the ability to solve the debt crisis in Europe is concerned, is essential. Wednesday night will be held in the Bank of England monetary policy meeting. Thursday night will be announced the UK and the European Central Bank interest rate decision. In the same day, the United States will be released in November retail sales data, the preceding three months, U.S. retail sales data are very very strong growth. Britain and the euro area will also be released industrial output data, more likely not satisfactory. Friday night will be announced in November the U.S. trade account and the University of Michigan consumer confidence index in January.

This week the leaders of Germany and France will meet again to discuss how to boost economic growth in the euro area member states to overcome the sovereign debt crisis, boost employment and the finalized cooperative agreement to strengthen the euro area countries and a series of financial problems. However, many times before the meeting did not come up with convincing results, which allow the market leader for Germany and France can come up with a decent solution is relatively pessimistic.

U.S. Dollar Index: The dollar index rose slightly in the short term risk aversion is still the dominant market, the dollar index will continue to keep short-term strength.

Euro: euro-zone leaders to resolve the debt crisis still continue to stumble forward initiatives, can not hope to solve the problem seen, the performance of the euro weak, short-term there is a certain line in the 1.2670 support, but still not in the short-term improvement.

Resistance: 1.2840 Support: 1.2670

Yen: USDJPY continues to within a narrow range, 1 month will be difficult to break the shock pattern. .

Resistance: 77.50, Support: 76.50

Australian Dollar: AUD still shocks down the current short-term pattern, but 12 months since the basic process is constantly raising the bottom, the bottom of bargain hunting is quite clear.

Resistance: 1.0300, Support: 1.0150

NZD: New Zealand dollar and Australian dollar are basically the same trend, the bottom has been elevated in December, the pattern of upward shocks will remain.

Resistance: 0.7950, Support: 0.7800

CAD: Canadian dollar finished lower, at 1.03 above the obvious pressure, in the short term to maintain 1.00-1.0350 fluctuated.

Resistance: 1.0300, Support: 1.0130

Precious metals: gold and silver was mixed, gold and silver prices fell, the current gold rally to a more critical position, can break through $ 1,640 and Withdrawing recognition will decide whether to get rid of gold to start a new adjustment of prices. Silver also face important pressure of $ 30, $ 30 off the front, silver will continue to shock bottoms.

Lu Xun talk about, or in silence, broke out, or die in silence. In the next two years, the euro zone countries need to repay the debt of 12,000 million euros, the current total amount of aid within the euro area was only 770 billion, combined with the IMF’s 150 billion, the debt is not enough landfill void.

Therefore, small-scale breach of the outside world that will eventually appear, if the ECB does not save, or Big Brother, Germany sit idly by.

But to save, to manage, you need money, like a chronic illness, and money rule, mental state is good, now sicker, and we must face the decision of their own dead, then real estate will be bought or sell the house to the hospital, for little life? This euro-zone countries, that is the problem the game is survival.

Out the substantive program before, the euro will still Yindie, but do need to be careful of some stage of the euro suddenly rebound.

Particularly the introduction of a good time, this is often a rebound with grievances and retaliatory. Personally believe that the euro at 1.3000 the following are weak, sell rallies than buy it dips to insurance.

1, the direction reversed.

2, the absence of a stop.

3, positions heavier.

These three points are often integrated together to play a role. Range in a direction counter, and even position light, it is difficult to difficult to control their trading emotions. Fluctuation range of people who used to do, the more will be more anti-Opening, so come back often and then large profits. But once the interval break, warehouse explosion inevitable.

Make Forex transactions, no one can hundred percent right direction, especially to do small and medium-band, 500 points to 200 points between. So set the stop position to prevent the explosion protection.

In another case, set a stop loss will be heavy, heavy is the position. Say you have $ 1000. 1 hand to do the transaction, fluctuations in point is $ 10, set up a 50 point stop, hit stop on the loss of $ 500, loss of general. Earn big pay such a big deal is inevitable road to burst positions.

I summed up the position of an appropriate ratio, for your reference. $ 500 funds in the account, the minimum trading unit of 0.01, leverage (Leverage) 1:200.

21 According to Gann trading discipline, the total principal amount of each transaction can not be a loss of 10% standards, the following settings.

$ 1,500 hand-made 0.1 transactions, $ 50 to do so on the ratio of 0.01 hand.

2, an important opportunity to stop the transaction is nowadays one of the 50 points.

Why it is 50 points? 0.1 $ 500 to do this hand, 50-point stop loss $ 50. This loss of funds does not exceed the total principal amount of 10%! This is a 50-point experience, if you want to set the 100-point stop-loss positions have reduced by half, $ 500 0.05 hand can only do so if you stop them, the amount of loss is $ 50. This is in line with the total principal amount of each loss can not exceed 10% from. Understand this principle, you can position the flexible correction.

3, in the event of trading losses, trading positions to be cut later. To Article 2, for example, if the continuous loss of the original 500 to 450 once, then the number of heavily loaded hand will become 0.09, so the original 50 point stop loss of 50 dollars, 45 dollars is now turned into losses, or no more than every time loss does not exceed 10% of the total principal amount of the principle.

4 Similarly, if the profit, the capital increase, the position can be expanded, for example, is now earning $ 300, and 800 dollars, then the maximum position is 800/50 = 16, is 0.16 16 0.01 hand hand, because based on U.S. $ 0.01 under 50 the proportion of single, $ 800 is $ 50 so 16 obtained this result.

5, if you think that more than 10% of each loss, each loss to the total principal amount not to exceed 5%, then stop points in the same circumstances, we should correct position, the position correction to the $ 100 hand made 0.01 ratio.

Mentioned above is from the perspective of how to protect the overall layout of the principal positions. That the 50 point stop loss is certain what is not. Stop setting typically has three methods:

1, the overall financial security law. Is the method mentioned above.

2, the technical bit stop-loss method.

In the technical bit stop-loss method, they encountered a new problem, but together with the above method of calculating the same. Such 1.4500 breakthrough long on sterling GBP, after the break to 1.4430 next break Powei, on behalf of the false break, and do more is the breakthrough point above 20 points (to avoid false break), is 1.4520 points, so 1.1520-1.4430 = 90 points ratio, coupled with two-way eight-point difference is 98 point. In order to control this loss does not exceed 10% of the total principal, you can not do $ 500 0.1 hand, but the $ 500 hand-made 0.05. How to calculate in the above example, a 5-point.

3, the first combined application of both approaches. Principle here that the above two methods is not the same stop-loss points, technical points if greater than 50 points according to the permanent stop-loss points and fix technical positions, such as the example 2 is the case. When the technical points less than the 50 point stop loss permanent standards, according to the technical point set. For example do more Powei only 25 points away from the technology. So, if you want to leverage (Leverage) advantages can make $ 500 0.2 hand transaction, because stop loss 25 points out of a total loss of 50 dollars, the same did not exceed the total principal amount of each loss does not exceed 10% of principle.

The above example conditions that are calculated by the maximum position. The choice of a loss ratio of the total principal amount not exceeding 10% or 5% or the other, according to their risk Risk aversion situation. But the maximum should not exceed 10%. And this position in front of said ratio is the discovery of key market opportunities, generally 200 to 500 points when the opportunity arises. If you like to do more short-term small fluctuations will have to transfer a small position, I suggest that the proportion is above the third position, because only a small range, so stop setting the appropriate correction should be smaller.

Important opportunity to say that the above general how much time it happened once, in my personal experience is that 200-point band the opportunity to 2,3 times a day also, so every day such transactions do not exceed 3 pen, if you catch up with the bad luck, continuous 3 pen Kuidiao the principal loss is 30% of ah. The 500-point band the opportunity a week to have a pretty good 2,3 times. Therefore, to reduce transaction. In particular, the largest proportion of the trading position trading (trading by the largest proportion of the above positions are calculated).

Finally, a suggestion is to make money according to certain proportion of Wang Chu to take. Because eating the same as the normal burst positions, the uncertainty of the market too much. Your money is their own ah.

The application of law KDJ KDJ indicator index is three curves, mainly from the application of five aspects to consider: KD values ​​of the absolute number; KD curve shape; KD indicators cross; KD indicators departure; J index values size.

First, consider the value of KD. KD is the range of 0 to 100, can be divided into several areas: 80 or more as overbought zone, below 20 is oversold area, the rest is hovering area.

According to this classification, KD should be considered more than 80 sold, less than 20 should consider buying a. It should be noted

Is that this distinction is only a preliminary application of the process of KD indicators, only a signal to operate entirely according to this method is easy to incur losses.

Second, the curve shape from KD indicators considerations. When KD indicators higher or lower position in the formation of a head and shoulder shape and multiple top (bottom), the signal for action. Note that these forms must be in a higher position or lower position there, the higher or lower position, the more reliable conclusions.

Third, consider the intersection of KD indicators. The relationship between K and D is like the relationship between price and MA, there are also gold XAU death cross and cross-cutting issues, but here is a very complex cross-application, but also with many other conditions.

From the bottom up with K and D Cross, for example: K D is wearing on the MACD for buy signals. But there should buy MACD

Income, but also the other conditions. The first condition is the location of Jin Cha should be relatively low, the location is in the oversold area, the lower the better.

The second condition is the number of D intersect. Sometimes low, K, D to cross back and forth several times. The number to cross is at least 2 times, the better.

The third condition is the intersection of line relative to KD low position, it is often said that “the right of the intersection” principle. K is already rearing its head up when the D intersect with D, also decreased when compared with D intersects with much more robust.

Fourth, from KD’s departure from the considerations of indicators. At high or low in the KD, if there is a departure from the trend with the price, it is a signal to take action.

Fifth, J index values ​​over 100 and less than 0, are the price of non-normal area greater than 100 as overbought, oversold small.

Usually there are two indicators of departure, a departure from the top, the other is the end of departure. Departure from the top usually appears in the exchange rate of the high-end position. When the exchange rate than the previous high point high point high, while the index of high index than the high point of the previous low. In other words, the appropriate indicators are high, and the formation of a peak lower than a peak of two peaks, while the dollar has at this time is a peak corresponding to the peak height of more than one, then the indicator is suspected to increase the current weak, suggesting the exchange rate soon will reverse the decline, this is the so-called departure from the top. Is relatively strong sell signal. On the contrary, at the end of the exchange rate of departure from the generally low in position, when the exchange rate than the previous low of the lows, and the index of indicators than the previous low of the lows, which means that the exchange rate when the index does not continued to decline, suggesting that the exchange rate will reverse the rise, this is the end of departure, it can start Jiancang signal.

Able to form a clear departure from the characteristics of technical indicators indicators MACD, W% R, RSI, KDJ, with its shape and period of price there is departure from the characteristics.

Departure from the characteristics of problems that need attention:

1, the effectiveness of various technical indicators are not the same. Technical analysis indicators, relatively speaking, with the RSI and price KDJ’s departure from the shift to analyzing the success rate is higher.

2, the indicators appear in the strong departure from the generally more reliable. Is the exchange rate at a high level, it is usually only once deviated from the form to confirm the reversal pattern, while the exchange rate in the low, generally repeated several times to confirm the reversal pattern before departure.

3, after the departure from the more accurate passivation. If based solely on departure from the characteristics of the operation, often the larger errors, which is particularly prone to occur in the fall or when the exchange rate when inflation trend, KDJ index was high or low are likely to passivation, the dollar continues to appear up or down. In fact, this departure from the characteristics of the event when the effectiveness is high, especially with the KDJ indicator is combined with the RSI indicator to determine the period of price, KDJ index in determining the top and bottom of the process, with a strong point to the role.

4, note that departure from the false identification. Usually tend to have false departure from the following characteristics: First, the departure from a time period, other times does not depart. For example, the departure from the daily chart, but the weekly chart monthly chart does not depart. Second, did not enter the target area on the high divergence. Determine what we call the top and bottom with a departure from the technical indicators in the above 80 or below 20 departure, more effective, it is best after a period of passivation. Often in the 20-80 strong market correction between the characteristics and not deviate from, the market outlook is likely to continue up or down. Third, an index and other indicators do not deviate away from. A variety of technical indicators, it tends to deviate from target due to its different design, different departure time, departure time in the most sensitive KDJ, RSI followed, MACD weakest. Single indicator is not strong departure from the guide, if the divergence of various indicators, the exchange rate then peaked and bottomed out likely.

A person’s state of mind is a product of his growing up, people develop their own life in mind, some very positive to the direction of thinking, and some thought to the negative direction. Positive thinking to bring good quality: self-confidence, optimism, integrity, selflessness, generosity, tolerance, loyalty, courage, steadfast, strong, decisive, aggressive, love, responsibility, trust, respect, perseverance, etc.; the formation of negative thinking, negative quality of all: low self-esteem, pessimism, mean, narrow-minded, hypocritical, cowardly, deception, arrogance, blame, greed, indecision, fear, depression, resentment, anger, haste, to avoid responsibility.

Obviously a positive attitude to life, bring light, a negative attitude to life into the darkness. I write a philosophy of true success, it must answer this question. Lin said that the Chinese are too familiar words: the impossible! Negative attitude is characteristic of these three words. Positive attitude is concerned about the positive side of events and actions to promote the positive side, even the negative aspects have to be accepted by a calm state of mind, this is the positive attitude of the features: No, probably! Can be stated according to the book’s success seventeen and the related principles of things are positive attitude. I sum up the mentality of the people there are ten general lack of, which is successful must have the mentality of the top ten.

Why should we stop? Many of my friends in the beginning very careful when forex speculation, so the total earn a little money. They often make dozens of points each time, but let go of a few hundred points of the big market. The next time the exchange rate is already high, his heart often think, I want to grasp the big move. As everyone knows, when the market is already approaching a stage at the top. Want to earn hundreds of points around his heart, there have been dozens of points above the market space, he want to do long term, do not leave do not earn hundreds of points. Results not only dozens of points did not make, but was caught, did not win the anti-pay. Sometimes the market is such a teaser.

Meeting friends, people often have such operations. Doing more than one currency, the dollar fell sharply, a quick stop to leave. Exchange rate continued to fall, he was also pleased too! But a day or days or even hours after the sudden force the exchange rate rebounded sharply, so that you no time to do more again, and stop-loss price than you even higher. If you just do not stop, there is profit? This several times, there is no concept of stop-loss, non-stop previous tasted the sweetness, it does not always stop, sooner or later that the exchange rate to return to do more than price. After being caught a few hundred points, it may not help, and stop out. In this way, put a little money earned the previous gave now lost, and loss. I lecture, to the Department of friends say many people need to stop. How to stop and take profit? When to stop? What time do not stop? When to resolutely stop? When to take profit? How to set up win-bit only? In the investment is the most difficult stop. Deeply about how to stop the market’s lack of books. There is also no people from the actual point of view clear to the Department, only a general idea, and a far cry from actual combat. So I am on the initiation of an idea, write a separate chapter specifically about stop loss and take profit of skills, and strive to win the use of stop loss and clearly written, clearly explained, there are operational.

I remember the first time to enter the forex market, met my big brother, a once renowned trader Dealer. He was attacked in 1992, following the Soros £ GBP. The first thing he saw me and asked: How much loss are you going to stop trading? At that time I clearly remember that he is got it wrong, make him repeat it. He said sternly: I ask you, how much money you are prepared to stop out loss? My answer is: I have come to the market to make money, many people make money in this market is not it? My big brother told me to do forex trading, is an investment. Investment is to have any awareness of the risk Risk. Every industry has one loss, it was money, or else everyone Gates has. Risk in this high risk industry, there is no loss over the people do not exist. Each survive in this market people should first learn how to control risk Risk, in other words, how to control losses.

My big brother told me a story. The story in my career forex speculation gave me a lot of inspiration. This is a true story. Nanjing is a hero of the story, he did Margin forex margin trading. At first, funds equivalent to one million yuan CNY. He continued to trade, and soon turned to their own funds more than 10 times. At that time his mother persuaded him to leave a sum of money, because she knows the industry and risk Risk of speculative. But the son’s mind was already swollen, that he is a genius in this market, to make money as easily as water. Do not listen to other people’s advice. Then he impatiently to his mother two million yuan CNY. In 1992, when 2 million yuan CNY is not a small number that can be called rich. He said this is your retirement money to honor his son, and then went straight to kill the forex market. 1992 7.8 months, he has held the British pound GBP long Long position position Position, but also high with a large number of jiacang earned money. Hold Shigekura pounds GBP. In mid-September 1992, for a lot of forex transactions are concerned, may be hell, maybe heaven, a man named George Soros who attacked £ GBP, and has since become famous. He succeeded in blocking £ GBP, GBP sterling fell. Britain was forced to withdraw from the European monetary system, so join today about GBP £ EUR EUR district, many people still hold different opinions. Decline of the pound GBP, the people still stubbornly holding £ GBP, and that in accordance with conventional, forex fluctuations will not one day more than 200-300 points, so the reported death of a British pound GBP hold, waiting for a rebound in sterling GBP. I know, the day could not in GBP sterling plunged. Instant, he has lost 50 \% of the funds. Then if he still had time to stop, there is still half of the funds. Where there is life, not afraid of no firewood. The loss of so many cases, he also reported the chances, has in mind, not so to, there should be a rebound to? Has fallen so much, perhaps in the United States back up when the back plate. Result, he firmly holding the British Pound GBP positions do not stop. Market is not in his will. Exchange rate has led to a new decline. Finally, he heavy losses, was forced to give up. Because this is the choice of his helplessness, his account has been wiped out.

U.S. Labor Department data released Friday showed U.S. non-farm employment growth in December, 20.0 million people, is expected to increase 15.0 million; non-farm payrolls in November after a revised increase of 5.0 million, up 12.0 million for the initial value. Further lower the U.S. unemployment rate in December fell to 8.5%, expected 8.7%; revised in November to 8.7%, the initial value of 8.6%. Record since February 2009, the lowest level.

United States New York Fed President Dudley on Friday (January 6) that the U.S. economic recovery “frustratingly slow”, the Federal Reserve (FED) must continue to evaluate the need to introduce more stimulus measures. He said that in order to assess the housing benefit and to provide additional easing is appropriate, more housing-related policy interventions are expected to help stabilize prices and improve the prospects and accelerate its recovery. Monetary policy and housing policy more components are complementary, not substitutes for one another, other than monetary policy intervention in the housing market will support growth, so that monetary policy more effective.

International rating agency Fitch on Friday (January 6) announced Hungary’s sovereign rating lowered to BB, while maintaining a negative outlook. Said the country’s fiscal position, external financing conditions and growth prospects deteriorate further.

Fitch Ratings director, said that if Hungary unable to reach an appropriate agreement with the IMF timely manner, or to further cut its rating. Moreover, even if Hungary reached an agreement with international lenders, the Government’s ability to comply with strict conditions still have questions.

Foreign exchange market on Friday, the United States refers to the sharply again on the red, the euro fell sharply. Pooled investment strategist Mi Hang Dong that, better than expected non-farm payrolls and the unemployment rate further down. Further confirms the fact that the U.S. economic recovery. Fitch Ratings cut to make Europe the Hungarian debt problem worse. Uncertainty within the euro area factors, but also investors in the European debt problems very worried. In this case, select the market consensus of U.S. dollar assets. United States refers to the main medium-term will continue to rise. Euro medium-term decline that will continue. Investors are advised to continue to focus on the euro selling opportunity.

Strong dollar offset the positive effect of non-agricultural, gold only makes the amplitude of the expansion, the current gold hedging, seems to have restored, spot gold was by the recent Middle East tension between Iran and the West’s support.

European Central Bank will continue to focus this week with the Bank of England interest rate decision and the German-French summit meeting for new breakthroughs, focusing on tracking bond auctions in Italy and Spain, as the two economies more vulnerable to the euro area, this will be the market of the euro the best asset recognition test.

From a technical point of view, gold will remain on the triangle diagram current range-bound, see the triangle on the top of the resistance near the rail 1678.80, 1560.15 near the bottom of the initial support, and further support at 1560.20 near a major boost from the news until a range of gold broke the triangle will form a unilateral movement.