WikiFX Articles and Updates

[azam575]

Sebab itu pemilihan broker untuk berdagang forex , perlu diberikan perhatian lebih. broker dalam carigold setakat ini semuanya bayar apabila trader membuat keuntungan

 

[WikiFX]

KUALA LUMPUR (Sept 11): The sales value of Malaysia's wholesale and retail trade grew 5.7% to RM112.5 billion in July 2019 from a year earlier, led by expansion in retail transactions for food, beverages and tobacco, according to the Statistics Department today.

In a statement today, the department's chief statistician Datuk Seri Dr Mohd Uzir Mahidin said the 5.7% increase in the nation's wholesale and retail trade was attributed to retail trade, which expanded 7.1%, driven by the 10.5% growth in retail sales of food, beverages and tobacco.

"This was followed by retail sale of other goods in specialised stores and retail sale in non-specialised stores which registered 8.2% and 8.1% respectively. For wholesale trade, sales value expanded 6.6%. On the other hand, motor vehicles registered a negative growth of 1.7% as against a year ago," Mohd Uzir said.

Compared to the preceding month, the country's wholesale and retail trade sales value rose 0.2% in July from June as retail trade grew 1.1% while wholesale transactions contracted 2.3%, according to the department.

"Motor vehicles sub-sector grew 7.3% after a contraction of 5.4% in June 2019, followed by retail trade with 1.1%," he said.

#Malaysia #Trade #Economy #WikiFX

 

[WikiFX]

On September 6th, US Bureau of Labor Statistics released Nonfarm Payrolls (NFP) for August, 2019. Actual NFP reached 130,000, less than the forecast 160,000, while the previous was revised down from 164,000 to 159,000. Federal Reserve Chair Jerome H. Powell observed in his recent talk that the US economy faces notable risks, and the actual NFP, as well as other indicators pointing to a down-slope economy, seemed to support his conclusion. Besides message from Powell, economists also predict the Federal Reserve is likely to cut interest rates in September. US economist Michael Feroli thinks the latest NFP removed the last barrier for Federal Reserve to cut interest rate by 0.25%. But according to Eric Rosengren, the president of Federal Reserve of Boston, easing financial policy may be a good choice if the risk of potential economic downturn becomes reality, but interest rate cut is not necessary at the moment.

The release of NFP usually causes big swings of the forex market, creating a favourable opportunity for investors to trade forex. Meanwhile, brokers’ slippage and trading speed are key to investors’ trading success. WikiFX conducted trial trading on forex brokers against NFP release last month, and the results which demonstrated each broker’s capability received positive feedback from investors. After NFP was released this month, WikiFX tested 43 forex brokers rated over 7.0 on WikiFX App, carefully analyzed the data and listed the top 20 brokers in terms of their slippage and trading speed.

Top 20 low-slippage brokers after NFP release, September

The table listed 20 brokers with the lowest slippage on the day of NFP release in September. USGFX who topped the list kept its average slippage at a remarkable 0.14. Generally speaking, slippage may result from network delay, a change in the bid/ask price during a time of high market volatility and broker’s manipulation. As slippage is a key indicator for a broker’s performance, it is often a main factor that investors consider when choosing a broker.

USGFX’s trading environment from the WikiFX App

Top 20 fast-trading brokers after NFP release, September


As for average trading speed (order execution speed), most brokers tested have done well with fast response. Among the brokers, LION ranked first with an outstanding average trading speed of 169 milliseconds per order, breaking the threshold of 200 milliseconds per order.

LION’s trading environment from the WikiFX App

As a main indicator of US economy, NFP data has a significant impact on the forex market. At the point of great market volatility when NFP is released, WikiFX’s trial-trading test has set a benchmark for the competence of brokers, and investors can use the test result as a reference, while taking into account relevant information like regulation and compliance, to choose the broker that suits them best.

Detail information of all the brokers listed are available on both the WikiFX website and App, investors may check it to gain a more comprehensive view of these brokers. As key economic indicators often have great implications on the forex market as well, WikiFX will keep a close watch on these indicators and conduct further trading tests of brokers to offer investors more valuable information.

 

[WikiFX]

Is it a good time to invest?
Now that the ECB cut interest rates in September – meeting expectations, as overnight index swaps were discounting a 100% chance of a 10-bps rate cut – investors are quickly shifting their expectations for future policy moves. Overnight index swaps are currently pricing in a 62% chance of a 10-bps rate cut at the October ECB meeting. If not, there is a 71% chance of a second 10-bps rate cut coming at the December ECB meeting. But this is the big move: whereas last week rates markets were pricing in three 10-bps rate cuts in September and October 2019 and January 2020; after the September rate cut, rates markets now see the next cuts coming in October 2019 and July 2020. That the third rate cut has been pushed back by six months may give the Euro some room to breathe in the short-term.
Find more details in our home page.

#rate #euro #bps #WikiFX

 

[WikiFX]

Forex market is the largest and the most liquid market in the world, with around US$5.3 billion daily trading volume. There are many benefits of trading forex, including convenient market hours, high liquidity and the ability to trade on margin, that appeal to investors. Despite its huge size, forex trading is much scattered without a centralized global regulator. Driven by high profits, illegal brokers try to cheat investors by all means, such as presenting cloned licenses. As a foreign exchange enterprise inquiry platform, WikiFX helps user conveniently enjoy the following services about Forex broker including compliance, regulation and license search, risk exposure, credibility evaluation, verification and supervision, complaint and safeguard, credit report download and related brokers search. www.wikifx.com

 

[WikiFX]

Investors may still remember that in last September, the European Union issued a new regulation which prohibits any leverage higher than 1:30 being offered to trading accounts under its regulation. Yet some unscrupulous brokers tried to dodge the EU restriction on leverage through offshore branches, in order to attract investors with higher leverage. Recently the forex media Finance Magnates interviewed 10 Europe-based forex brokers supervised by Cyprus or Britain regulators. 5 of these brokers were willing to offer higher leverage and provided a link to registration page or website of offshore branch.

The risks of excessive forex leverage
If you have ever traded forex, you’d know that forex price moves very slightly, which means it takes a large investment and more time to profit. But with forex leverage, the minute changes of forex price can be converted into larger profits of investors more efficiently. Many investors think that a higher leverage enables them to harness more capital and thus make more profits, yet they tend to ignore that with higher leverage, the risks of investment also increase. Once the market turns against them, investors trading with higher leverage will also suffer heavier loss.

The “high-leverage” traps of illegal forex brokers
“High leverage” is also a selling point that illegal forex brokers on the market often use to trick more investors, and investors usually have a hard time deciding the credibility of such brokers. For instance, BFS which topped the WikiFX most complained brokers list in August claims to offer a leverage as high as 1:1000. However, the broker is in fact illegal as its VFSC(Vanuatu) regulated license was canceled, while WikiFX got 50 complaints against this broker from investors in the past 3 months. BFS is now labeled an illegal broker on WikiFX App.

Regulatory information of BFS on WikiFX App

How to identify “high-leverage” scams ?
As in countless forex scam cases like the “1:1000 leverage” of BFS, misleading advertisements of illegal brokers on so-called “high leverage” cause many investors heavy losses. Investors need to pay close attention to the warning signs such as “high leverage”, “low trading threshold” and “great bonus” and other enticing slogans, and check the broker’s compliance and regulatory status to ensure its legitimacy. If you have any doubt about a broker’s compliance, you may download WikiFX App and check broker’s profile conveniently.

Broker’s search interface on WikiFX App

 

[WikiFX]

Major Indices have enjoyed a two-fold tailwind from warming US-China trade ties and dovish central bank policy which has allowed them to post gains in September thus far. As it stands, the fundamental landscape lies largely with Wednesday’s FOMC meeting at which the #FederalReserve is expected to cut the Federal Funds rate by 25 basis points. With the FTSE 100 and CAC 40 trading slightly beneath resistance, will they require a fundamental catalyst to break above or drive higher in the coming days regardless?

Either way, the FTSE 100 has a perilous path ahead. Continued #Brexit uncertainty will likely divert some attention away from monetary policy matters and could keep the Index beneath resistance at 7,367 until loose-ends are tied. The Index could encounter subsequent resistance at the ascending trendline around 7,475 and 7,570.

Unlike the FTSE, the CAC 40 enjoys a relatively stable domestic backdrop. To that end, the French equity Index has enjoyed a steeper climb than its British counterpart and rests slightly beneath recent highs at 5,672. The level will look to resist a continuation higher. If surpassed, the CAC 40 could target levels not seen since 2007 when the Index traded above 6,000. Find more analysis in #WikiFX www.facebook.com/wikifxmalaysia/

 

[WikiFX]

Forex broker: Blackrock

Visited on: August 28th, 2019

Conclusion: the broker truly exists



On-the-spot investigation

Regulatory information shows that the office of licensed forex broker Blackrock in Singapore is at 20 Anson Road, and WikiFX team recently visited this office of Blackrock.



We arrived at Anson Road, a well-known CBD that accommodates many shopping centers and office buildings, and found the magnificent office building on 20 Anson Road. The building runs strict security check on visitors, with a modernized access-control system and 2 guards to check visitors’ identities. Near the building entrance, we found Blackrock’s logo on a directory, which showed the company to be on level 18, and the receptionist also confirmed that Blackrock is on level 18. We concluded that Blackrock’s office in Singapore truly exists.


Analysis

Singapore has a well-established financial regulation system as one of the pioneering countries in this aspect. The main regulatory body, Monetary Authority of Singapore (MAS), was established in 1971 and enjoys great independence and authority which allow it to effectively oversee the financial industry in Singapore. In recent years, the institution has further improved its reputation by implementing efficient and safe regulation infrastructure and improving market transparency. Investors are showing more interest in brokers based in Singapore, so WikiFX is visiting some of these brokers to bring investors more information.



According to Blackrock’s website, it is a global corporation that offers assets management, risk management and consultation services. With over 70 offices in 30 countries and regions across America, Europe, Asia, Australia, Middle East and Africa, the company is among the largest of its kind, providing comprehensive services to clients through a synergy of its global influence and local network. Regulatory information shows that Blackrock is currently under the supervision of MAS (Singapore), holding a license for retail forex brokerage.



Conclusion

WikiFX App shows that Blackrock is registered in Hong Kong. The broker currently holds HKSFC’s futures license, a retail forex license from MAS (Singapore), common financial service license from ASIC (Australia) and investment advisory license from FCA (UK), among which the ASIC license and FCA license are not authorized for forex brokerage. Blackrock has been in business for 15 years and has a WikiFX rating of 7.36, but as 2 of the broker’s licenses are not authorized for forex brokerage, investors should still be careful about risks of overrun business in choosing this broker.

 

[WikiFX]

Forex broker: Blackrock

Visited on: August 28th, 2019

Conclusion: the broker truly exists



On-the-spot investigation

Regulatory information shows that the office of licensed forex broker Blackrock in Singapore is at 20 Anson Road, and WikiFX team recently visited this office of Blackrock. We arrived at Anson Road, a well-known CBD that accommodates many shopping centers and office buildings, and found the magnificent office building on 20 Anson Road. The building runs strict security check on visitors, with a modernized access-control system and 2 guards to check visitors’ identities. Near the building entrance, we found Blackrock’s logo on a directory, which showed the company to be on level 18, and the receptionist also confirmed that Blackrock is on level 18. We concluded that Blackrock’s office in Singapore truly exists.


Analysis

Singapore has a well-established financial regulation system as one of the pioneering countries in this aspect. The main regulatory body, Monetary Authority of Singapore (MAS), was established in 1971 and enjoys great independence and authority which allow it to effectively oversee the financial industry in Singapore. In recent years, the institution has further improved its reputation by implementing efficient and safe regulation infrastructure and improving market transparency. Investors are showing more interest in brokers based in Singapore, so WikiFX is visiting some of these brokers to bring investors more information.


According to Blackrock’s website, it is a global corporation that offers assets management, risk management and consultation services. With over 70 offices in 30 countries and regions across America, Europe, Asia, Australia, Middle East and Africa, the company is among the largest of its kind, providing comprehensive services to clients through a synergy of its global influence and local network. Regulatory information shows that Blackrock is currently under the supervision of MAS (Singapore), holding a license for retail forex brokerage.


Conclusion
WikiFX App shows that Blackrock is registered in Hong Kong. The broker currently holds HKSFC’s futures license, a retail forex license from MAS (Singapore), common financial service license from ASIC (Australia) and investment advisory license from FCA (UK), among which the ASIC license and FCA license are not authorized for forex brokerage. Blackrock has been in business for 15 years and has a WikiFX rating of 7.36, but as 2 of the broker’s licenses are not authorized for forex brokerage, investors should still be careful about risks of overrun business in choosing this broker.

 

[WikiFX]

US and European Union start a new wave of interest rate cut

Central banks around the world are stepping up their quantitative easing efforts to stimulate an economic recovery. On September 12th, European Central Bank (ECB) announced after decision meeting to further cut the deposit reserve rate from -0.4% to -0.5%, while restarting the quantitative easing scheme from November with a plan to purchase €20 billion-worth of bonds each month. On September 19th, US Federal Reserve will also release its decision on interest rate, which is expected to be down by 25 basis points in September.

WikiFX global finance calender
View in the WikiFX App

Emerging economies in Asia may be next

Since the beginning of this year, the manufacturing in Asian countries and regions have experienced low tides due to trade war and other financial incidents. With the Purchasing Managers' Index (PMI) dropping below the 50 mark, many emerging market economies in Asia are joining the US and EU in cutting interest rates. This week has seen slight fluctuations in Asian currencies, with dips in the prices of PHP, INR and MYR against USD. Over 10 Asian economies including the Philippines, India, Malaysia, Thailand and Indonesia may try to boost domestic economy through further interest rate cut. According to a survey of Reuters, Bank Negara Malaysia may keep its benchmark interest rate unchanged on Thursday to save room for further interest rate drop to counteract domestic economic slowdown and uncertainties in global trade.

Risks that forex investors should beware of
Advanced economies like European countries may benefit from currency depreciation as it creates economic stimulus through inflation and more competitive exportation. However, devaluation of currency may lead to excessive deflation which will further harm the already vulnerable economy in developing countries. The latest wave of interest rate drop has driven prices of currencies to their lowest point in many years, which not only causes investors heavy losses but also shakes the global market.

Forex market is full of uncertainties, which require investors be more risk-conscious and follow the latest market trends, particularly the macroeconomic policies, including fiscal and monetary policies, of central banks, as they have direct implications on forex rates. In addition, key economic indicators as well as investors’ hedging sentiments will also affect the rate of currencies. If you’d like to learn more about forex market trends and investment tips, you can download the WikiFX App to check out the forex information we constantly update for investors.