I am worried about the effect of the crisis in egypt in forex? Would it make the forex market go down? Please let me know.
What difference does it make which way the forex goes?
Your job is to follow the trend.
The “crisis” is good for trading, it creates volatility which makes trading opportunities.
The ‘crisis’ in Egypt(that is, the public uprising, the protesting, and the rioting) is definitely going to have an effect on the currencies tied to Egypt’s economy. The FX market as a whole can’t ‘go down’. It isn’t like the stock market in that regard. School of Pipsology time. Seriously.
I thought since the global market is affected by the Egypt crisis, Forex is affected too. But I guess it would rather give an advantage than a problem.
Only select parts of the global market are affected by Egypt. Not the global market in it’s entirety. Egypt isn’t a overly large consumer or producer of anything.
I see. May I know what type of market or industry is affected by Egypt?
The Piponomics blog has some very good points regarding Egypt today. While Egypt in and of itself may not be a singularly large supplier or consumer of any one particular market demand, the market sentiment in regards to the Egypt crisis may have some effect.
I think it will have a dramatic effects on the world economy, and therefore on currency markets as well.
We have Tunisia, Egypt, Morocco, Libya, Palestine, and a smattering of other countries currently going through political uprisings. It’s impossible to determine market impact from Egypt alone at this point.
Can supply or demand explain this crude bounce? Nope. | Forex Blog: Currency Currents
^^
This guy’s smarter than me, and definitely dialed into the information flows in a serious way. He presents some valid points.