男女羞羞视频在线观看,国产精品黄色免费,麻豆91在线视频,美女被羞羞免费软件下载,国产的一级片,亚洲熟色妇,天天操夜夜摸,一区二区三区在线电影

Daryl Guppy

Parabolic trends found in currencies

By Daryl Guppy (China Daily)
Updated: 2010-05-24 10:21
Large Medium Small

Parabolic trends found in currencies

Nothing drives markets faster than fear. Markets move quickly often with cascading falls. In currency markets when one currency goes down then the other currency pair goes up. The Dollar Index has developed a particular type of trend behavior in recent weeks as concerns grow in the Euro zone. The dramatic dollar index rise from $0.81 to $0.87 is more than just a fast trend rise. It has developed a parabolic trend rise.

The parabolic trend has four important features. The first is the way it captures an acceleration in behavior. The trend starts slowly and then gathers speed, rapidly moving up with increasing volatility. This is not a bubble and it is not a rally. These have different behaviors.

The second feature is the shape of the parabolic trend rise. This is defined with a curved parabolic trend. This is not a true parabolic curve because as the trend accelerates the curve changes shape until it becomes vertical. It's the vertical section of the curve that is most useful because it provides an exact date when the trend will inevitably collapse.

Parabolic trends found in currencies

The parabolic trend line uses three anchor points to start the definition of the trend line. Then the position and shape of the curve does not change. The vertical section of the curve remains fixed in time. Every day a new candle is added to the right of the previous days candle. Eventually, and inevitably, a candle will move to the right of the vertical section of the parabolic trend line and signal an end to the trend. This is the third feature of the parabolic trend line. The trend has a final ending date that can be calculated in advance using the vertical section of the trend line.

A normal straight trend line shows different market behavior. It shows a steady change in the investors' valuation of the stock. The normal trend line does not indicate when the trend will end.

The fourth feature of the parabolic trend line is the high probability of a very rapid collapse in the trend. A good example is the parabolic trend in the oil market in 2008. When this trend collapsed the price dropped from $145 to $90 in 13 weeks.

The Dollar Index has developed a parabolic trend. Using the behavior of this trend sets an end date for the trend about the end of June if the trend develops fully. The potential high for the dollar index is near $0.89. The trend could carry price above these levels towards 91 cents. The parabolic trend is not used to estimate price highs. It is used to identify the behavior of the trend and its collapse.

Related readings:
Parabolic trends found in currencies US unlikely to push China hard on currency issue
Parabolic trends found in currencies Currency swaps, regional bond market better for Asia
Parabolic trends found in currencies China's foreign currency loans fall in April
Parabolic trends found in currencies PBOC report signals currency policy change

The parabolic trend may collapse before the end of June. A trend collapse is signaled when the price closes below the value of the parabolic trend line.

The trend collapse is often very rapid and with the dollar index this gives a downside target near $0.81. This target is based on the previous consolidation area. Additionally parabolic trend collapses often retrace 80 percent or more of the original trend rise.

The behavior of the parabolic trend line suggests there is a high probability of further rises in the Dollar Index followed by a substantial and rapid fall. This increase in currency volatility has been a feature of the currency market since 2008. Investors must learn to use effective currency hedging strategies.

The author is a well-known international financial technical analysis expert.

 

主站蜘蛛池模板: 凤凰县| 永城市| 绥芬河市| 西峡县| 独山县| 桂林市| 灌南县| 陆川县| 柳林县| 乐至县| 大埔县| 甘德县| 故城县| 枣阳市| 洞口县| 安化县| 磐安县| 宁武县| 平利县| 年辖:市辖区| 邹平县| 南投市| 闵行区| 轮台县| 上虞市| 如东县| 元阳县| 舒城县| 余庆县| 新疆| 正安县| 仪陇县| 台北县| 博爱县| 宁海县| 汉沽区| 峨眉山市| 阿拉善右旗| 淮北市| 微博| 博罗县| 休宁县| 凤冈县| 黄山市| 修武县| 六安市| 远安县| 壶关县| 朝阳市| 高清| 华安县| 宁阳县| 临澧县| 深圳市| 三明市| 肃南| 桐乡市| 册亨县| 达拉特旗| 博野县| 翁牛特旗| 和静县| 新余市| 揭阳市| 冷水江市| 平罗县| 衡东县| 潼南县| 兰坪| 廉江市| 新乐市| 临湘市| 砀山县| 五大连池市| 东莞市| 新田县| 阳原县| 黑水县| 淮滨县| 涞水县| 揭阳市| 南川市|