Trading Forex - Possible FED Intervention

Federal Reserve Bank's role as a market stabilizing force has been taken to new highs over last few months. In the aftermath of the "housing market bubble" and "credit crunch", popular media and Wall Street executives were pleading, well, demanding, forceful action by the FED. It was suggested car insurance prices rates should be cut and liquidity "injected" into the financial systems. Surprisingly to some, our Central Bank did all that and more, saving Bear Sterns from certain demise.

Some might see it as FED simply doing its job, promoting psychological stability and diluting market pessimism. Others argue that they are way too responsive to Wall Street wishes, bailing out individuals and companies from their greed induced troubles. Whatever the reason, recent FED's activism in equity and debt markets has been way above normal. Will this spread into currency markets as well?

Over last few weeks following headlines have been seen on front pages of important newspapers: " Oil up on another dollar slump", "Dollar weakness causes yet another oil jump". And many similar ones. Slowly but surely general public makes a connection between the two. Soon enough there will be a prevailing belief that stronger dollar should bring oil prices down. Can FED do anything about it? Over next few weeks we expect to see more and more talk about an all out INTERVENTION. Our fiscal authorities, being so helpful in one crisis, surely should accommodate our wishes in another.

If this actually happens, does FED have enough muscle for a successful intervention? Currency markets being the largest financial markets on earth, surely would require massive amount of money in order to change major trends. Most likely this kind of action would need a coordinated effort by a number of central banks, with a commitment to do it for weeks if necessary. The good news is, just about every major economy on earth would like to see some strength in USD, so other central banks would be likely more than happy to help.

Many market observers claim that interventions are a waste of time and money, and in the long term markets will do what they intended to do in the first place. As an example they often point out Japanese Central Bank prolonged intervention in Yen in 2004. Bank of Japan was publicly unhappy with USD-JPY rate falling under 115.00 level. In spite of continues BOJ actions the market slowly but surely, went to as low 102.00 before rallying for next couple of years. What we don't know, and never will, is how low the rate would have gotten without BOJ stepping in. For what we know, price could have fallen to 90.00 or maybe 80.00. Who knows?

This kind of market actions don't happen often enough to have a statistically valid evidence of outcomes. In 1980's central banks were obligated to maintain exchange rates within certain boundaries. Once prices reached specified levels, intervention could be expected and even guaranteed. That is not the case these days. Central banks will not advertise their actions, they will simply step in.

There is no guarantee that an intervention will happen, but the probabilities of this taking place are growing with every week. It doesn't mean that one should start piling up dollars. Traders West Virginia Lemon Laws to stick to their systems and methods, even if they call for shorting USD. They just don't want to leave their positions unprotected. Stop/loss is a MUST , because if the intervention comes, it will mean hundreds of pips within hours. S/L on every trade is a cheap insurance policy.

Mike P. Kulej is a Chief Forex Strategist for Spectrum Forex LLC. He specializes in mechanical trading systems as explained on www.spectrumforex.comhttp://www.spectrumforex.com - Spectrum Forex LLC offers numerous services to individual traders. With questions and comments e-mail him at href="mailto:kulej@spectrumforex.comkulej@spectrumforex.com

Call of Duty 4 Golden Weapons

In Call of Duty 4: Modern Warfare there a many weapons and skins to choose from. You could choose a m16 with red tiger skin or an m4 with blue tiger skin, but have you ever noticed the weapons with gold skin cash for structured settlements them? Well in this post I will explain how to get these gold weapons, if there is any advantage to having them, and which gold weapon is easiest to get.

First of all I will explain how to get the golden weapons. In Call of Duty 4 there are 5 golden weapons. The weapons are the ak-47, dragunov, m1014 shotgun, mini uzi, and m60. To get each of these golden weapons you must complete all the challenges in the categories each gun is in. For example to get the golden ak-47 you must complete all the challenges in the assault class. To get the mini uzi you must complete all the challenges in the sub machine gun class.

Now you may be wonder, "After I do all of this work the gun is surely going to give me an advantage, what is it?" Well the answer to that question is that the gun gives you no advantage over mortgage loan enemy what so ever. So, don't believe your friend who tells you the gun does more damage or any other askew idea. The only thing that changes when you have this gun is that your friends will always want you to die in the beginning of the game so they can use your golden masterpiece.

The easiest golden gun to get is the golden dragunov. It is very easy to get kills and more importantly head shots with snipers than it is with any other weapon set. So set up your sniping class with claymores, iron lung, and stopping power and get on your xbox and start working on those challenges!

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