LONDON, July 30, 2012 /PRNewswire/ --
The European markets will be looking this week towards Wednesday's Federal Open Market Committee (FOMC) and Thursday's European Central Bank (ECB) decisions which could see the euro's recent small resurgence against the dollar continue or falter.
Below, we look at what to expect from this week's events and how you can take a position on the EUR/USD with a City Index forex trading account.
Markets Hope for Euro Relief
In early morning trading on Monday, 30 July 2012 - the euro opened weaker as the week's trading is dominated by both Wednesday and Thursday's decisions, with investors contemplating how they will trade.
On Thursday, the ECB's governing council meeting will take place with market hopes of stronger policies to help the euro area combat the spiralling debt crisis.
Initial focus will be on Mario Draghi, ECB president, meeting with Jens Weidmann, head of Bundesbank, to discuss plans for the ECB and a partnership that could potentially see the purchase of Spanish and Italian government bonds on the secondary and primary markets, with the aim of rescuing cooling Spanish and Italian yields. At the same time, any reference by the Federal Reserve in Wednesdays FOMC decision towards a third phase of quantitative easing, could also see the EUR/USD price fluctuate.
Trading the EUR/USD with City Index
Trade across 37 major and minor currencies with a forex trading account from City Index and take a position on the EUR/USD currency pair - which can be traded from as little as 400:1 leverage.
This week, you can trade following both the Fed and ECB announcements on Wednesday and Thursday, respectively - with the potential to profit from only a small movement in the market.
You can go long and buy the EUR/USD with the expectations that it will appreciate against the dollar should these announcements trigger a relief rally for the euro. Your profits will rise in line with each pip the EUR/USD price rises, else you will make a loss.
Through the powerful Advantage Trader (downloadable) or Advantage Web (browser-based) forex trading platforms from City Index - you can trade forex 24-hours a day, with the following key features:
- Personalised trading screen layouts
- Access to advanced forex trading tools
- Customisable charting package
- 100+ built in trading strategies
Start Trading Forex
To start trading forex across a range of trading platforms - including mobile and tablets - you can apply for a forex trading account through the City Index website.
Read More Forex Trading Tips
If you found this article helpful, you may want to read more just like this. You can access a range of forex trading tips, guides and articles through the Forex Trading section of the City Index website.
About City Index:
Today more and more individual traders are discovering the benefits of derivatives, and many of them are discovering them through a City Index trading platform.
As a group, we transact in excess of 1.5 million trades every month in over 50 countries. We provide access to a wide range of instruments including margined foreign exchange, CFDs and, in the UK, financial spread betting.
We constantly look to improve the performance of our platforms and expand our range of services. The result is our customers benefit from innovative trading tools with transparent pricing, competitive spreads, and a high standard of customer support. Visit http://www.cityindex.co.uk for details.
Spread betting, CFD trading and forex trading are leveraged products which can result in losses greater than your initial deposit. Ensure you fully understand the risks.
SOURCE City Index