Over the past six months it seems like almost every major finance magazine has published an article related to the weakness of the dollar. If you are a currency trader like I am then this topic is particularly relevant to you because you need to know what the long-term trends of each currency are so that you can make profitable trades.
What you probably have not been reading about in the news are some of the events that have been happening behind the scenes or that will be happening in the near future, and why the American economy will ultimately regain its strength.
The single most significant factor affecting the American dollar is the trade balance, and the biggest portion of this problem is related to our war in the Middle East that should never have been authorized, yet is still costing us billions of dollars every single day. I will not spend a lot of time talking about the horrendous actions of the Bush administration (namely that they defrauded their way into office in order to wage a cultural genocide for the sake of gaining control over oil), but there are truly good things that have been happening behind the scenes and that will be happening in the near future.
You will not hear about many of these things in the mass media news outlets in America such as CNN and ABC, and there is an exceedingly simple reason why these manipulated news networks try to convince the American people that there is a threat of danger when really none exists at all: War is profitable. There are powerful groups in our world today whose agendas are motivated by greed and control, and these people engage in heartless wartime profiteering so that they may satisfy their lust for power. But it is not all bad: I will discuss some of the wondrous events that are causing these groups to rapidly lose their power, and what all of this information means for the currency markets.
The Bush Administration has dropped to single-digit approval ratings, and millions of Americans have gone to websites such as Impeach Bush and spoken out about their opinions of why this man is no longer our leader. Dennis Kucinich, a representative from my home state of Ohio that I have had the pleasure of meeting, is leading the way for the eventual impeachment and forcible removal from office of Bush and his war-mongering cronies.
The Bush Administration has inadvertently caused a global recession with their desire to wage a heartless war, and the signs are strong that the global community has finally come together and told these warmongers "Enough!" They are rapidly losing power as people are becoming more conscious and aware of the fact that they have been lied to by the controlled mass media outlets.
If you are looking for really good forex trading opportunities, I would be willing to bet that when the news releases come out stating things such as Bush's impeachment or other things that peace-loving people the world over are working to create, there will be a large jump in the value of the dollar in the window of a day or two.
The really good news for the dollar and for the American people is coming from Japan. The Japanese are the largest holders of foreign dollar reserves (around $5 trillion dollars), and they have openly declared that they will no longer fund the American war effort.
The reason why I remain optimistic about the future of the American economy is because of the two main presidential candidates that have come forward to lead our country. In my mind (and in accordance with recent political data), the two main candidates in the 2008 presidential election will be Barack Obama and Ron Paul. Both of these men are benevolent leaders and are sufficiently equipped to rectify the errors of the Bush Administration, and Ron Paul has openly stated that he will abolish the Federal Reserve and the IRS to create a more prosperous America.
In the last paragraph, notice that I said the "American economy" and not the dollar. This is an important point, because many benevolent and powerful leaders are discussing new potential monetary systems for the United States that can lead to greater prosperity. The Federal Reserve system is based upon perpetual debt, and it is not sustainable because it steals wealth from the American people and puts it into the pockets of a few. This is all very good news, and so you may be wondering how this plays into your forex trading.
The dollar will continue to go down so long as our war is not stopped, and so for the next few months until the Bush Administration is forcibly removed from office or until they simply fade away to be replaced by a new leader, there will still be a downwards trend for the USD.
After our war ends due to internal political pressure from our benevolent leaders as well as financial pressure from the Japanese, many Japanese leaders are discussing the possibility of using their foreign dollar reserves to create a global humanitarian mission where they can bring knowledge and modern telecommunications access to countries that have not been able to provide it for themselves.
As this happens the American economy will regain strength because our trade balance will become much more sustainable. So ultimately for your forex trading, the downwards trend for the dollar will continue until these big benevolent changes occur, afterwards the American economy (as well as the global economy as a whole) will regain its stability.
Good News For People Who Love Bad News
Unfortunately the relationship between transfer agents and the companies and investors with which they do business isn't always peaches and cream. As of late, it seems as if the industry is suffering - overcapacity, lack of trained service people, and ill communication between agent systems have led to frustration on both ends. But that doesn't mean there isn't any good news in the world of transfer agents.
For instance, the Securities Transfer Association (STA) now has a website offering information for investors and there is a trend toward strengthening agent systems to avoid confusion, costly mistakes, and other problems that plague the transfer agent industry. Although every company does need a transfer agent, pressure from the competition (brokers and asset managers) will hopefully encourage the industry to improve current circumstances.
The transfer agent enterprise is actually a very simple one, so it's worthwhile to continue using the services it provides to your advantage. Transfer agents that know how to keep things uncomplicated and straightforward are coming to the forefront and, hopefully, will force everyone in the business to follow suit. With basic bookkeeping and accurate typing as the two primary facets of the industry, unnecessary complications should not bog down the business.
For the transfer agents who are beginning to do things right, it's a low cost business that can truly provide a much-needed service to the investing world. In the past, huge fixed costs complicated the system, but now, efficiently run transfer agents that utilize modern technology don't have to spend a lot to keep afloat. And with the practice of mailing paper certificates disappearing, costs are being cut even more. A large staff, the most expensive part of any business, is no longer needed to type and mail these certificates. And the trend toward outsourcing means even more cost cutting.
In addition, more and more transfer agents are realizing that being on top of the game - doing things properly from the get-go, anticipating questions, providing answers before they're asked, and staffing knowledgeable employees - lowers costs and benefits for everyone. As the industry as a whole becomes a well-oiled machine, transfer agents are expected to impress instead of disappoint.
Another auspicious trend is the movement in the direction of consolidation. As transfer agents merge and simplify the business, it is hoped that the state of the industry will improve and savings will be passed on to all involved in the process.
Working with a transfer agent will remain a viable option as long as investing continues to increase. If current trends are any indication of the future, troubles with transfer agents have the potential to become a thing of the past.
Both Andrew Shiveley & Katerina Mitrou are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
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