Why Currencies offer better risk management than Stocks

THE STOCK MARKET   The stock market should reflect the health of an economy.
In fact it does not because it is mainly manipulated by huge investors and predators like a majority of powerful Hedge Funds capable of bringing the price of a stock up to heaven and of destroying it at the same time making fortunes by playing and amplifying the down trend.

The consequence of this unethical attitude is the collapse on a large scale of entire industrial sectors, indexes and an extension to the global world economy.
Furthermore, the late Subprime scandal is an additional driver to recession.

In the 80s speculation took the form of unfriendly take overs generating, among various financial prejudices, waves of jobless increase. The average shareholder always takes the losses and pays the bill.

After a crash the stock market takes years to recover fully even if a few technical rebounds may be noticed after the collapse. On the long term, generally bull and bear markets alternate with an 8 year cycle.


THE CURRENCY MARKET   It is the most liquid and biggest market in the world.
Investing in currencies, no way to break an economy.

One can take advantage of both bull and bear trends on a currency because another currency is always present as a counterparty.

This market is heaven for fast players who have discipline, military attitude, apply a fixed strategy and never look for the big trade.

Have no greed and you will succeed.

FrEn