8 Interesting Facts About U.S. Currency

You might find this list of facts about US currency interesting and surprising. Currency is also known as “paper money” and “banknotes.” It has been used in our country for the last 250 years, and has a “note” worthy history. 1. Why are one dollar bills referred to as “bucks?” In the late 18th century,…

You might find this list of facts about US currency interesting and surprising. Currency is also known as “paper money” and “banknotes.” It has been used in our country for the last 250 years, and has a “note” worthy history.

1. Why are one dollar bills referred to as “bucks?” In the late 18th century, money was in such short supply that Americans would trade items they had. Buckskins were the most valuable commodity traded. Buckskins were in such demand that early Americans used them as the standard “currency.” A buyer would ask, “How many buckskins is that rifle worth?” Today, we say “bucks” as currency. One buck is one dollar.

2. What is a “sawbuck?” A “sawbuck” was a device to hold wood steady so that it could be cut. It was constructed in the shape of an “X” – a crossbar that held the wood log safely down. The ten-dollar bill was called a “sawbuck.” During and after the Civil War, the “ten” on the bill was printed as an “X” – Latin sign for the number “10”.

3. Why is US currency green? The green ink used to print US banknotes was invented in 1857 by Thomas Sterry Hunt, a chemistry professor. He proposed chromium trioxide for the banknote ink which causes the bills to look green. The green ink is the reason why so many counterfeiters are unsuccessful at reproducing US currency and can not be copied by photography. Also, the green ink also can not be destroyed by acid, base or any other agent.

4. No African-American has ever had their portrait on any American banknote. A rumor has been in the news that Harriet Tubman's portrait will replace Andrew Jackson on future 20 dollar bills.

5. By 2020, Alexander Hamilton's portrait on the $ 10 bill will be replaced by a woman. So far, nobody knows who it will be.

6. In 1928, all of the statesmen whose territories are on the $ 1-George Washington, $ 5-Abraham Lincoln, $ 10-Alexander Hamilton, $ 20-Andrew Jackson, $ 50-Ulysses S. Grant, and $ 100-Benjamin Franklin are still on these bills.

7. If you had one million one-dollar bills, and you spent one dollar every minute, you would go broke in 695 days. If you spend a dollar every second, you would be broke in 11 days.

8. There has only been one female's portrait on a US banknote- Martha Washington. She appeared on the face of the $ 1 Silver Certificate, Series 1886 and 1891, and on the back of the $ 1 Silver Certificate, Series 1896.

Paper money has had a rich history in our American economy. It is also a fascinating topic for conversation. I hope these facts will be interesting enough to talk about with your friends or family.

Deflation, The Economic Nightmare

Many confuse the term deflation with inflation. In economic reality deflation occurs when there is a contracting in the volume of available money or credit that results in a decline of general price levels. Keep in mind that deflation is more damaging than inflation in that it creates a downward spiral in which the expectation…

Many confuse the term deflation with inflation. In economic reality deflation occurs when there is a contracting in the volume of available money or credit that results in a decline of general price levels. Keep in mind that deflation is more damaging than inflation in that it creates a downward spiral in which the expectation of falling prices reduces demand and pushes prices even lower as it happened in 1929. When there is a decline in prices and still no one can afford to make purchases deflation is the end result. This is often caused by a reduction in the supply of money or credit. Deflation can also be caused by a decrease in government, personal or investment spending. The opposite of inflation, deflation has the side effect of increased unemployment since there is a lower level of demand in the economy, which can lead to an economic depression. Central banks have attempted to stop sever deflation, along with severe inflation in the past but are failing miserably today. All the Fed has done accelerated accelerated deflationary trends in every Quantitative Easing policy they have made. Today, some may point out that there is juggernaut of financial calamity steaming toward the economies of the world. The reality facing the world today is that we are all precariously close to falling into another Great Depression.

It has been 83 years since the Great Depression and yet history is about to again repeat. Through lust, greed and a total disregard for morals has damaged and corroded the economy of the worlds industrialized nations. Many would have thought that with the coming of the 21st century man would have risen to greater heights in eradicating poverty. But, the exact opposite has occurred. Today there is more widespread poverty all across the globe that has not been seen since the 1930's. Still some analysts seem to think it is inflation that is making a big comeback. Their reasoning: Interest rates have started to move higher, hence, inflation is lurking out there. But, they're clueless just like our legislatures. These so called analysts are confusing declending bond prices (rising interest rates) with normal times. Normal Times! Just what is normal today?

It is true that interest rates all over the globe are inching upward and bond prices are sliding, most notably in Europe. But, that really does not mean inflation is coming back. We are failing to recognize that a sovereign debt crisis is fast approaching. That final point in time. That day of reckoning where many investors and now many economists have begun to realize that Europe, Japan and the United States are just plain bankrupt and will never really make good on their debts. What we are seeing today is that the US and many countries in Europe are doing everything they can to chase, track, tax and even seize one's wealth just so they can keep the illusion that they are remaining solvent.

The reality today is that more tax is taking place all through-out Europe and Japan. Income tax hikes are now on the way for every American. Government surveillance is rampant. We have now experienced banks only allowing limited withdrawals. And in many cases seizures of accounts for no apparent reason. In Europe for instance they have enacted expanded capital controls. In France business can no longer use cash. Similar controls over peoples money already exist in Greece, Cyprus, Italy and Spain. This is just some of the moves by governments to cover up the fact that practically every industrialized nation is really in deep financial water. Intentionally, we are seeing governments distracting the general public from the harsh reality that is about to land right in our laps by all the other distractions that is occurring all around the world. The US government is no exception either.

There are plenty of signs of other Global Instability aside from the civil war in Syria, the conflict between Russia and the Ukraine, and the ISIS terrorists. By the way the US as only added fuel to the fire with our imposed sanctions against Russia. China is pursuing aggressive action in the South China Sea. In Europe the number of separatist, anarchist and even neo-Nazi groups are gaining in popularity. This is true even in the United States where we have seen an increase in separatist movements. And, considering the top 1% as well as banks they all have been hoarding their wealth. This is deflationary.

Other disturbing factors that pin point the US is facing almost the exact economic conditions of the 1930's. When you take a real close look at the stock and commodity market trading volumes are less than half of what they were in 2007. Other factors to consider are the year-over-year change in US retail sales. Retail sales for years have been declining. US consumer confidence has fallen in every year since 1999. Quarterly, the US GDP has been in declining along with consumer confidence since the last year of the 20th century. US industrial production has seen steady if not drastic cuts in production for years now. Many in the media and our esteemed leaders of state continue the ambition that all is well and good in the economy today. When they tout the job numbers and the efforts of the Fed keeping interest rates low they all fail to recognize the harsh realities facing our entire economy today. Compounding this quandary is the fact that our national debt is so immense that day of reckoning is just around the corner.

In the big picture taking a look at commodities we find that Gold has gone from a record high just a few years ago and now along with gold silver has seen a sharp decline in value. In basic terms when the dollar is strong like it is today gold and silver lose value. The flip side when the US dollar is weak like it was just a couple of years ago the price of gold soared. In regards to the inflationary trends we have seen in the past those rising prices especially with the cost of food and energy now have diminished our chances to capture good living wage jobs are now compromised for capital garnishment.

As the price of gold rose through the past decade we've been inflating, no matter what the more quiescent government measures of consumer prices have been telling us. Until recently the US dollar was losing value. With a weak dollar really explains the reality of diminished capital. But, now with a strong dollar the capital infusion should be dumping into our economy but it is not happening. Banks, big business and the 1% are all hedging their wealth. Here we have gone from an inflationary trend right into a deflationary trend and are real close to a full blown depression. An economic nightmare is soon to be unleashed upon the US economy and the rest of the world.

The question remains is it already too late to stop this pending catastrophe? Maybe, then again maybe not. But, only when government recognizes the hard cold facts and understandings that radical reforms must be implemented in order to prevent this nightmare from crushing the economy and leaving millions so destitute. The best chance to eliminate this costly financial disaster is to ratify National Economic Reform's Ten Articles of Confederation.

Digital Currency Is the New Trend

If you are not a big fan of digital traditions, and may be skeptical towards it, the first question that would probably get into your mind is why you will use it if you do have a stable currency already that you can hold and are sure has actual value. This has been a shared…

If you are not a big fan of digital traditions, and may be skeptical towards it, the first question that would probably get into your mind is why you will use it if you do have a stable currency already that you can hold and are sure has actual value. This has been a shared sentiment among all new users of the this currency, but if you come to look into the trends, you will begin to realize that as time passes by, digital currencies are slowly making their way to be generally accepted in any market -pecially when we begin to talk about Bitcoin.

Although it is not the existing alone, it started the very revolution that allowed the emergence of new and also stable digital channels. Consider this as an interim breakthrough that may later on change the way we look into finance and business transactions in the future.

Now to answer the question why use this type when you already have a reliable fiat currency that you can use, the most reasonable one would be anonymity. Remember that when you are making transactions-even online-that involves any form of currency, you would need to provide a profile that people can look into and know about you in order for even a single transaction to go through. With this, complete anonymity is possible, people do not need to know who you are, if you have a this, you can freely exchange it over networks that accept it. How is this possible without duplicating the existence of one unit? This has been well-though about by the creators as the double spending attack has been already well addressed prior to the launch of the software. Also, lower transaction fees are spent in comparison to fiat money when you are using it and thenby saves you a lot. Another reason is that there is no existing maximum limit to how much you spend or trade-as long as you have it, you have the freedom to spend it.

Looking at these reasons, the next question you will have in mind is how secure these transactions are. The creators and developers of such treaties already had this in mind that is why these type usually involve a public ledger that anyone can access and look into to verify and check for verification.

While it is not yet globally and generally accepted, a lot of people have already invested in its use and are becoming experts. Bitcoin was a project that many have disregarded in the past, but if you look at it closely these days, you will realize how much actual and real value Bitcoin has generated and how much it has been accepted by the general public.

Slowly, since its birth, a lot more of this type has achieved, one succeeding and others failing, depending-and is always a stake. What you need to make sure of is that you do not spend money you do not own and later be subordinated to too much debt.

In the past, this kind of money was not yet that possible, but in today's reality, it has slowly changed the way finance and trade exists in the market. There are pros and cons in the use of such form of money, but sooner or later, the evolution of the industry coupled with the expertise in technology will bring about the change that many governments will not like but many people will choose to do. Digital currency is at its starters point at this age, but as it is slowly moving, who knows if it will later become an integral part of every institution and government.

7 Reasons to Use Forex Technical Indicators

If you have studied technical analysis, you know that there are many technical indicators to choose from, and, often, you even have to use a combination of these indicators. However, there is no need to fear technical indicators. Some of them sound complicated, but they can be really simple once you get enough courage to…

If you have studied technical analysis, you know that there are many technical indicators to choose from, and, often, you even have to use a combination of these indicators. However, there is no need to fear technical indicators. Some of them sound complicated, but they can be really simple once you get enough courage to study them.

Most of them, such as the complex-looking Fibonacci retracement, can be generated on your computer. Here are some good reasons for using Forex indicators:

1. They can be relied on to generate results.

Forex technical indicators use mathematical formulas. When you do math, you get a result even if the result is not as neat as you would like it to be. Some of the indicators require you to draw graphs, and you may have to pick an arc, a peak, or something else from the graph. Again, this may not be the easiest way, but you will get your results.

2. Combining technical indicators can generate more accurate market predictions.

If results are not clear enough for you to be sure about your market prediction, you can make use of a couple or even several indicators to get more accurate results. Compare the results from each of those chosen indicators. See if they are mostly headed in the same direction.

3. Choosing the right technical indicator can provide the targeted specific result.

If you pick the right indicator, you can get a specific result and not just a generalized one. If you are not using any technical indicator at all, you may have to set for more general results.

4. Your choice of technical indicators reflects your trading experience and know-how.

Knowing what technical indicators to use at a given moment will show just how experienced you are in trading. This may not be something you want to be out there for everyone to see, but you get to know just how savvy you are becoming in Forex trading if you can automatically pick an indicator at any given moment.

5. You can objectively arrive at a market prediction.

As with technical analysis in general, the indicators are objective. They do not express opinion, but are actually representations using raw data. These data may then be used in formulas. When you are being objective, you can get consistent results, which eliminates having to guess all the time.

6. There is no need for speculating about the effects of a country's stability and instability on its currency.

With technical indicators, you have tools to depend on to calculate and predict market trends in the future. You do not have to breathlessly wait for the next headline about the country of the currency you are trading in.

7. You can arrive at your result faster than perusing several pages of charts and graphs.

Some technical indicators also use charts and graphs. However, with indicators you know what you are looking for. You are not just looking at peaks and valleys of charts and graphs, but you know which points to focus on instead of meandering through every dot.

Why You Need Technical Analysis Training

The foreign exchange market can be a dangerous territory. That's why you need technical analysis training. More risk is involved here compared to other investments. This is because treaties can drastically increase or decrease in value in a short period of time, which means that you will need to keep a good watch on trends.…

The foreign exchange market can be a dangerous territory. That's why you need technical analysis training. More risk is involved here compared to other investments. This is because treaties can drastically increase or decrease in value in a short period of time, which means that you will need to keep a good watch on trends.

One way of helping you become more receptive to the foreign exchange market is technical analysis training. You probably have heard of different analysis training courses offered to current and would-be traders. Here are some of the reasons why you should get training for technical analysis:

1. To be able to predict markets more effectively

Technical analysis training helps you predict markets more effectively. You will be taught all sorts of formulas and graphs that you can use to predict the rise and fall of a certain currency. Being able to predict markets effectively and accurately is important to winning gains in the foreign exchange market.

If you can predict whether a currency will rise and fall the following day, week, or even month, then you know whether you should be selling or buying. If you do not have anything tangible as technical analysis training, you may have to go with your gut feeling, which may not always be right. You have to be more careful with your investment.

2. To understand trend charts

To be able to predict the foreign exchange market, you should be able to read the charts and graphs that show trends. While the main reason you take a training course is to learn how to do market prediction, a more specific reason is to be able to understand trend charts.

While you may be able to record trends your own way, it is still best to be able to represent trends in charts and graphs. Through this, you also get to understand other people's representation of the foreign market trends. You do not have to wait for experts' explanations, as you can analyze the charts yourself.

3. To be able to meet other traders and other financial market professionals

Some might say that it is better to study reading charts and predicting market trends on their own. This way, they do not even have to pay so-called experts any fee. However, what they do not realize is that when you become part of a technical analysis training course, you can have discussions with other traders and other foreign exchange trading professionals. The exchange of ideas can stimulate more intensive thinking and analysis about the foreign exchange market.

There may also be sharing of techniques and advice from all sorts of people who have experienced trading themselves. The technical analysis training course has then become a sort of compartmentalized fusion of experiences. You get to meet those different people in one sitting in your class.

So you see, technical analysis training is not just a means for the speakers to earn money. You, as the student, will get something out of the training whether you are a beginner or an intermediate trader.

Understanding Forex PIPs and Spread

The percentage in point is popularly known as PIP is the smallest increment by which a given Forex price can change. PIPs help you in calculating the profits that you have made or lost on a given trade. For example, if you enter a long position on GBP / USD at 1.6580 and it moves…

The percentage in point is popularly known as PIP is the smallest increment by which a given Forex price can change. PIPs help you in calculating the profits that you have made or lost on a given trade. For example, if you enter a long position on GBP / USD at 1.6580 and it moves to 1.6600 when you are closing, you will have made a 20 PIP profit.

If on the other hand you enter a short position at 1.6580 and the price moves up to 1.6600 you will have made a loss of 20 PIPs. Short means that you are expecting the price to go down; therefore, when it goes against you, you end up losing money.

Value of A PIP

It's good to note that the value fa PIP changes depending on the pair that you are trading. For you to know the amount of money that you have made or lost it's very important that you know how to calculate the value of a PIP.

Although, many brokers have calculators that will help you in making the calculations easily, it's important to know how to do the calculations on your own. The cool thing is that it's very easy to do the calculation as all you need to know is this formula: 1 PIP / exchange rate = value per PIP.

For example if the USD / JPY = 96.97

0.01 / 96.27 = 0.0001038

1 PIP = 0.0001038 USD

Spread

The spread is the difference between the asking price and the bid price. Many currency wholesalers provide a spread of 1 or 2 PIPs while retail brokers give a spread of as much as 20 PIPs.

There are many factors that affect the spreads. One of the factors is the impending news such as inflation reports and central bank meetings. The good thing is that when the news are absorbed and the market stabilizes, the spread usually snaps back into its normal position. Experts recommend that you should avoid trading a few hours before important news are announced.

Tips On How To Be Successful In Forex Trading

For you to successfully trade in Forex you need to have a good broker. While there is no formal regulation for Forex brokers, it's wise that you go for one who is a member of the national futures association and abides by its standards.

Your broker should regularly let you know about major news that might affect the market. To avoid making loses you should always put risk preventive measures into place. For example you should make use of the stop-loss feature.

3 Ways To Manage Your Risks In The Forex Market

Risk management in Forex trading is very important as it means the difference between success and failure. For you to be successful in Forex trading you need to know how to manage your risks. To help you out here are some of the strategies that you should put into place. Use Stop Loss Order This…

Risk management in Forex trading is very important as it means the difference between success and failure. For you to be successful in Forex trading you need to know how to manage your risks. To help you out here are some of the strategies that you should put into place.

Use Stop Loss Order

This is an order that prevents you from making huge loses. Since the Forex market is very volatile, you do not know the direction that it can move; therefore, you should set a stop in a spot that you want the trade to close. When you set the order, the trade just closes when it reaches the target spot so you can not lose any more money.

To be on the safe side you should set the stop loss at an spot where you can afford to lose a given amount of money. Once you set the order always stick to it and never be tempted to fall further and further out.

Use the Correct Lot Sizes

Many brokers offer leverages that allow you to trade large amounts of money than you have already invested. For example, you can open an account with $ 300 and then use a leverage of 200: 1. Using this leverage means that you have up to $ 10,000 to trade with. When you trade with this money you can make huge loses or huge profits.

To avoid making huge losses you should be as conservative as much as possible and always start trading with a small leakage. This way you will not only make just small loses in the event the market goes against you, it will also help you in being flexible and be able to manage your trades with logic instead of emotions.

Never Trade What You Can not Lose

This should be the first tip-you should never try to trade an amount that you can not lose. As rule of thumb you should only work with an amount of money that will not affect your day-to-day life even if you lose it. Research has shown that when you trade a large amount of money that you can not lose, you tend to compromise your decision making which increases your chances of making mistakes.

Conclusion

These are some of the ways in which you can manage your risks in Forex trading. Trading with a risk management strategy in place ensures that you are still in the game and at the same time you have your money in the pocket.

4 Reasons Why Many Traders Fail In Forex Trading

Did you know that not everyone succeseds in Forex trading? Here are some of the main reasons why many people fail in the trade: Failing To Focus On the Important Things For you to be successful in Forex trading you need to focus on the chart, economic calendar and any other information that might affect…

Did you know that not everyone succeseds in Forex trading? Here are some of the main reasons why many people fail in the trade:

Failing To Focus On the Important Things

For you to be successful in Forex trading you need to focus on the chart, economic calendar and any other information that might affect the price of the pair that you are trading. The price chart is your most important friend as it contains all the information that you need to make the right trading decisions. You should always pay close attention. To it

Focusing On Too Many Currencies

Have you heard the saying that too many cooks spoil the broth? That's what happens when you try to trade using many treaties. To increase your chances of being successful you should focus on only one currency pair. For example, you should concentrate on EUR / USD pair and ignore all the others. When you have only one pair to focus on you will have less information to deal with and this increases the chances of making the right trading decisions.

Having Poor Risk and Money Management

The Forex market is very volatile and a small change can see you losing a lot of your money. To be a success you need to guard your money jealously. This calls for you to put into place risk preventive strategies. For example, you should put stop losses in order to put a limit to the amount of money that you can lose at a given time.

You also need to be cautious of the amount of money that you expect. As rule of thumb you should never expect more than 5% of your investment. This is to ensure that you do not lose a lot of money when the market turns against you.

Working with Any Broker

All Forex brokers are equal, right? Wrong. Different brokers have different rules and strategies. There are also many fake brokers who are out there to just take your money. Before you invest your money with a given broker you should do your research and only settle with the best broker in the market.

Some of the factors that you should consider when making your choice include: customer service, broker's reputation, minimum amount to deposit and ease of using the broker's website.

Conclusion

These are some of the reasons why many new traders fail in Forex trade. By avoiding doing the above things you will definitely be a success and you will be laughing all the way to the bank.

Understanding 3 Of The Most Common Forex Indicators

Indicators are technical analysis tools that help you in understanding the movement of Forex prices. The indicators are usually created using a given formula so that they are accurate in their working. There are many types of indicators in the market. Some of the notable ones are: Bollinger Bands These bands are created by calculating…

Indicators are technical analysis tools that help you in understanding the movement of Forex prices. The indicators are usually created using a given formula so that they are accurate in their working. There are many types of indicators in the market. Some of the notable ones are:

Bollinger Bands

These bands are created by calculating the average volatility of a given Forex. They are plotted on the Forex price chart as an upper and lower price band which represents the highs and lows of the average volatility range. You should use the indicators to buy Forex when the price has fallen to the lower band. You should also use them to sell your Forex when the price rises to the upper band.

Oscillator

These are typically a group of indicators and they include: stochastic, relative strength indicators (RSI) and commodity channel index (CCI). Stochastic indicators are based on higher system and lower price closing, RSI are formulated based on relative price strength while CCI gets its results after comparing its price to that of the previous price fluctuations.

You can use any indicator that you want and all you need to do is to choose the one that pleases you the most.

Of the three oscillator indicators, stochastic indicator is the most popular. A stochastic is a line that is plotted on a graph and measures between 0 and 100. The line aids in revealing whether a given stock is overbought or oversold.

If you are short-term trader you should use the indicator to buy a given Forex when the stochastic line moves below 20 thus indicating that the stock is oversold. You should also use the indicator to sell your stock when the stochastic moves above 80 indicating that the price is overbought.

MACD

The moving average convergence-divergence (MACD) indicator is an indicator that is usually plotted on the bottom of a price chart. The indicator is usually drawn as two separate moving average lines. Just like other indicators, this indicator provides you with buy and sell signals.

When the 12-day average converges and moves over the 26-day average, a buy signal is created and you should buy the Forex that you are interested in. On the other hand if the 12-day average moves over the top of the 26-day average, a sell signal is created and you should sell your Forex.

Conclusion

These are some of the indicators that you can use in Forex trade. To be on the safe side always try to understand everything about the indicators before putting them into work.

4 Common Forex Chart Patterns And What They Mean

Charts are very important in Forex trading as they help you in understanding the market better. Charts have many types of patterns that help you to understand the market even better. The most common types of patterns are: Head and Shoulders Popularly known as the H & S pattern, this pattern is a topping formation…

Charts are very important in Forex trading as they help you in understanding the market better. Charts have many types of patterns that help you to understand the market even better. The most common types of patterns are:

Head and Shoulders

Popularly known as the H & S pattern, this pattern is a topping formation after an uptrend. It can also be a bottoming formation after a downtrend. The topping pattern is usually a price high, a retracement, a higher price high, and then a lower low. The bottling pattern on the other hand is a low, a retracement, a lower low, a retracement and then a higher low. This pattern is made complete by a trendline that connects the two highs or two lows.

The good thing with this pattern is that it's tradable as it provides you with an entry level, a stop level and a profit target.

Reversal Chart Patterns

These are chart formations that give you an indication that an ongoing trend is about to change its course. When the reversal pattern forms during an uptrend it gives you a hint that the trend is about to reverse and head down. On the other hand if you see the reversal pattern during a downtrend, it means that the price will later move up.

Triangle

The triangle pattern is common in short-term periods. The pattern can be symmetric, descending and ascending. Triangles usually appear when the prices converge when the highs and lows converge into a as it has an entry, stop and profit target.

The entry is the point where the triangle is penetrated, the stop is the low of the pattern while the profit target is where the height of the pattern and entry price add up.

Continuation Pattern

Also known as consolidation pattern, this pattern shows you how the buyers and sellers are taking a quick break before they continue trading in the same direction. There are many types of continuity chart patterns such as wedges, pennants and rectangles.

To make money using this pattern you only need to place an order above or below the formation and then go for a target that is the size of the chart pattern.

Conclusion

These are the some of the common chart patterns in Forex trade. By keenly following the patterns you will never go wrong. To master how the patterns work it's highly recommended that you read as much as you can about them.