Essay: Forex Trade

Sample Essay

When discussing forex trade, ex change rates are important as they reflect the activity in the money market. This article by Pau Alberto discusses the effect the exchange rates have on forex trading and the forecast for 2011. This article particularly analyses the euro dollar exchange rate forecasts for 2011.

It is expected that in this year the euro will perform poorly as compared to the dollar. The expectation of experts is that there will be a drop based on the dip in recession in 2010. the article reports that expectations from standard chartered bank for an exchange rate of less than 1.20 by June. This shows the weakening of the euro is due to the financial issues that are facing Europe. Without a doubt the crisis created by the recession affects the performance of money in a region and the world in general.

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