A Trader's Introduction to the Euro, Part II

[abhinav1bhatnagar]

Excellent info... thnx a ton

[QuickTimeTrader]

Once the US dollar collapses and they begin to move over to the new currency the Amerodollar (which will be the currency for Canada, US, and Mexico) What do you think would be a good currency to move to? Thanks

[InformedTrades]

If the US Dollar collapses then this will mean economic ruin for not only the United States but the world as so much of the worlds reserves are held in US Dollars. With this being said the "soundest" currency has traditionally been the swiss franc, however this currency is no longer backed by gold so some would argue that there will be problems there as a result of this as well. Best Regards, Dave

[QuickTimeTrader]

Thanks for the reply and by the way great vids. Another question. Is it possible to open up futures trading account say from Canada or the US but have an trading account say in Europe. I trade the emini futures mainly the ES(S&Pemini) but would like to trade in euro dollar rather than the US... at least for now. Is this possible and where would I go to get info. Thanks again. QTT

[InformedTrades]

yes you should be able to open a brokerage account in europe and if you search on google for european futures firms you should come back with a list. Some people may find it easier however to simply hedge the US Dollar based account by going long the EUR/USD if they think that the USD is going to decline against the EUR. Best Regards,

Dave

[ForexFrenzy]

I did not know that the Swissy was no longer backed by Gold, considering that the country has so much Gold reserves deep in its Bank vaults...

[marsdiggy401]

If the U.S. Economy collapses I'm assuming that all retirement funds would be wiped out? I imagine that's the same as currency trading if one where to sell all dollars and buy EURO's do you see any limitations on a move like this?

Thanks

[12tod]

Thank you - a very interesting video!

Would you say the one-size-fits-all interest rate could be detremental to eurozone economies, as some British economists have predicted it might?

I know this is a main reason put against Britain's membership of the euro.

But so far no economies in the EU have collapsed as a result of a common interest rate, and the currency is reaching its 10th birthday...would you say their fears are a little far-fetched?

[InformedTrades]

Hi 12tod,

Glad to hear from you and thank you for the comment. In my opinion we have not seen a true test of the Euro up until now, because up until the last year the world and europe as well has gone through a huge economic expansion. Now that the world and europe seems to be going into recession I think we may get that test and I think you will likely see some of the problems that arise when you unite economies under one monetary policy. Best Regards, Dave

[Bigtruck2007]

The euro replacing the dollar,"thats old news!"

[kimflie]

does anyone know how much the flow% of eur and usd is on world basis?

[InformedTrades]

Hi Kimflie, In 2007 according to the Bank of International Settlements which tracks this the EUR/USD currency pair represented 27% of global foreign exchange trades. Best Regards,

Dave

[jelqer]

When will Canada and Mexico accept the US Dollar as their currency?

You my homie!

[InformedTrades]

Hi Jelqer, Thanks for the comment. I don't know about Mexico and Canada excepting the US Dollar as their currency but there is talk of a North American currency which you can find our more about if you google the world Amero. Best Regards, Dave

[porqcaterynka]

In 2014 Romania and Bulgaria will probablly adopt the Euro as their currency. Will this have a huge impact on theese emerging markets? Even strong economies like Germany suffered after replacing the German Mark with the Euro. Will this make the Euro gain strenght against the dollar?

[InformedTrades]

Hi Porcaterynka, I wouldn't know enough about the economies of Romania and Bulgaria to be able to say for sure but in the long term I would think that having the Euro would help these countries as it will make international business easier for them. As these are both fairly small economies I don't seeing their entry into the Union having much affect on the value of the Euro. Best Regards, Dave