Cash

What Can Be Expected of a Co. w/ Rising Net Debt & Falling Free Cashflow?

4 min read

A company whose net debt is rising while falling free cashflow can be expected to be heavily invested in its operations and strapped for liquidity. In such an environment, its ability to pay off debt is likely to be significantly lower than companies with more free cashflow. This can make it a risky investment for those looking to invest in it, as the debt can become problematic if the firm’s financial health deteriorates. Such companies may not be able to weather economic downturns as well as more liquid firms, and their borrowings can lead to further hardship. Consequently, net debt rising with falling free cashflow is a sign of caution for investors.

Market

Pre Market Trading in Forex Markets: A Basic Guide

5 min read

Pre-market Forex trading provides investors with an opportunity to respond to events that occur while the markets are closed. By analyzing economic indicators, geopolitical events and news releases, traders can make informed decisions regarding currency pairs before the market opens. This type of trading can be particularly useful for traders in search of larger swings in the exchange rate. Pre-market Forex trading also allows traders to take advantage of opportunities that may otherwise be missed due to regular market hours.

Forex Trading Strategies

1-2-3 Patterns: Understanding Forex Trading Success

5 min read

The 1-2-3 pattern forex trading strategy is a highly reliable and straightforward system for trading the financial markets. This strategy utilizes the power of the trend and 3-point chart patterns to identify entries and exits in the market. The 1-2-3 pattern is composed of a reversal point known as “point 1,” followed by a retracement point known as “point 2,” followed by another reversal point known as “point 3.” When these components are correctly identified and combined, traders have the opportunity to capitalize on strong trends in the forex market. The 1-2-3 pattern is simple and time tested, creating an intuitive way to apply technical analysis to one’s trading.