David Cameron has sought to achieve consensus among European leaders about his decision, especially after French President Nicolas Sarkozy has been conducting a personal attack on his leadership. The Prime Minister told MPs to be in close contact with their counterparts in other Member States and insisted that the country is not one against 26.

But tensions between Britain and France increased further last night, after an unconfirmed report, published by a French magazine, mentioning the words spoken by President Sarkozy in which he accuses Cameron behaving like a stubborn child. From the words of Sarkozy you understand that Cameron has acted like a stubborn child with a single obsession: to protect his city.

Speaking of the decision reached during the weekend, Sarkozy said it was positive. The agreement may not put an end to the crisis, but it is a tool to deal with it.

Cameron has confirmed the call to the leaders of the Czech Republic and Sweden, two countries not adopting the euro could falter when it comes to sign the agreement, as he called the Irish Prime Minister Enda Kenny.

Downing Street said that David Cameron has reiterated the position of the United Kingdom. For each call, the leaders agreed to develop close cooperation with the resolution of European issues, promoting jobs and growth through the single market. They agreed that the priority for the European economy is global and decisive action.

In Berlin, Chancellor Angela Merkel has tried to mend the rift with London saying that without a doubt Britain will continue to be an important partner within the European Union.

Downing Street has confirmed that in all cases the position has not changed and that Britain will be registered with the Treaty and will only guarantee of the City of London.

In this article are some reasons why every trader should consider forex trading according to the price action as an integral part of the range of trading instruments.

First, it can be said that the price action provides the data more closely related to the trading representative in real time. When you do Forex following the price action leads to a series of interesting information about markets, not filtered through mathematical calculations, that characterize the often ambiguous indicators. Often the action is less vulnerable to price volatility due to fundamental news. Most systems based on indicators create great confusion in terms of volatility when reports fundamental analysis are released, with the risk that you may create unreliable signals. With specific training on the price action you could also exploit news to be able to collect large profits.

Analyzing the indicators a classic signal may disappear within a few minutes to reappear later. When this happens, you will probably lose any position. With the price action that analyzes the candles, however, you can be sure that once a candle has been completed as designed there is no risk that it can be changed by some event. The patterns of price action may not always be easy to read or translated into trading signals but you can be sure that a candle, once completed on a graph, will not change its shape. What would happen if instead one were to use the classic indicators.

With the price action you can concentrate on the indicator number one, or the price. In the next article we will further detail this concept and we will also see other reasons why it is important to use the price action in the currency market.

The euro lost ground before the meeting of the European Central Bank, which will take place today and the debate will be about setting the rates. The euro is vulnerable as a result of concerns of the efforts made so far to contain the crisis of sovereign debt are not moving fast enough.

The volatility continues and the market will probably continue to move according to political risks involving the U.S. and European economies.

The German Constitutional Court yesterday rejected the legal actions made to block the participation of Berlin in the rescue packages for Greece and for other highly indebted countries in the euro area, which has offered some temporary relief to global markets.

The ECB is the only major western central bank to have raised interest rates since the end of the global financial crisis, but it is expected that the signal of direction of politics can stop this cycle of rising, in response to the crisis of sovereign debt and slowdown in economic growth.

Market operators will strictly monitor the comments of the ECB president, Jean-Claude Trichet, regarding the purchase of Spanish and Italian bonds from the ECB, which pulled down the returns.

If Trichet makes cautious comments for the purchase of Italian and Spanish bonds, then the euro could rise again. The president of the Federal Reserve, Ben Bernanke, will speak today at 13:30 EDT, while the USA president Barack Obama will expose to the Congress his plan to revive economy at 19 EDT. With an unemployment rate blocked above the 9%, Obama will put together a plan to stimulate the creation of jobs.

Some analysts think that Bernanke could suggest futher relief initiatives to stimulate economy, fact that could put  pressure at the downward trend of the dollar.

The Australian dollar has lost the 0.6 percent, touching value of 1.0590 dollars, after that the employment rate had unexpectedly fallen in the month of August.

Gold has bounced of almost the 1% arrived to value 1.831 dollars per ounce, after losing 3% in the previous section. The precious metal has touched a series of records, the highest at the value of 1.920,30 dollars, seen as both as fascinating and as a shelter against inflation.

When you do Forex what you would ideally do is to open the first time all the positions that come out, perhaps by using a 4-hour chart. The real thing is that sooner or later we all will miss an opportunity to trade. But what do you do when it happens? How do you stick with a trading plan even if you lost a chance?

When you open positions it is important to always open the same position if you want to reach a certain price level. These types of positions are called stop orders. Use a “buy-stop” or a “sell stop” to achieve this goal. These positions are intended to wait until the price moves to a certain point on the graph, only then you can enter the market. These are orders that are waiting for the market to reach a certain price level. They can also be useful for those who will not or can not stand in front of the computer at all times.

There are those who, instead of opening a stop position, prefer to remain at the computer and manually open a position, when the price reached a certain level. So, if you forget to open a position and you can see this only at a later time, there are three things that can happen. The first is that the price has not yet reached the price of entry. The second is when the price has reached the price of entry, and could have been opened a position but the price has retraced the price. The third is when the price reaches the specified price and continues in that direction. A business that would be inserted in this case would make a nice profit.

We will see in the next article, case by case, how to behave.

China has recently hit the news for inviting both to the USA and Europe to correct and solve their debt. The Chinese Central Bankhas also let known that it will continue with its policy of price stabilization, as this is top priority. In addition, one of the aims that the the CCB will set in the following months is to sustain the economic growth of the country. On the basis of the national and international economic situation, le Chinese bank will work to render its monetary policy more accurate, flexible and foward looking.

The Chinese Central Bank will use various monetary instruments, including the management of interest rate, exchange rates and open market operations to control liquidity and to maintain the country’s finance to a reasonable level. To manage inflationary expectations, the bank will aim to use the correct monetary policy, namely the rate of interest, with which it is possible to control the demand for capital investment and savings.

Meanwhile, China said it would increase efforts to promote the country’s credit facility, including a strengthening of the agricultural sector and small and medium-sized enterprises, which are the basis of the country. In addition there will be very strong guidance to the market, with the exchange rate reform and the improvement of the formation mechanism of the yuan in order to add flexibility.

The country is still going well, since the consumer price index, whereas the inflation indicator, has risen to the 6.5 percent in the month of July, far beyond the government expectations of the 4 percent. The situation therefore seems positive for the growth of the country.

The growth of the service field in the euro zone has lowered in the last month of July and it is at its lowest ring in the last 2 years. Data will give little help to the already weak situation of the euro zone, focused on the debt that has embraced until now Greece, Ireland and Portugal. The slowdown in growth in the services sector in the euro area continues at a rapid pace in the month of July, the foundation of the slowdown is worrisome given that it shows signs of fragility in all countries.

The two large, Germany and France, have lost momentum in the growth this year, but conditions remain unchanged in Ireland, while both Spain and Italy are down. In fact, data show that Germany, Europe’s largest economy, has grown at a slower pace since January 2010, while in France there is the minimum value in the last 16 months.

In Italy the growth figures rose to 48.6, but it for the second month below the threshold of 50 that separates growth from contraction.

The PMI index is often used as a guide for growth. Despite the large amount of weak data from around the block of nations of the eurozone, the European Central Bank raised interest rates by 25 basis points to 1, 5 percent, posting the second increase this year, while it is not planned to keep more until the fourth quarter.

The ECB aims to keep inflation low, which was at 2.5 percent last month, with the goal of staying below 2 percent. But the worrying thing is the lack of growth in the services sector, data that were drawn from business highlight how the work situation is still in crisis. We expect the difficult months, but we hope to come out strong.

President Barack Obama has signed the law to increase the American debt limit and avoid a financial default, after that the Congress has voted positively this deal. The bill passes through both the obstacle of the Chamber and of the Senate, where it received 74 votes in favor and 26 against. The bill now rises the debt limit of 2.400 billion dollars, bringing it from 14.300 billions to 16.700 billions, and studies a salvage of at least 2.100 billions in the next 10 years. Despite this, the bill was not able to help the financial markets.

In Wall Street there has been a drop of over 2% due to the very low consumption, the Japanese index Nikkei has followed the American one and the Italian stock exchange has closed in a sharp decline.

Moody’s rating company has reacted to the bill by confirming Washington’s AAA rating, but with a negative outlook. The Chinese company Dagong has downgraded the rating of the U.S. from A+ to A, but fortunately it does’nt have the same impact as Moody’s.

The signing of the bill has arrived just 10 hours before the expiration date, after after extensive negotiations between Republicans, Democrats and the White House.

Without a deal to increase the maximum limit of the U.S. debt there weren’t be able to satisfy all their accounts.

Speaking at the White House shortly after the decisive vote in the Senate, President Obama has said it is very likely that the uncertainty surrounding the increase in the debt ceiling has been destabilizing, adding that it is something that could have been avoided altogether.

The president said more action was needed, saying it was impossible for the United States to “close the deficit with spending cuts alone.” Obama has also urged the Congress to look now to revitalize the economy through measures aimed at creating new jobs and increase consumer confidence.

Republicans and democrats of the American congress have finally reached an agreement with president B. Obama in increasing the limit of the U.S. debt and in avoiding a default of the American debt.

Just after two days before the expiration date, the ceiling of the American debt has been risen, the White House and both the republican and democratic leaders at the Congress have said that the compromise will bring a cut of 2.4 billion dollars from the deficit for the next 10 years.

Now that the Congress leaders have signed an agreement, both the Senate and the Chamber are to vote a bill that could be on Obama’s desk for the end of the day.

While the Senate will probably approve this law, for the Chamber it seems to be less certain.

If it should be approved, the compromise that has been agreed will probably allow the USA to keep their positive reputation at the eyes of the world. This fact will allow also to reassure investors in the financial market and possibly invert the losses that are spreading in Wall Street as default menace.

After weeks of stalemates Obama has let known that the agreement was reached. The leaders of both parts have reached an agreement that reduces the gap and avoids the default, a default that could have a devastating effect on the economy. Now Obama urges members of both parties in doing the right thing and support this agreement through the vote in the next days.

The plan, that has rewarded the global financial markets, has been divided in a two-phased process, with the aim in reducing the U.S. deficit and bringing calm in the financial markets.

Investors have pulled up the value of the euro after that the Greek legislators have ignored the violent protests in the streets and have approved a bill that allows the country’s austerity access to a second round of funding from the European authorities.

The euro was traded above the value of  1.44 against the dollar, the highest in two weeks. The focus now moves to the vote, which will put these measures into practice, while on Sunday there will be a meeting of finance ministers of the euro area in order to operate the rescue plan. Investors seem to be encouraged by positive signals from Europe, as the approval of the new austerity measures is an important step for the country and the stability of the euro as a whole.

With the euro pushed up by this good news, it remains to be seen technical resistance levels fail to hold. Currently they are about 1.4500 and 1.4550 dollars. This will be a true indicator of how investors are optimistic about their efforts to limit the contagion of the crisis in Greece.

But it is also true that the market will move quickly from this vote, given that begin to refocus on yield differentials of the currencies at the time is soon. A rise in rates by the European Central Bank, in July, will provide further support to the euro.

For this reason, the ECB president, Jean-Claude Trichet, said earlier this week that the bank has maintained a strong vigilance against inflation in the euro zone, which expresses the will of the ECB to raise rates even in through a debt crisis. The euro also seems to have been helped also by a low efficiency of the dollar.

From what emerges from the market, it seems that people are more optimistic about the euro, when in reality they are just more pessimistic on the dollar. In fact, the United States still has the unresolved problem of the debt issue. President Obama has said that the consequences of a failure to increase the nation’s debt limit would be unpredictable.

The current situation in the USA is not as it was expected to be some time ago. Bernanke has stated that the growth of the United States has been slower than expected, offering indications that the FED is realizing another incentive program. But the mentioning of another incentive may infuriate Bernanke’s critics, who say that after flooding the financial system with more dollar, in the past, he also devalued the currency and helped inflation in the wrong sectors, in particular in the ones of prime materials as oil.

A weaker dollar was part of the incentive plan of the FED, which has made American exportation less expensive. In concern to the increase of cost of the prime materials, the answer of the FED is that the prices have increased since 2008 mainly due to the strong demands of the emergent markets and not is not caused by a speculation fueled by cheaper dollars.

Bernanke has always stated that the FED‘s incentive program was also to increase the financial markets and, thus, strengthen the economic trust.

The FED has also tried to support inflation in general, in order to drive away the concerns that the US could fall in a situation similar to the one of Japan, in a deflationary cicle. Politicians have obtained what they wanted, which is a consumer price index that increased of the 3.6% in May 2011 over the previous year, the fastest growth rate since autumn 2008.

The USA production is slowed, and it is due to the temporar slowdown in auto production caused by a lack of spare parts that were supposed to arrive from Japan. More troubling are the reports last week that highlight how the activity of the production regions of New York and Mid Atlantic have actually contracted in the month of June.