We cannot stress enough the importance of being well informed about market conditions before venturing into online trading. Having a solid strategy is the safest way to achieve trades that will end in the money. Therefore, take some time at the beginning of the year to devise and map out your trading plan for the year.
What follows are some useful pieces of information and trivia to take into consideration when preparing for your trading decisions in the year ahead. The first question to seek to answer is what sort of an economic year 2014 will be? Most experts and analysis seem to agree that the outlook for 2014 is better than 2013. Being a better year in economic terms does not mean, however, that risks have subsided.
Indeed, numerous key challenges remain that binary options and all other traders should look out for in 2014. These include the side-effects of the Fed’s tapering decision, especially in terms of flow-on effects on emerging markets, the uncertainty whether an impasse in the US Congress, similar to what we saw last year, has indeed been ruled out from happening again. Moreover, in most of the world’s advanced economies incomes are set to remain stagnant, while the persistent unemployment rates will still have a great impact on societies.
Venturing a guess, we could point out that the price of oil is expected to remain around the same level it was at the end of 2013. On the other hand, the real GDP growth is set to accelerate in seven of the G8 countries, with Japan being the exception. GDP growth is also predicted for India and Russia, although not for China or Brazil where it is expected to remain at 2013 levels.
Consumers in advanced economies during 2014 are believed to be ready to begin exiting the cautiousness of recent years, although the habits acquired during the recession years, will not be erased quickly. In emerging markets an increase in the disposable income is expected although much will depend on how the major economies withstand the taper.
Some interesting and useful statistics to also take note of include the following:
During 2014, 138 million babies are expected to be born across the globe, half of whom will be in the Asia Pacific region.
The increase in real terms of global consumer spending is expected to be 3%, but interestingly enough only a mere 10% of this will come from Western Europe.
A widespread acceleration across all regions is expected to accompany the real growth in the GDP rate that is expected to rise by 3.7%.
2014 is expected to be the first year since 2007 where the per capita disposable incomes in Western Europe will increase in real terms.
In 2014 the number of global households will exceed 2 billion, with 89% of this growth coming from emerging markets.
George Milios is the founder of onlineforextrading.net, the binary options and forex news portal which is dedicated to providing you with all the information you need to successfully trade.