Financial markets' elasticity varies between asset classes and individual assets. Never put all your eggs in one basket.Proper risk assessment can be quite simple and easy, yet critical to long term success. This can be applied to all walks of life and is definitely true for (volatile) financial markets. Human nature is often reactive, speculative and contracyclical. Saying 'No' opens space for another 'Yes'. With an open minded yet active approach, non-leveraged asset allocations can deliver leveraged gains. I.e, a more actively managed core allocation can score an above average return by shifting from long term focus to shorter term and vice versa with a smaller percentage of the core position risk. This applies to transaction or translation hedging as well as wealth management operations.Fundamental analysis when exclusively applied for trading as well as investing can be very high risk, where most global markets are influenced or even manipulated by the PTB. The sheer size of funds to drive markets and to easily absorb large supply and demand has grown parabolic over the last decade, since excessive monetary financing has become the unprecedented name of the game.
Eyeforgold is not in the forecasting business. We know of only very few people that are entitled to claim above average success. Most professional forecasters in fact show very poor results. Our aim is to try and provide a very simple and basic technical risk analysis for Precious Metals, Gold and Silver versus a few major currencies, a few Forex pairs and Indices important for global market direction. We do NOT cover interest rates. Suffice to say that, eventually, interest rate policy must either revert to being the traditional strategic monetary tool, or even being replaced. Asset backed tokens are likely to play an important role if there is ever a paradigm shift.The past decade many of us have often experienced frustration because market timing has proven so hard.On this minimalistic website we will provide a measurement risk for each of the markets mentioned where we look at how different time frames of hourly, daily, weekly and monthly data, also quarterly, behave vis a vis each other and figure a percentage risk for an asset allocation or a hedge.Markets should be fun, often they're not. Traders also have different attitudes towards markets with more leverage then wealth managers.
In our trading book we are never short an asset class. As our name suggests, hard assets are always kept as insurance against unexpected events in smaller or larger percentages depending on the broader risk profile. History says that a minimum holding varying between 2 and 10%, depending on base currency, already offers substantial protection against such unexpected world events.
Please look at our Disclaimer. We don't give advice, just perspective.
October 2018: Our present content is a beta version and we shall, in future, be looking to charge a small fee for this service to a limited number of subscribers. Payable in BTC, ETH or certain quality asset backed tokens as they may become available through different exchanges.