Originally Published in Futures Magazine 4/1/2011
Question: How do you trade a quiet market likely to breakout?
Answer: Upside/downside ratio spreads
Before World War I, most national currencies featured convertibility to gold. At times, this could act as a drag on the economy. If an economy became vastly more productive and the gold convertibility feature prevented commensurate monetary growth, then economic growth would be stunted or even reversed. For all of its flaws, the gold standard did prevent runaway inflation of the sort that occurred in Germany under the Weimar Republic. That inflation ushered in the rule… [ Read more ]




