Most retail investors hate volatility…<\/p>\n
Watching your portfolio go up one day, and back down the next is tough.<\/p>\n
But traders look at volatility as an opportunity<\/em>.<\/p>\n That’s because it’s easier to trade in a fast-moving market than a calm and stable one.<\/p>\n After all, if markets were always on a steady upward climb, then we’d all be buy-and-hold investors.<\/p>\n But that’s not the case…<\/p>\n Right now, there’s a forgotten corner of the market that’s just exploding with volatility. The conditions are the best they’ve been in over 14 years…<\/em><\/p>\n In fact, what’s happening right now has even had John Taylor – a veteran hedge fund manager – come out of retirement.<\/p>\n Taylor is 78 years old, and used to run a $14 billion hedge fund. He doesn’t need to work anymore at this stage of his life.<\/p>\n But Taylor believes that the opportunities at hand are so irresistible, he’s looking to raise money for a new fund.<\/p>\n And he’s not alone…<\/p>\n Hedge fund juggernaut Brevan Howard has tripled its exposure to this corner of the market in just the past year.<\/p>\n It’s paid off… by the end of last August the fund had already moved up 18%.<\/p>\n The market I’m talking about is foreign exchange (forex) – where investors buy and sell currencies against one another.<\/p>\n Forex is the world’s biggest and most liquid market. The daily volumes in forex dwarf what’s happening in stocks.<\/p>\n About $7.4 trillion passes through the forex market every single day. That’s about 32X bigger than all U.S. stock markets put together.<\/p>\n But here’s the problem… there aren’t a lot of seasoned traders out there who know how to trade this market.<\/p>\n That’s because for the about 14 years, forex wasn’t<\/em> a great trading market.<\/p>\n The aftermath of the 2007-2008 financial crisis saw central banks slash their interest rates to rock bottom levels. This sucked all the volatility out of the forex market.<\/p>\n As a result, there’s a whole generation of traders that have very limited experience with currencies.<\/p>\n According to Barclay Hedge, a research firm that specializes in hedge funds, there are now between 85 and 110 dedicated forex funds. A decade ago, there were over 550.<\/p>\n You see, I’ve been trading for over 14 years… I even used to run a hedge fund… And trading forex was how I cut my teeth as a trader.<\/p>\n That’s why I was able to spot in advance the opportunities that all these funds are looking to take advantage of right now.<\/p>\n And I’m willing to put up my track record against any of them.<\/p>\nThe World’s Biggest and Most Liquid Market<\/h2>\n