Are we in the midst of a global recession ?

　　Worldwide, no matter the country, everyone is feeling the pinch of rising prices and rising inflation. The recent supply chain issues caused by the Ukraine and Russia war, as well as the recoil from the recent pandemic monetary policies that were placed, has caused the economic downturn of so many countries. So the question now is what is the economic forecast foreseeable future, and how can we as traders prepare ourselves？

　　The prices of commodities have been rising significantly reaching new historic highs in economies such as the USA. This coupled along with historic high inflation rates one can argue that we are in the beginning stages of a global recession.

　　These fear are exasperated by the current fiscal policy predictions that the USA may be forced to make to curb inflation by raising interest rates by a full 1%, which is unprecedented. This move may very well signal a struggling economy.

　　Preventative measures and polices are also being enacted worldwide, as global powers such as Canada and Korea are tightening their monetary policies. According to Kristalina Georgieva, the head of the IMF, the global economic outlook has significantly darkened, meaning we could be facing a difficult 2022 and 2023

　　What does this mean for us traders？

　　The good thing about being a trader that weather it be a rise or fall in currency value, us traders can still make money despite the direction of the asset. With the world now preparing for a recession we must be looking to short these currencies and make a profit.

　　To ensure the best trading conditions as a trader you will need to find the best regulated brokers with small fixed spreads. It is best you use WikiFx to find the best broker for your needs. This app helps you find the the best-regulated brokers worldwide, and also helps you compare them against each other. They also show you which brokers are known for scamming people so you will be able to stay far away from these brokers and protect your capital. So if you are in the market for a new broker, use WikiFx as your research tool.

　　To ensure that we have the right direction we need to start watching global economic events which will determine the latest governmental policies which will be put in place in reaction to the current economic situation. We should watch closely the how the major currency economy will handle their interest rates to combat rising inflation. We also need to watch closely the happenings surrounding the Ukraine and Russia war. Currently the war is making oil prices sky rocket and so if the war intensifies we can predict that oil prices will only rise if no other sources are found. If the outcome stays the same we can assume that we have to short these currencies. If for some reason the fighting slows down inflation rates slow down we can start looking for long positions in these currencies.