Whether you're a manual trend follower or an HFT shop co-located at the Merc it is essential to take a view on the long term trends in world markets. In a new guest post on the Trading Gurus blog Alex Krishtop of Edgesense Solutions asks:

Will New Regulations "Stabilise" the Financial Markets?

We have previously highlighted the importance of keeping tabs on the volatility in your chosen markets. Alex has many other things to say, but on that topic he suggests:

The fact that the market is currently in transition is most likely the very reason for the unprecedentedly low volatility, and understanding this reason helps one to estimate how long it might last.

The most likely and most influential outcome of the whole process will be dramatic reduction of liquidity in all markets, but especially in FX, that will lead to increased volatility and in general a result that is diametrically opposed to that declared by the regulators.
Essential reading at this juncture in the history of the 21st century!