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Apr 3
4.1 Introduction To Fundamental Analysis

What is forex trading fundamental analysis?
Forex trading is a type of fundamental analysis which includes examining of the economic sate of affairs of countries to trade currencies more efficiently.
It provides facts and figures about how the huge political and economics happenings and their influence on forex trading market. In a speech by any important politician and economists are popular among the traders as economical statements connected to United States economy and politics are important.
What is economic calendar?
Economic calendar is established by economists in which they forecast forex trading economics figures and values related to former months. It comprise of next data.
Date - Time - Currency - Data Released - Actual - Forecast - Previous:
If for instance it is comparatively better than the prior forex trading figure then the US dollar will be strengthen against other currencies. But when news is yet to come, in this case the traders have to check the real data. In case of oil prices, a rising price will follow weakening of currencies for countries that are dependent on big oil import, like America, Japan. An excellent example of detailed economic calendar can originate here. Forex Trading Economic Calendar.
If to look
Whose speeches to keep an eye on?
Whose speeches to listen?
The speeches that must be closely watched by forex traders are; Chairman, Federal Reserve Bank of USA, and Secretary, Treasury., and President, Federal Reserve Bank, San Francisco and so on.
What are the most powerful figures that shift Forex trading markets?
Interest rate
If a country raises its interest rates, usually its currency will be strengthen as investors will move their capital to that country to get higher profits.
Employment situation: Increase in unemployment is a major sign of a weak forex trading economic activity that can finally go to lower interest rates, that has a bad effect on the currency. Trade balance, budget and treasury budget
A country having important Trade Balance shortfall will mostly have a weak currency as there is incessant.
Commercial Selling of its currency Gross Domestic Product (GDP) GDP is reported quarterly and is pursued closely as a foremost indicator of the strength of economic activity. An upward GDP number is generally come out by anticipation of higher interest rates that is always good for the currency.
Less powerful economic indicators are:
Retail sales
As a matter of fact it is the first actual sign of the power of consumer spending.
Stability and Durability of good.
Increase in Durability Goods Orders are generally related to powerful economic happening and can so lead to higher short term interest rates that is mostly favorable to a currency.
How do forex traders use all this?
There are certain effective tips that are as following:
Always keep a handy economic calendar. Look for the appropriate time to release data.
Understand what kind of pointer is achieving the best attention at a precise time because it becomes a facilitator for forex trading future price shifts. Such as, when the US dollar is not strong, traders will observe attentively to the inflation indicator.
At the time of differences between the anticipation and actual results forex trading occur, look for corrections in the forex trading market value shifts.
Be attentive to news reviews if there is any, the condition on the forex trading market can change rapidly.
Another important thing to consider forex trading - your Broker!
As the volume is high the forex trading made at the time of significant economic declarations. Some brokers may stop fresh order to be conducted.
For brokers forex trading means that they have to go in the trade before the “major action” starts and, what is more significant, they should constantly have their defending stops placed. If not able to approach the forex trade department to close your losing situation, this is the most troublesome for forex traders that at all time need to be avoided.

What is forex trading fundamental analysis?

Forex trading is a type of fundamental analysis which includes examining of the economic sate of affairs of countries to trade currencies more efficiently.

It provides facts and figures about how the huge political and economics happenings and their influence on forex trading market. In a speech by any important politician and economists are popular among the traders as economical statements connected to United States economy and politics are important.

 

What is economic calendar?

Economic calendar is established by economists in which they forecast forex trading economics figures and values related to former months. It comprise of next data.

Date - Time - Currency - Data Released - Actual - Forecast - Previous:

If for instance it is comparatively better than the prior forex trading figure then the US dollar will be strengthen against other currencies. But when news is yet to come, in this case the traders have to check the real data. In case of oil prices, a rising price will follow weakening of currencies for countries that are dependent on big oil import, like America, Japan. An excellent example of detailed economic calendar can originate here. Forex Trading Economic Calendar.

If to look

Whose speeches to keep an eye on?

Whose speeches to listen?

The speeches that must be closely watched by forex traders are; Chairman, Federal Reserve Bank of USA, and Secretary, Treasury., and President, Federal Reserve Bank, San Francisco and so on.

What are the most powerful figures that shift Forex trading markets?

Interest rate

If a country raises its interest rates, usually its currency will be strengthen as investors will move their capital to that country to get higher profits.

 

Employment situation: Increase in unemployment is a major sign of a weak forex trading economic activity that can finally go to lower interest rates, that has a bad effect on the currency. Trade balance, budget and treasury budget

A country having important Trade Balance shortfall will mostly have a weak currency as there is incessant.

Commercial Selling of its currency Gross Domestic Product (GDP) GDP is reported quarterly and is pursued closely as a foremost indicator of the strength of economic activity. An upward GDP number is generally come out by anticipation of higher interest rates that is always good for the currency.

 

Less powerful economic indicators are:

Retail sales

As a matter of fact it is the first actual sign of the power of consumer spending.

Stability and Durability of good.

Increase in Durability Goods Orders are generally related to powerful economic happening and can so lead to higher short term interest rates that is mostly favorable to a currency.

 

How do forex traders use all this?

There are certain effective tips that are as following:

Always keep a handy economic calendar. Look for the appropriate time to release data.

Understand what kind of pointer is achieving the best attention at a precise time because it becomes a facilitator for forex trading future price shifts. Such as, when the US dollar is not strong, traders will observe attentively to the inflation indicator.

At the time of differences between the anticipation and actual results forex trading occur, look for corrections in the forex trading market value shifts.

Be attentive to news reviews if there is any, the condition on the forex trading market can change rapidly.

Another important thing to consider forex trading - your Broker!

As the volume is high the forex trading made at the time of significant economic declarations. Some brokers may stop fresh order to be conducted.

For brokers forex trading means that they have to go in the trade before the “major action” starts and, what is more significant, they should constantly have their defending stops placed. If not able to approach the forex trade department to close your losing situation, this is the most troublesome for forex traders that at all time need to be avoided.

 


Fundamental Analysis

 

4.1 Introduction To Fundamental Analysis

4.2 Economic Indicators

4.3 How To Profit On A Week Dollar

4.4 Currency Profile

4.5 Beyond Even Risk

4.6 Day Trading Less Publicized Economic Indicators

 


Forex Education

 

The Basics of Currency Forex Trading

Technical Analysis

Technical Indicators

Fundamental Analysis

Intraday Trading

Emotional & Behavioral Part

Risk & Money Management

Trading Guide