Fundamental Analysis should not be Forgotten in Forex
Before starting on the foreign exchange market, we must understand some basic precepts of forex. Among the concepts essential to know, next to the carry trade or the technical analysis is the fundamental analysis. Again, it should be noted that fundamental analysis is inseparable from the technical analysis, and vice versa, because they allow when combined to make investment choices, if not wiser, at least more thoughtful . Fundamental analysis is based on the evaluation of an economic indicator. These include employment figures or the publication of the index of activity in Chicago. The main economic indicators Of all the economic indicators, some have a bigger impact on other currencies. Thus, the index… Continue Reading
Categories: Forex Education Tags: aversion, Carry Trade, Consumer Confidence Index, currency-rates, Economic Calendar, Economic Indicator, Employment Figures, Financial Markets, foreign exchange market, forex, Fundamental Analysis, Investment Choices, Investment Decisions, Irrational Behavior, Main Economic Indicators, Market Expectations, Precepts, Rate Of Inflation, Unemployment Figures, Unemployment Rate
Successful Forex Trading Using Forex Fundamental Analysis
Planning a FOREX trading strategy requires analysis. FOREX analysis comes in two basic “flavors”: fundamental and technical. This article examines the fundamental type of analysis, and how it can be used for more successful FOREX trading. Political and economic conditions may affect currency prices; FOREX traders rely on news reports regarding various economic factors, such as the unemployment rate, the current administration’s policies, and inflation or growth rates. Examination of these factors is what is known as “fundamental analysis”. This type of analysis is primarily used to get the “large picture” view of currency market movement, and to determine the economic conditions that affect a particular currency. It is usually considered supplemental to “technical analysis”, which is relied… Continue Reading
Categories: Forex Education Tags: Consumer Price Index, currency market, Currency Prices, Current Interest Rates, Durable Goods Orders, Economic Strength, Economic Vitality, Educational Institutions, Exit 13, Flavors, Forex Traders, forex trading, Fundamental Analysis, Fundamental Type, Index Cpi, Producer Price Index, Producer Price Index Ppi, Sales Numbers, Trade Balances, Unemployment Rate
