Today's Forex News
Our Featured Forex Trading strategies Article
The First Commercially Available Stock Trading "Robot" Which Earns $346.77 Per Week
Intro to Forex Fundamental Analysis
The best course of action to take sometimes isn�t clear until you�ve listed and considered your alternatives. The following paragraphs should help clue you in to what the experts think is significant.
FOREX traders almost always rely on analysis to make plan their trading strategies. There are two basic types of FOREX analysis � technical and fundamental. This article will look at fundamental analysis and how it used in FOREX trading.
Fundamental analysis refers to political and economic conditions that may affect currency prices. FOREX traders using fundamental analysis rely on news reports to gather information about unemployment rates, economic policies, inflation, and growth rates.
Fundamental analysis is often used to get an overview of currency movements and to provide a broad picture of economic conditions affecting a specific currency. Most traders rely on technical analysis for plotting entry and exit points into the market and supplement their findings with fundamental analysis.
Currency prices on the FOREX are affected by the forces of supply and demand, which in turn are affected by economic conditions. The two most important economic factors affecting supply and demand are interest rates and the strength of the economy. The strength of the economy is affected by the Gross Domestic Product (GDP), foreign investment and trade balance.
Indicators
Various indicators are released by government and academic sources. They are reliable measures of economic health and are followed by all sectors of the investment market. Indicators are usually released on a monthly basis but some are released weekly.
Most of this information comes straight from the Forex Fundamental Analysis pros. Careful reading to the end virtually guarantees that you�ll know what they know.
Two of the most important fundamental indicators are interest rates and international trade. Other indicators include the Consumer Price Index (CPI), Durable Goods Orders, Producer Price Index (PPI), Purchasing Manager�s Index (PMI), and retail sales.
Interest Rates - can have either a strengthening or weakening effect on a particular currency. On the one hand, high interest rates attract foreign investment which will strengthen the local currency. On the other hand, stock market investors often react to interest rate increases by selling off their holdings in the belief that higher borrowing costs will adversely affect many companies. Stock investors may sell off their holdings causing a downturn in the stock market and the national economy.
Determining which of these two effects will predominate depends on many complex factors, but there is usually a consensus amongst economic observers of how particular interest rate changes will affect the economy and the price of a currency.
International Trade � Trade balance which shows a deficit (more imports than exports) is usually an unfavourable indicator. Deficit trade balances means that money is flowing out of the country to purchase foreign-made goods and this may have a devaluing effect on the currency. Usually, however, market expectations dictate whether a deficit trade balance is unfavourable or not. If a county habitually operates with a deficit trade balance this has already been factored into the price of its currency. Trade deficits will only affect currency prices when they are more than market expectations.
Other indicators include the CPI � a measurement of the cost of living, and the PPI � a measurement of the cost of producing goods. The GDP measures the value of all goods and services within a country, while the M2 Money Supply measures the total amount of all currency.
There are 28 major indicators used in the United States. Indicators have strong effects on financial markets so FOREX traders should be aware of them when preparing strategies. Up-to-date information is available on many websites and many FOREX brokers supply this information as part of their trading service.
Take time to consider the points presented above. What you learn may help you overcome your hesitation to take action.
By Matthew at http://forex-resource-pro.com/
Quick Forex Ideas
currency exchange rate
A Forex broker is a broker dealing in foreign exchange, just like real estate broker who deals in real estate and properties. Simply, a Forex broker is an advisor who advises you about the forex market. However, the Forex market is not the perfect place to play with as a novice and beginner as there are many criticalities involved along with much risk bearing capacities. Novices can very quickly get their fingers badly burnt. But inexperience is not the only reason to consider using a Forex broker to trade in the high-risk international currencies market.
currency convertor
FX traders include governments, corporations and fund managers doing business with foreign countries, that need to exchange one currency for another, and speculators who seek to profit from price movements in the markets.
currency
As compared to any other financial trading, Forex day trading has many advantages. Trading currencies is in many ways more advantageous than trading stocks or futures. The forex market is a true 24-hour market. This means that a currency trader can basically choose his/her own hours to trade. Forex day trading currencies require a lot less starting capital than day trading stocks. Thus, you could start out small in the currency market. Traders need to concentrate on a few major currencies only rather than on tens of thousands of stocks.
online forex trading
Many factors affect Forex trading. It is critical to know and understand the various factors that cause the Forex to fluctuate from day to day. The foreign exchange market will change depending on the economic factors that play a role in the movement of currency.
More info on a great Forex system
All The Latest News From The Forex Trading strategies World
Euro turns bullish - dollar slips across the board
Fri, 20 Oct 2006 21:14:00 GMT
Daily Currency report for Friday October 20 2006
This is only a guide.
Forex Trading strategies
The First Commercially Available Stock Trading "Robot" Which Earns $346.77 Per Week
Intro to Forex Fundamental Analysis
The best course of action to take sometimes isn�t clear until you�ve listed and considered your alternatives. The following paragraphs should help clue you in to what the experts think is significant.
FOREX traders almost always rely on analysis to make plan their trading strategies. There are two basic types of FOREX analysis � technical and fundamental. This article will look at fundamental analysis and how it used in FOREX trading.
Fundamental analysis refers to political and economic conditions that may affect currency prices. FOREX traders using fundamental analysis rely on news reports to gather information about unemployment rates, economic policies, inflation, and growth rates.
Fundamental analysis is often used to get an overview of currency movements and to provide a broad picture of economic conditions affecting a specific currency. Most traders rely on technical analysis for plotting entry and exit points into the market and supplement their findings with fundamental analysis.
Currency prices on the FOREX are affected by the forces of supply and demand, which in turn are affected by economic conditions. The two most important economic factors affecting supply and demand are interest rates and the strength of the economy. The strength of the economy is affected by the Gross Domestic Product (GDP), foreign investment and trade balance.
Indicators
Various indicators are released by government and academic sources. They are reliable measures of economic health and are followed by all sectors of the investment market. Indicators are usually released on a monthly basis but some are released weekly.
Most of this information comes straight from the Forex Fundamental Analysis pros. Careful reading to the end virtually guarantees that you�ll know what they know.
Two of the most important fundamental indicators are interest rates and international trade. Other indicators include the Consumer Price Index (CPI), Durable Goods Orders, Producer Price Index (PPI), Purchasing Manager�s Index (PMI), and retail sales.
Interest Rates - can have either a strengthening or weakening effect on a particular currency. On the one hand, high interest rates attract foreign investment which will strengthen the local currency. On the other hand, stock market investors often react to interest rate increases by selling off their holdings in the belief that higher borrowing costs will adversely affect many companies. Stock investors may sell off their holdings causing a downturn in the stock market and the national economy.
Determining which of these two effects will predominate depends on many complex factors, but there is usually a consensus amongst economic observers of how particular interest rate changes will affect the economy and the price of a currency.
International Trade � Trade balance which shows a deficit (more imports than exports) is usually an unfavourable indicator. Deficit trade balances means that money is flowing out of the country to purchase foreign-made goods and this may have a devaluing effect on the currency. Usually, however, market expectations dictate whether a deficit trade balance is unfavourable or not. If a county habitually operates with a deficit trade balance this has already been factored into the price of its currency. Trade deficits will only affect currency prices when they are more than market expectations.
Other indicators include the CPI � a measurement of the cost of living, and the PPI � a measurement of the cost of producing goods. The GDP measures the value of all goods and services within a country, while the M2 Money Supply measures the total amount of all currency.
There are 28 major indicators used in the United States. Indicators have strong effects on financial markets so FOREX traders should be aware of them when preparing strategies. Up-to-date information is available on many websites and many FOREX brokers supply this information as part of their trading service.
Take time to consider the points presented above. What you learn may help you overcome your hesitation to take action.
By Matthew at http://forex-resource-pro.com/
Quick Forex Ideas
currency exchange rate
A Forex broker is a broker dealing in foreign exchange, just like real estate broker who deals in real estate and properties. Simply, a Forex broker is an advisor who advises you about the forex market. However, the Forex market is not the perfect place to play with as a novice and beginner as there are many criticalities involved along with much risk bearing capacities. Novices can very quickly get their fingers badly burnt. But inexperience is not the only reason to consider using a Forex broker to trade in the high-risk international currencies market.
currency convertor
FX traders include governments, corporations and fund managers doing business with foreign countries, that need to exchange one currency for another, and speculators who seek to profit from price movements in the markets.
currency
As compared to any other financial trading, Forex day trading has many advantages. Trading currencies is in many ways more advantageous than trading stocks or futures. The forex market is a true 24-hour market. This means that a currency trader can basically choose his/her own hours to trade. Forex day trading currencies require a lot less starting capital than day trading stocks. Thus, you could start out small in the currency market. Traders need to concentrate on a few major currencies only rather than on tens of thousands of stocks.
online forex trading
Many factors affect Forex trading. It is critical to know and understand the various factors that cause the Forex to fluctuate from day to day. The foreign exchange market will change depending on the economic factors that play a role in the movement of currency.
More info on a great Forex system
All The Latest News From The Forex Trading strategies World
Euro turns bullish - dollar slips across the board
Fri, 20 Oct 2006 21:14:00 GMT
Daily Currency report for Friday October 20 2006
This is only a guide.
Forex Trading strategies
posted by the forex guru at 9:51 AM
0 comments
