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Fundamental Analysis

The Most Important Economic Events Affecting the Euro

The important economic events which affect the Euro are announced monthly through the economic calendar and they have a moderate to high impact on the EUR/USD. Introduction: Foreign exchange fundamental analysis involves the study of the economic situation of countries so foreign exchange... More >>

Beginner's Guide > Fundamental Analysis

Understanding the Economic Cost Index

The economic cost index is an economic indicator which validates the health of the economy by showing if employee costs are rising faster than the inflation rate. Introduction: Although technical analysis is an important tool for traders formulating a forex trading strategy, fundamental a... More >>

Beginner's Guide > Fundamental Analysis

Mastering the Directional Movement Index

The Directional Movement Index is a technical analysis tool used by traders to identify a trending or non-trending market and the strength of the trend. In 1978 J. Wilder created the Directional Movement Index (DMI) which is a technical indicator which can be used in the currency, stock and c... More >>

Beginner's Guide > Fundamental Analysis

How Equities Affect the Forex Market

Helping traders understand how equities affect the currency markets. The financial markets are intertwined, and we see a good example of this in the relationship between the equities market and the forex market. The fundamental analysis' principle behind the trading of equities and curren... More >>

Beginner's Guide > Fundamental Analysis

Learn What is Fundamental Analysis

This article aims to help the reader understand the basic concepts of fundamental analysis. Fundamental analysis refers to the use of macroeconomic news to analyze the forex market in order to determine the prevailing market sentiment of traders as a determinant of market direction. Econo... More >>

Beginner's Guide > Fundamental Analysis

Fundamental Analysis as a Forex Investment Strategy

An effective forex investment strategy relies on a good understanding of the fundamentals. It would be a mistake to confuse forex investment strategy with trading. They are not the same. A trader trades foreign currencies for short or middle term gain using technical analysis as a trading too... More >>

Beginner's Guide > Fundamental Analysis

All You Need To Know About the Economic Calendar

The economic calendar is a fundamental analysis tool for traders to position themselves to take advantage of future currency movements. The economic calendar which is published daily is the main trading tool for traders that use fundamental analysis as signals for entering and exiting trades.... More >>

Beginner's Guide > Fundamental Analysis

Understanding Global Money Flow

To understand the global money flow a trader should analyze the fundamentals of major world economies. A successful foreign currency trader not only understands the flow of money around the world but also doesn’t concentrate on one currency pair but trades the currency pairs which are a... More >>

Beginner's Guide > Fundamental Analysis

Interest Rate Basics

Interest rates are the prime monetary tool used by a central bank to control the money supply. An interest rate is basically the price someone or an institution pays for borrowing money. This price is initially set by the central bank of the country where the currency, as well as the currency... More >>

Beginner's Guide > Fundamental Analysis

How to Trade Using an Economic Calendar

Most economic calendars provide the news releases for three world regions or time zones (the US, Europe, and Asia), the times that each news release will happen in GMT, and the expected Forex volatility for each news release (either regular volatility or significant volatility). It might appear a... More >>

Beginner's Guide > Fundamental Analysis

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