Forex analysis-technical-or-fundamental

FOREX ANALYSIS - TECHNICAL OR FUNDAMENTAL?

If you are investing the currencies market for a little bit, you know the quality of your Currency Trading Analysis directly influences your investing outcome. Unless you get correct, brief, and timely analysis, you might make the wrong choice in your trades and get on the wrong side of the marketplace.

Forex Analysis - Technical or Fundamental? ( Courtesy of HenryLiuForex.com )

http://www.henryliuforex.com/






And on the subject of Foreign Currency analysis, we realize that the standard Currency markets is broken into two unique camps of analysis, the technical analysis and the fundamental analysis. Certainly, the majority of people like the technical analysis as it typically gives a specific signal to get in and out of the market. On The Other Hand, let me make it clear that technical analysis only provides clear entry and exit signals, but there is no assurance that these signals are profitable. The issue with technical analysis is that it is based on the supposition that the market reflects almost everything and history will probably duplicate itself. In the event that both assumptions are drastically wrong, for example market heading to a new territory, then this evaluation method is simply merely a guess.








One other approach to analysis is referred to as fundamental analysis, which looks at the economic indicators as well as the economic outcome of a country, then decide whether or not it is possible to trade its currency. This type of Forex Analysis is sometimes taken wrongly for News Spike Trading, or simply Spike Trading in short, which is a trading process that specializes in the volatility that happens in the seconds after a high impact news release. On The Other Hand, fundamental analysis deals with long- term, medium- term, even the short- term market as traders often price in the market.








Let us face the facts, trading based on a set rule and clear entry and exit signals might sound easier, but if the forecasts driving technical analysis is not sound, how can you place your hard earned dollars into it carelessly? Having Said That, with the fundamental analysis, where we target the variables that actually move the market, it can be, in my opinion, a more effective and secure strategy to trade Forex.







If you are interested in understanding more about fundamental analysis in Forex Trading, kindly visit us at www.henryliuforex.com. We research the important economic indicators, we plan to trade scheduled high-impact news releases every week, and we keep to the long- term pattern of the market. You will learn how to trade the news watching recorded live trading video lessons to help you in your Forex endeavor.









Forex analysis-technical-or-fundamental

Economy & Finance

Transcript of Forex analysis-technical-or-fundamental