This news item is also known as the Retail Sales ex-Autos Report, because the input from sales of automobiles is taken away from the Retail Sales report. The reason for this is that automobile sales have very wild swings from month to month which tends to distort the underlying data, and so the Core Retail […]
Read Some MoreThe US Gross Domestic Product (GDP) report is a measure of the change in the value of goods and services produced by the US economy after adjustments have been made for inflation. In simple terms, this is an indicator of the rate of growth of the US economy. The US GDP report is classified as […]
Read Some MoreToday, we will go through the processes that constitute the correct approach to a typical trading day for a forex trader. The most important component of a typical day in the trading business is to first understand the sentiment of the market. A trader who understands what the prevailing market sentiment or feeling is will […]
Read Some MoreMergers and acquisitions constitute another set of tools that can be employed by the forex trader to generate medium term profits. The big question is: how are mergers and acquisitions related to the stock market? What is the correlation between the two? The Correlation A strong equity market will see a significant amount of cash […]
Read Some MoreCrude oil is a very important component of the world economy and the financial markets. Priced in US dollars, many countries of the world earn their money from exporting large amounts of it found within their territories. Crude oil is so important because of all the derivative products obtained from it, used in several industries […]
Read Some MoreThe reason why we have placed so much emphasis on trading the news in some of our previous articles is because the news moves the markets. A high-impact news release will not wait for a rounded top or a head and shoulders pattern to play out and perhaps lead the market; the news will dictate […]
Read Some MoreMany traders have lost money from news trades. I remember my first experience trading the Non-Farm Payrolls report back in 2006, when I lost some good money after being entered on the retracement by my broker. I look back at those early days of foolishness when I constantly went to war against an army with […]
Read Some MoreIn this concluding piece on fundamental analysis, we will look at the elements of an actual trade. Fundamental Analysis: What, When and How to Trade The news releases that constitute “what to trade” in fundamental analysis are all contained in a calendar format for a full year. This is known as the Economic News Calendar. […]
Read Some MoreThis article is written to give retail traders who are new to the market an understanding of some of the issues involved in the pricing of currencies in the forex market. At the end of this article, you should be able to answer the following questions: a) How are price quotes on a forex trading […]
Read Some MoreIn the first part of this article, we answered two of the six questions presented around the pricing of currencies in the forex market. Now we know how the price quotes displayed on the forex trading platforms are derived. We have also been able to determine that the liquidity providers (banks) set prices in an […]
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