of price movement in forex trading depends on the news and economic releases. Trading the news is a widely used trading tehnika.Pitanje much to ask is how to trade news and it's easy.
First of all, I have to be loud and clear that trading on the news is not as easy as it sounds May. You see big changes in price movement after some news and a strong start to shake in anticipation of easy money. Well, I must disappoint you - news trading requires a lot of skills
.Forex market is open 24 hours a day, and this is a big plus for Forex traders. Since the global economic recovery impact on price, forex traders are able to use this information to make trading decisions on the next row.
The basic idea behind trading the news to catch the strong price movements (ie breakouts). Volatility happens a lot in the forex market and every time it occurs there is a possibility of making a lot of pips. Your agenda is to capture the momentum of the volatility at the right time and use it as long as (the range is very vague, actually. Volatility can last from minutes to days !)
major currencies that you should keep an eye on the USD, EUR, JPY, GBP, CHF, CAD, AUD and NZD. If you are raising eyebrows, let me quickly answer your question. Yes, there are more currencies available, but these are the strongest currency is known today.
Now, the currency pairs that are important in the news trading are:
EUR / USD
USD / JPY
AUD / USD
GBP / JPY
EUR / CHF
CHF / JPY
You can follow the news through the economic calendar. If you're not a big fan of technical analysis and chart indicators, you can consider going solo trading news. Actually a lot of forex traders choose this path. Their decision was based solely on the daily news and updates and chart indicators are not used at all.
If you decide to become a news trader, you will need to follow the economic releases very blisko.Glavne topics that should be followed in the interest rate and the FOMC rate decision, the retail sales figures, indicators of inflation, unemployment data, industrial production, commercial, industrial research country's trade balance (U.S. Treasury). Not all news is important, even most have different impact on the Forex market.
I suggest you use the news trading and technical analysis. So you can use the switch indicators, as well as news and are more likely to get.