If you want to achieve success as a forex trader, you have to keep your finger on the pulse of the world. Knowing what is happening not only in your own country, but in all the major economic powers, will help you to protect and enhance their investments.
But no need to constantly keep track of all the news. You can just be aware of when will be published the basic financial statements and reports, and to understand them correctly. Even as a master of technical analysis, relying on charts and indicators in the search for trading signals, you should not ignore the news.
Given that different forex trading sessions around the world are active in different time zones, one day there is a lot of events. However, you should focus on regular statements and reports in the countries that are most interesting to you.
For example, if you trade only EURUSD, you need to keep abreast of developments in Europe and the United States.Events in other countries, such as very strong or weak financial results in the long run, will also affect the euro and the US dollar, but not nearly as quickly and significantly.
All the news that affect the US economy, reflected in all the forex market because the US dollar has the highest volume of trading in the currency market. So, it would seem that the slump in the US housing market is not directly affected by the currency of States, but it is not. It will have a huge impact on the other financial indicators, which, in turn, affect the value of the dollar.
The effect can conceive not only financial news, but also to political developments. Election of a new president will affect the value of the currency, depending on whether the world believes that the new man at the helm of the country will be able to provide a stronger economic position.
Equally important are the statements of both political and economic leaders of influential countries. A recent example: last week the French president harshly criticized the United Kingdom's process to overcome the last of the EU structure. As a result, in just a few seconds, the British pound fell to multi-year lows.
If you are truly interested in successful forex trading, it will be not difficult to date. Internet will bring you to conduct even the most distant countries. You can easily keep up with events in the world, periodically checking several online publications, social networks and blogs.
Based on materials PaxForex