But the main reason why I started this thread is because I saw one thread here in FF that has a very informative Fundamental report that can help you simplify your research in understanding the overall context of the market. The creator of thread is "kokhaiang" and the title of the thread is " The "Intrinsic" Value Indicator - 150-300pips positionings"
Here's the link : https://www.forexfactory.com/showthread.php?t=500870
The main idea of his system is he collect and simplified all the fundamental data into one website so he can understand the whole sentiment of the market before he enter any trade. It gives him and edge and consistent result. We all know that trading technical inline with fundamental provides a high accuracy of winning.
The HA Strategy's fundamental "Intrinsic" Value Indicator utilizes a algorithm to track and quantify:
- 250+ indicators (fundamental data) across 8 currencies, its y/y (yearly), q/y (3monthly), as well as the moving averages of the fundamental value.
Australian Dollar - AUD - 32 Indicators,
New Zealand Dollar - NZD - 24 Indicators,
Canadian Dollar - CAD - 21 Indicators,
Chinese Renminbi (Yuan) - CNY - 15 Indicators,
United States Dollar - USD - 69 Indicators,
Japanese Yen - JPY - 31 Indicators,
Great Bristish Pound - GBP - 41 Indicators,
Euro Dollar - EUR - 66 Indicators
- Daily Price Action of 21 currency pairs are fitted with generated fundamental indices to form a correlation factor, or "Intrinsic" Value between both the FX crosses.
(AUDUSD, AUDJPY, NZDUSD, NZDJPY, USDCAD, CADJPY, USDJPY, GBPUSD, GBPJPY, EURUSD, EURJPY, GBPNZD, EURAUD, AUDNZD, AUDCAD, EURGBP, GBPAUD, GBPCAD, EURNZD, EURCAD, NZDCAD.)
Sensitivity
Naturally, the calculated fundamental strength index changes with release of new fundamental data for the impacted currency.
The algorithm tracks the moving average constant - y/y and 3monthly result against currency m/m result to determine the strength of the fundamental piece.
Accuracy
The HA Research Strategy DOES NOT take “If fundamental low, sell” or “If fundamental high, buy” logic.
The HA Research Strategy determines its Orders Signals with the following trading principles and rules and to generate high-probability trade positionings which are worth 150pips - 300pips for entry.
We attempts to capture market inefficiencies & distortion, rather than to capitalize on identified quantified fundamental strength of currency.
The idea & rationale behind is to capitalize on based on the below philosophy:
1) Market participants carry on market overextention due to risk sentiments.
(pullback is imminent & susceptible, or near and identifiable).
2) Fundamentalists & Technicians will await entry at similar identified areas - Fibonacci levels or currency extreme Fundamental positions extention.
(effective entry).
3) Overextension also means reduced & discounted risk, & wrong identification of positioning are further protected by having a pre-determined; fixed-40pips stop loss (SL) and twice daily re-evaluation.
Generation of Orders Signals
Orders for 21 currency pairs are generated Twice on a Daily basis, but it does not change daily unless with significant fundamental value change.
The strategy is now tracking 21 currency pairs, with orders generated on all currency trades with the above trading pricinple hit.
That said, orders can take as fast as 1 day if triggered, to 5 trading days.
Which means, by the time you are viewing the orders of currency pair, it could either have already identified the positioning and is executable either immediately, or it could be day 1, 2 or 5 of it's identification.
Here are some more details :
SHORT INTRODUCTION:
We quantify 256 macro-economics fundamental data of 8 major currencies into "Intrinsic" Value indicator.
Using it to generate Order Signals for 21 currency pairs daily.
CONTACT
Skype / Email / Twitter / Google+: [email protected],
VERIFIED TRADE RECORD:
MyFxBook: http://www.myfxbook.com/members/HAre...esearch/973570
Forexfactory: http://www.forexfactory.com/kokhaiang#29
MQL5: http://mql5.com/3qrt
INFORMATION:
The Fundamental report(s) are developed by a team of 3 with collective market experience of 15 years. The quantitative system, algorithm, "intrinsic" value charts and calculation derivation is a result of a continual discovery of price action versus Fundamental Analysis spanning over the last 5 years.
The fundamental purpose of the report is to allow user (or us, initially), to grasp the fundamental outlook of all currencies within minutes, broadening the trading picture and knowing what is happening in the market fundamentally.
HA Research believe the market, though at times erratic, often present a underlying reason for it's price action. Technical Analysis, Events trading, "Spot" market trading or Top Analyst's news alone, more often that not, doesn't answer the majority of the "mysterious" reaction of the market.
For example, sometimes a string of bullish fundamental results does not necessarily equates to higher price for the currency. Likewise, a string of bearish fundamental results does not ncessarily equates to significantly lower currency price. Or rather, how far does the trader thinks the price is going base on the recent string of fundamental results? Does Technical Analysis alone justify the targetted price depicted by the technical zones?
With the comprehensive, quantified Fundamental Analysis report, user is now able to identify the short-term (daily change), quarterly, "intrinsic" strength of the currency, as well as keeping one updated on the events that is impacting the price action, all within minutes daily. Rather than trading the market only "partially enlightened" by Technical Analysis alone.
I contact him and ask if his website is still active but for some reason he said that he now only collecting the major currencies data for private use.
This is his website: https://haresearch5.wixsite.com/haresearch
Data's on the website is not updated anymore
So maybe do you have an idea where we can find a same concept or same way of collecting fundamental data that we can use in our fundamental analysis.
Sorry for words, english is not my native language. And I'm struggling a bit in explaining.
Thank ou