What moves currencies fundamentally | Forex Factory

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What moves currencies fundamentally

  • #1
  • First Post: Apr 26, 2021 2:53am Apr 26, 2021 2:53am
Hey,

im in forex now for several years and in the end everything falls mostly because markets are ranging and not trending.
I already heard the phrase several times, that markets nowadays tend to range more than actually trending.

Why do u think (if its true) it is?

Also what makes markets really trending?

In Theory, a currency pair trends if Currency 1 is weaker than currency 2 and vice versa. depending on the gaining/lacking strength
of the compared currencies the pair trends more or less.

i just try to figure out how to determine to eye out which pair at which time in order to find trade opportunities.

do you think COT or CB Interest rate helps?
  • #2
  • Apr 26, 2021 6:28am Apr 26, 2021 6:28am
It's probably to recognize and catch the beginning of the formation of a trend. When it's found in the accumulation phase.
Independently of the timeframe, finding obvious strong movements and opening transactions according to the trend will help the technical analysis. Take it, and you no longer have to guess and hope to catch the trend.

As for fundamental analysis, you need to understand financial news and not only. Absolutely any world event may influence the formation of a trend.

If I'm wrong, tell me
  • #3
  • Apr 26, 2021 7:39am Apr 26, 2021 7:39am
Market movement is based on supply and demand, transactions that market participants make. News events that affect the economic condition of countries may arouse the interest or fear of investors. If investments are made in an asset, then its price rises, as soon as it begins to be massively sold, the trend becomes downward. News that directly relate to institutional investors also directly shows how the trend will develop in the future.
  • #4
  • Apr 29, 2021 9:32am Apr 29, 2021 9:32am
Quoting LouDa
It's probably to recognize and catch the beginning of the formation of a trend. When it's found in the accumulation phase. Independently of the timeframe, finding obvious strong movements and opening transactions according to the trend will help the technical analysis. Take it, and you no longer have to guess and hope to catch the trend. As for fundamental analysis, you need to understand financial news and not only. Absolutely any world event may influence the formation of a trend. If I'm wrong, tell me
true... i remember when fukushima happened... the yen was tanking hard. but this is obvious and not forseeable. can you define what news you are talking about?

Quoting iamjacobs
Market movement is based on supply and demand, transactions that market participants make. News events that affect the economic condition of countries may arouse the interest or fear of investors. If investments are made in an asset, then its price rises, as soon as it begins to be massively sold, the trend becomes downward. News that directly relate to institutional investors also directly shows how the trend will develop in the future.
i always hear "news" affect the markets, but what news exactly? all the news that are on the economic calendars on financial websites almost only have minor impact, the biggest impact is probably the notorious NFP (No not B.I.G lol) but also this impact is only for this day and not in the long run.

im looking in particular for fundamental "indicators" if you want to call it that way where it is possible to see where the trend might go.
  • #5
  • May 13, 2021 2:18am May 13, 2021 2:18am
Quoting ditobandito
{quote} true... i remember when fukushima happened... the yen was tanking hard. but this is obvious and not forseeable. can you define what news you are talking about?
Well as a rule news that strongly affects the forex market is news about disasters, defaults and bankruptcy.
The ones that don't affect so much are the publication of different indexes.
There is also a statement by various politicians and other influencers.
For example, if we take from the last I remember this is Elon Mask with bitcoin. His one word made the chart jump into the skies.
  • #6
  • May 13, 2021 11:50pm May 13, 2021 11:50pm
News is a generalized name for those events that can directly or indirectly affect the market. For example, if the United States lowers the interest rate while the European Central Bank keeps it, then the euro dollar rate will probably decline as well. Or an event such as Brexit, around which a cloud of tension formed and each time this event was delayed, we could see the movement of the market.
  • #7
  • May 14, 2021 8:09am May 14, 2021 8:09am
i always find trend in market? why you dont?
Nothing to learn here
  • #8
  • Jul 1, 2021 10:20pm Jul 1, 2021 10:20pm
Quoting ditobandito
{quote} true... i remember when fukushima happened... the yen was tanking hard. but this is obvious and not forseeable. can you define what news you are talking about? {quote} i always hear "news" affect the markets, but what news exactly? all the news that are on the economic calendars on financial websites almost only have minor impact, the biggest impact is probably the notorious NFP (No not B.I.G lol) but also this impact is only for this day and not in the long run. im looking in particular for fundamental "indicators" if you want to call it...
When news comes out, traders open deals in the direction of the news. But there are central banks. They keep the rates of the national currency stable. On the news, the central bank is included in the trading. Their task is to prevent large movements. Therefore, forex news does not work well. News works better on stocks and cryptocurrencies, no one regulates the course there.
  • #9
  • Last Post: Jul 2, 2021 1:00pm Jul 2, 2021 1:00pm
Quoting NoobM
i always find trend in market? why you dont?
idk... you tell me... what are you doing different than me or how do u find trends?
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