My first tutorial about forex (babypips in fact) were explaining that, the better an economy is, the better its currency is.
Times are changing it seems. Take a look at US economy. Good news like Citi is OK and USD is down. Bad news like GM may go bankrupt and USD is up. Nothing to do with IRL economy but only with traders "psychology" and their USD = shelter.
Quite frankly, as a newbie, my only thought about this is that I have to go as far away as I can from fundamental analysis. Technical analysis is no easy thing but nothing compared to second guessing traders herd.
Times are changing it seems. Take a look at US economy. Good news like Citi is OK and USD is down. Bad news like GM may go bankrupt and USD is up. Nothing to do with IRL economy but only with traders "psychology" and their USD = shelter.
Quite frankly, as a newbie, my only thought about this is that I have to go as far away as I can from fundamental analysis. Technical analysis is no easy thing but nothing compared to second guessing traders herd.