In this current era, most people are relying on the international market where the world economy grow millions and traders can get the benefit out of it. Forex market is considered as the effective and most happening financial market in the world. An estimated amount of $4 trillion is being being transacted around the world. However, there are some factors which can affect the Forex market. Let us see some of the entities which move the Forex market. Read More
• Interest rates
• Energy Prices
One of the most important factor which moves Forex would be the economic data where the fluctuation of currency value depends on the economic status. Most of the traders focus on economic data to monitor the currency status.
The outcome of natural disaster can be overwhelming for a country. Natural disasters like floods, earthquakes, and others can harm a country’s economy, infrastructure and morale. On the other hand, such disasters will also have a negative effect on the overall welfare of the nation. A natural disaster will definitely affect the economy of the country.
In most cases, Forex traders will keep an eye on the pre-election polls in order to get the sentiment of a forthcoming economy growth. The political parties are accountable for promoting the economic growth of the country. Another important situation is during the unexpected election. Whether it comes through corruption scandals, non-confidence vote or other such situation, the question of unplanned elections can create a ‘crash’ on the economy.
If you are keeping an eye on the market on a regular basis, traders can make a profit out of it irrespective of the market status. If you have sufficient knowledge on selling and buying and having updated track on the market status, you are at the advantage. It is very important to study the market before making your move. One of the best and ideal procedures would be getting the updates on the current economy. It is partially important to follow top economic news on regular basis.
Nevertheless, price action is still the key to success in Forex trading. Never forget to apply your risk & money management.