How has news affected your trading? This is where you signal providers can shine and attract more followers! e.g. Euro's 2013 GDP Data
Hey guys,
When you're FX trading have you either heard a piece of news i.e. 2013 Euro's GDP which changed or shifted the flow of the trade either towards your position or against it (example attached).
This thread wants to know what you experienced, whether you expected it or not and sharing what indicators or techniques you used to gain a better advantage for yourself in that situation. It is educational for both newbies/veterans alike and give you signal providers a chance to shine! ![[grin]](/themes/default/images/smiles/grin.png)
No doubt, fundamental factors have significant impact on market, but it is not purely based on fundamentals. But there r many other factors to consider for example duration of impact, before/after effects etc.
Fundamental trading is really tricky.
Originally posted by SashaNo doubt, fundamental factors have significant impact on market, but it is not purely based on fundamentals. But there r many other factors to consider for example duration of impact, before/after effects etc.
Fundamental trading is really tricky.
On this occassion i believe the fundamental factors were huge (looking at the graph), but as Sasha pointed out there are other considerations to make.
While i believe Fundamental news can drastically impact a currency's position and provide a good general direction of a currency overall in the long-term I prefer to consider technical factor when trading, since they better predict pullbacks, short-term variations and played out trends in my personal opinion since i only trade short-term 1 day or few hours.
Its true, news can be a trend changer as FxStat's facebook has pointed out many times i.e. the more recent post regarding USD being defensive (http://bit.ly/17Hezdt) and as Jamad's post has demonstrated. But it doesn't tell you the rate of change (how steep the curve is), and what the ranges applicable are, which is where technical anaylsis comes in.
News would bring my attention to certain currencies and suggest whether i should look to buy/sell, but it wont affect when i predict i should open a position or when i should close a position. For that technical analysis serves a better purpose, but it can get subjective and news can act as a good anchor to keep your perspective objective.