Understanding What Affects The Forex Prices

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This article discusses some of the differences between technical analysis and the criteria and explain a little about each trade. Excerpts from the best-selling book “Market Wizards” setting, where Jack Schwager interviews Ed Seykota and Bruce Kovner.
Ed is a trend trader used (technical analysis) and also relies on assumptions of 20 years of experience. He decided, stressed his confidence in the technical analysis. When you’re reading this, I compare the “hunches” about the impact of the basic factors can be on the market, though I could be wrong, they could clean up a lot of reading charts as well. Here are the exact words “Fundamentals that you are useless as a general rule, because the market is already reading at a reduced price, and call it” funny-criteria. “However, if you start early, before others believe, then you may have valuable ‘surprise – reasons.”
Ed says, to buy his priorities for long-term development of trade, the current charts and picking a good place to sell or, in this order.
Bruce says the technology is brilliant and very helpful, but do not ignore the fundamentals.
It is important to note that technical analysis is a critical method to understand the history of market movements and is therefore useful to identify trends. It’s not really tell us where is the currency, but the analysis of historical data. Then we have to use your own intelligence, to see what the trading activity of the future shops.
Technical analysis, the patient, the temperature can be compared. To ignore it is ignorance, and it can tell whether a market is active or dormant, and cold.
It also takes an unusual behavior. All of which creates a new chart pattern is something unusual. He also says, “Studying charts is absolutely crucial to me, and makes the current imbalance and possible changes.”
There is reason, which will help you to indicate whether trade value has increased or decreased.
All of the tick, in terms of forex. Private consumption, public spending, the employment index, government policies, political concerns, and even a single event can affect the market significantly.
In summary, the basic elements indicate the direction of the price, but not the exact prices.Chart analysis or technical analysis is better so that together we can really increase your chances of coming out a few points.
Basic technical analysis is so stressed out that many traders use charts to trade, and at some point to pull the same line of resistance and support the same bus. So, if you can read the charts good, you have a wonderful view of forecast market movements. The best way to learn about the effects of fundamentals, it is a piece of economic data at a time to learn. This will help you better educated trades.

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