Forex fundamental definition

[piyuu]

Fundamental analysis analyzes the impact of political, economic and social factors on the relative value of a currency. By identifying the key drivers of the intrinsic value of a currency, Forex participants can make informed transaction decisions.

 

[Fried_Rice]

Very true, also consider technical analysis and sentiment

 

[fargana]

If you are ok with staying in position for 2-3 weeks or more then fund analysis is for you, however it is completely unusable for scalping. That's where technical analysis comes to the rescue.

 

[anny09]

If you are ok with staying in position for 2-3 weeks or more then fund analysis is for you, however it is completely unusable for scalping. That's where technical analysis comes to the rescue.

But what about the news that creates volatility?

 

[Ara]

How do things like how people feel about spending money and changes in the population (like more older people or younger people) affect how much a currency is worth, based on what you've seen?

 

[fargana]

But what about the news that creates volatility?

To combat this you choose size of position, leverage and stop loss that takes into account potential wild irrational swings which can create pressure on equity. I try to maintain margin level above 200% to account for that risk.