Why is Forex News important?
In the beginning of my trading days, even at demo trading, I did not care about all those news. I only care about looking at the chart and predicting the next move whether it is up or down. It works ok when there is no major impact on the currency pairs that was traded. It will not work when certain news do impact the pairs even the chart looks like it’s going to move in the direction that you thought. This is one lesson that I have learnt.
I know that most new traders who want to make quick money, always shun from reading Forex news because they don’t understand economics and the terms they used. I have the same problem myself initially. So, I said to myself, if I want to succeed in this trade to be my long term profitable business, I have to put in the effort to learn and understand. Now, I understand that in keeping informed of news and current affairs worldwide is actually important when it comes to finding what are the impacts on my trading scenarios
What are those news that will affect the pair currency movement?
Political, social and economic developments, and other relevant Forex news are the ones that you must be aware. There are many sources that you can find these news like Forex factory, Forex Street and many others. I have been using Forex Street. The other source will be your broker if you have one.
“There are so many news to look out for. I don’t think I have the time.” Don’t let this excuse comes into your head. If there is a will, there is a way. Tell me, do you trade many pairs at one time? If that is what you doing, you got to hold back because you are just an amateur trader. Usually, I will only trade one currency pair at one time. Before trading, I will check the news that will affect this currency pair. Another good information to look for are those analysis report made by the experts. Then, go to the chart and check their analysis. With these information, you have better chance of a successful trading. Now, you got it. You don’t need to check out so many news, just those that will affect your intended currency pair to trade.
Does this blog help you? If not, what is your comments?