Forex Analysis
Forex analysis is how traders assess the next moves a currency pair is about to take, providing insights for taking a position. For this reason it is an essential tool for traders to make the best decisions in their daily trading routine, based on the fundamental and technical aspects of an asset. Fundamental analysis is based on the countries' economic situation, future prospects, and primarily what central banks plan to do with interest rates. Technical analysis focuses on previous price action, the repeat of well-known chart patterns, and other factors.
EUR/USD Price Forecast: Near-term outlook remains unclear Premium
EUR/USD regained its footing in the first half of the week, eroding part of Monday’s losses and surpassing the key 1.0500 hurdle, putting some distance from recent lows.
Topics in Depth
GBP/USD trades below 1.2700 as focus shifts to Fedspeak
GBP/USD loses its recovery momentum and retreats to the 1.2650 area after rising toward 1.2700 earlier in the day. The US Dollar stays resilient against its rivals on upbeat JOLTS Job Openings data and makes it difficult for the pair to regain its traction as focus shifts to Fedspeak.
Gold keeps struggling for direction
Following Monday's retreat, Gold stabilizes and trades in a narrow band below $2,650. The benchmark 10-year US Treasury bond yield stays flat near 4.2% ahead of Fedspeak, making it difficult for XAU/USD to gather directional momentum.
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DEEPER DIVE
A new horizon: The economic outlook in a new leadership and policy era
The economic aftershocks of the COVID pandemic, which have dominated the economic landscape over the past few years, are steadily dissipating. These pandemic-induced economic effects are set to be largely supplanted by economic policy changes that are on the horizon in the US.
Trading Gold? What smart traders should know about Trump's impact
Will Trump drive Gold prices up or down? Short-term: Gold dipped post-election as stocks soared and the USD strengthened. Long-term: Trump's tax cuts and tariffs could spark inflation, deficits and trade tensions—what's the impact?
CEE growth navigator
The economic growth in Hungary and Romania was the most surprising in Q3, with the former contracting and the latter expanding by 1.1% YoY, well below expectations. As a result, we have already revised our 2024 growth forecast downwards to 0.5% and 0.8%, respectively. Similarly, flash GDP in Slovakia was also disappointing at 1.2% YoY.
STOCKS
Amazon stock bucks Dow Jones downturn on Cyber Monday Premium
Amazon stock has gained nearly 2% on Monday as the world’s largest ecommerce business is rife with Cyber Monday deals, the internet’s answer to Black Friday sales ahead of the Christmas gift-giving holiday.
FX in Depth
Not only will tariffs weigh on U.S. real GDP growth next year, but economies with significant export exposure to the United States likely will be negatively affected as well. Under our tariff assumptions, we forecast the global economy will grow only 2.5% in 2025, down from 3% in 2024.
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Cycle Analysis
"A cycle is a recognizable price pattern or movement that occurs with regularity in a specific time period"
Sentiment agregator
"Advisory Opinion, comprised of arguments and trade ideas which have been committed to publication and therefore have an influence on the trading public, are considered a sentiment indicator."
Intro to Ellio Wave
"Have you ever read news updates mentioning Elliott Wave yet you don’t have a clue what these mean for the Forex?"
Support and resistance
"Support and Resistance Lines conform the most basic analytical tools and are commonly used as visual markers to trace levels where the price..."
Currencies
Education
What are the types of Forex Analysis?
There are innumerable ways to analyze the Forex market, but its goal is the same: trying to predict where the price is headed next. The most popular types of forex analysis are:
- Technical analysis
- Fundamental analysis
- Sentiment analysis
What indicator is best for Forex?
There are several indicators key to trade the forex market, and all of them are a great tool for the trader to forecast where the price can go next.
There are indicators of sentiment, trend, volume, etc. Their value will depend on the strategy the trader is trying to follow and its risk management rules.
How do you analyze trends in Forex?
Detecting directional movements is critical. At the end, an FX trader needs to determine and anticipate such a move, or trend, to make profits.
There are multiple tools that can be used to achieve the goal, such as trend lines, supports, resistances, technical indicators, and even pure observation of the price behaviour on the forex chart.
It’s important to take into account that fundamental analysis is as important as the technical one. Using both the trader could better forecast the trend to maximize the benefits and limit the losses trading Forex.
How do I create a Forex Strategy?
The best strategy for one person could be the worst one for others. There are several questions that need to be answered ahead of defining it. How many hours can I dedicate to FX? What is my risk tolerance? These among the most relevant questions.
A forex strategy is a combination of tools that should result in a positive balance in a certain period of time. During the creation of a strategy, flexibility and imagination are very important values. Once the strategy is created, discipline is one of the greatest virtues.
How can beginners start trading forex?
Every learning process is evolutionary and requires the right steps to be followed in order to obtain knowledge and develop skills.
For new traders, it is advisable to work with simple but very powerful tools, such as trend lines, support and resistance or Japanese candlesticks.
It is advisable to start working on simple patterns, such as triangular figures, rectangles or reversal patterns. These types of layouts are easier to manage and the novice trader will learn to manage positions without large ranges that increase risks.
Educate yourself. Knowing the tools, and learning to use it is critical. As in any other professional career, learning before practicing is the key to success. Recognizing strengths and weaknesses is also a critical part of this process.
How do I get a forex signal?
There are multiple providers of forex signals send traders positions that are ready to be traded out of box. FXStreet has its own signals service with experts at different markets. In the FXS Signals service, you will have access to multiple trading signals, both algorithmic and executed by our team of expert analysts. Automated strategies are presented in a transparent manner and the technical fundamentals on which the strategy is built are provided. Manual strategies executed by FXS experts are always explained with a didactic objective. Tthat allows the user of the FXS service to not only execute the trade with understanding, but also to make their own decisions in the future.