Keeping Up to Date With XFR Financial Limited And Forex News
Trading in the Forex market is never easy, and if you want to make sure you’re on the right side of currency trading then you better be on top of all the major news reports that affect currency rates! While fundamental factors need to be paid attention to no matter what the technical indicators on your XFR Financial Limited graph might be showing as a trend, how do you know which reports are most important?
Know the Most Important Forex News
While some Forex news are more important than others there are four that really tend to stick out:
– GDP growth reports
– Interest rate movements
– Unemployment reports
– Non-farmroll job reports
When there’s a major movement in one (or more) of these reports then there’s normally going to be some major movement in one or all of these reports then you’re going to see price movement in all the currency pairs of that nation’s currency.
Look for the Surprises at XFR Financial Limited
Those big movements will especially cause some waves if the number is unexpected. Every single one of these reports will have an “expectation” number and then the actual number. When those two numbers are really far apart, there’s going to be movement with XFR Financial Limited because of the Forex news.
Now one thing that’s important to note is that the news can be very positive or very negative – it doesn’t matter which direction the surprise is in to create a major impact. The direction simply indicates if that currency is going to go up in trade value compared to others or if the opposite is going to happen and the currency is going to drop in trade value.
Generally speaking unexpectedly good news will make the currency stronger while unexpected bad news will make the currency weaker. This does work by degrees, as well. The more extreme the difference compared to what was predicted, the more extreme the movements are going to be in the other direction.
Many online sites specializing in Forex news will have a color coded system with reports in red being the most important.
Watch for Gold and “Connectors”
Finally, it’s not always just direct Forex news that affects the value of currency pairs at XFR Financial Limited. In this connected market you want to make sure that you understand how news in one place impacts another. One prime example is gold. There are several currencies that are directly tied to the value of gold.
This isn’t in an old gold standard type of way, but for example when the USD is strong, gold prices tend to fall. When the USD is weak, gold is often seen as the “safe” place to put your money, therefore making the price go up. This inversion for the USD also exists between certain currencies where a sharp action in one currency (either up or down) can result in the exact opposite movement in another.
If you want to win at trading currencies with XFR Financial Limited, you need to learn these attached pairs and values so you can move the very instant the market begins to.