Hello, this is Lucas from Wandering Traders LAB
I’m going to talk about Fundamental analysis.
What I am going to talk about is the same as Forex,
so you don’t want to just skip this page just because you are a forex trader.
Consider fundamentals elements
Like I said, even if it is an automated system,
it cares about fundamentals element
If you trade by yourself, even more, you got to care about a fundamental element
But I am a technical trader, so I only watch Current Employment Statistics, PMI, GDP, and so on.
I barely watch the Sales Index or Foreign Trade
even those two have an influence on the market.
like a big trend is made because of those two.
A few days ago, AUD was too much being sold because of foreign trade between Australia and China.
The trend was not because of neither GDP nor PMI
That time trend was hard to recognize why it has happened.
Even you know that was fundamental, you might not know what kind of fundamental was.
I am so surprised that too many people don’t even know the fundamental element,
but do the trade.
Last year, May 23th, TRY was crashed,
but you could predict before it happened
because a president of the country was saying
he was going to maintain interest rate.
It is really famous and you might know, huh?
It is also a famous currency about a swap.
If you trade with those unstable currencies,
you got to think about the portfolio.
Even you don’t have much money,
some of you try to trade seeking for swap
Moreover, when those foreign trades, which we can’t know, happened the market is going to be risky,
and you shouldn’t do Binary Option.
Like after you enter, the price suddenly goes up
and there is no more hope that the price comes back.
Like if there is foreign trade between Australia and China,
those countries’ media will broadcast news on their countries because it is directly related.
But how would we know that news if you are not those residents?
You just only have to think “Umm…the price is crashed….” and not touch anymore.
The media doesn’t pick up news which is not related own country
so you have to be careful when currency suddenly gets rough.
If it is a famous issue, like the US-North Korea summit,
the price action stays calm since everyone knows.
so from now on the market,
you can try researching when a trend happens.
You might notice many things.
in order to be a successful trader, you have to know at least a worldwide issue,
Study hard if you want to be a great trader!