Find out What is New on the Forex Calendar
If you're interested in the Foreign Exchange Market, you will certainly want to take a look at the FOREX Economic Calendar online. This is a monthly grouping of economic events that affect what happens in the economy, industrial market and companies. These events often preclude a very notable change that may require a change in trading strategy. FOREX traders, especially, would be wise to compare market prediction with real time economic indicators such as the Calendar.
What Information does it include?
For FOREX traders, the calendar offers information that currency traders should be aware of when planning strategies. This system has proven itself through many lucrative trades that were completed within moments before or very soon after very important economic bulletins. Study and understanding of these economic indicators is the best way to begin learning the trading market.
In FOREX trading there are currency pairs; that is, the exchange rate of a certain currency over another currency. The most traded currency pairs are
Euro/USD (Euro/US Dollar) USD/JPY (US Dollar/Yen)
GPD/USD (Pound/US Dollar) ISD/CHF (US Dollar/Swiss Franc)
USD/CAD (US Dollar/Canadian Dollar) AUD/US (Aussie/US Dollar)
The currency listed first, for example, EURO is known as the base currency, and the second currency (USD) is the quote currency. If the quote of EURO/USD is , for example, 1.2545/48 or 1.2545/8 the bid price for the transaction would be $1.2545 and the price the broker is willing to sell at (ask price) is $1.2548 The largest percentage of overall volume in the market is generated by these currency pairs.
Because the full amount of the deposit traded is not required in FOREX margin trading, this may be the reason for its popularity among investors. A margin deposit is all that is required, with the rest being granted by the broker. An example of this margin type of trade would be if a broker allows a 100:1 leverage, a 1% deposit would be required by the investor. The problem though, is that when the balance of the accounts falls below the 1% deposited, the broker sells off all your trades. As you can see, there is a lot of risk involved in currency trading.
Learn as much as possible before trading
Before starting to trade in the FOREX market, do make it a goal to learn everything you possibly can to aid you in making a success of your venture. Besides the calendar, there is a tremendous amount of information online. There are books specifically written for the FOREX market, from getting started, to Day Trading in the currency market, and trading in the global currency market. Other books are available that teach the fundamentals of understanding economic indicators, very valuable information when trading in the market. A few of the Key economic indicators are Existing Home Sales, the Gross Domestic Product, Automobile and Truck Sales reports,, Jobless Claims, and the Retail Sales Report.
Caterina Christakos is a private investor and published author. To get more information about the forex market go to: http://forexandcurrenciesexplained.com
Article Source: ArticleSpan
-
Featured eBay Auctions
