Forex economic calendar

In order to keep abreast of all economic and financial events, any Forex trader needs to track the latest news; the Forex economic calendar will be an excellent assistant in this matter.

Thanks to which, you will find out not only when the news will be released, but also which currency it will have the greatest impact on, the expected exchange rate forecast and some additional points.

• The date and time when the expected news will be published.
• The currency that is most influenced.
• Importance – characterized by the number of bullish heads; for trading, it is better to focus only on the most significant news; it is they that affect the current exchange rate.
• Index – the name of the expected message.
• Index indicators – current, predicted and previous. They help to make a forecast on the Forex calendar of a possible development of events. Sometimes the rate reacts quite strongly even to forecast data, so even then you can open a deal; if the forecast is confirmed, the trend will continue to move, otherwise a reversal will occur.

Trading strategy based on the Forex economic calendar

The Forex calendar is mainly used when trading the Forex strategy on news; this trading option is based on fundamental analysis. The strategy is quite simple and even a novice trader can use it.

The whole process should be divided into several stages:

1. On the Forex economic calendar, click the filter tab and select the currency we need, for example, USD (US dollar). There we also note which events in terms of importance we want to observe on the screen; it is advisable to focus only on the most important news, they are indicated by three bulls. Then click the “Update” button.

As a result of the settings, we display only the most important news on the American dollar.

2. At the second stage, we go to the news feed of one of the brokers and wait for the release of the necessary news.

3. The third stage is the most important, as soon as the news comes out, we assess the degree of its impact on the currency, positive - the exchange rate is rising, negative - falling.

For example, if the USD/JPY currency pair is used for trading, and the news released in the Forex economic calendar has a negative impact on the dollar exchange rate, a downward trend should be expected. In this case, we open a sell transaction.

When opening transactions, be sure to pay attention to what currency the selected monetary unit in the currency pair is - base or quoted; in the first case, a direct relationship is monitored, in the second, an inverse relationship, that is, with positive news, the price of the currency pair decreases, and with negative news, an increase .