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 Forecast: Euro struggles to clear key resistance

EUR/USD Forecast: Euro struggles to clear key resistance Premium

EUR/USD has started to edge higher on Friday following a four-day slide that saw the pair touch its weakest level in over two months near 1.0700. The near-term technical outlooks is yet to reveal a bullish tilt in the short term and the next directional movement could be influenced by the Personal Consumption Expenditures (PCE) Price Index data from the US later in the day.

Topics in Depth

GBP/USD loses bullish momentum after US data, falls below 1.2350

GBP/USD loses bullish momentum after US data, falls below 1.2350

GBP/USD has reversed its direction and erased a large portion of its daily gains on Friday after the data from the US showed that the annual core PCE inflation edged higher to 4.7% in April. Although the pair clings to small daily gains below 1.2350, it remains on track to end the third straight week in negative territory.

GBP/USD News

Gold erases daily gains, holds above $1,940

Gold erases daily gains, holds above $1,940

Gold price turned south and declined to the $1,940 area in the American session on Friday. The benchmark 10-year US Treasury bond yield holds stead above 3.8% after stronger-than-expected core PCE inflation data from the US, not allowing XAU/USD to gain traction.

Gold News

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EUR/USD: A debt ceiling deal can save bulls Premium

EUR/USD: A debt ceiling deal can save bulls

GBP/USD: More downside in the offing, with eyes on US debt deal, NFP Premium

GBP/USD: More downside in the offing, with eyes on US debt deal, NFP

Gold: No signs of recovery yet in XAU/USD Premium

Gold: No signs of recovery yet in XAU/USD

FX next week: EUR/USD vs US Dollar Index and USD

FX next week: EUR/USD vs US Dollar Index and USD

DEEPER DIVE

Three make-or-break crises impacting the US

Three make-or-break crises impacting the US

There is a thread running between the three crises being felt in the US right now. We have big issues in play. They have evolved slowly but surely. The coming months will prove to be a make or break period.

Will 2023 be the year when Gold prices hit $3,000 an ounce?

Will 2023 be the year when Gold prices hit $3,000 an ounce?

In this year of "unthinkable macro surprises”, the precious metal appears well-positioned for another explosive run that could carry it to new all-time record-breaking highs. 

Asia is the vibrant global hub, yet black swans are there

Asia is the vibrant global hub, yet black swans are there

According to IMF forecasts, the Asia-Pacific region is poised to be the most vibrant global hub in 2023, driven largely by the upbeat outlook for China and India.

CRYPTOCURRENCIES

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STOCKS

Ford Stock News and Forecast: New agreement will give customers access to 12,000 Tesla chargers

Ford Stock News and Forecast: New agreement will give customers access to 12,000 Tesla chargers

Ford (F) stock has advanced about 2.5% early Friday following CEO Chris Farley’s announcement that Ford owners will be able to charge their EVs at Tesla Superchargers beginning in early 2024. The announcement was made via a Twitter Spaces talk between Tesla (TSLA) CEO Elon Musk and Farley late Thursday.

FX in Depth

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 ELLIOT 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

Majors

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Crosses

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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.