Sunday, 11 September 2011
Forex market analysis: what type is best?
There are two types of analysis of the forex market: fundamental analysis, which considers the economic forces, social and political influence on the currency markets, and technical analysis that uses graphs to identify trends and patterns in price movements.
So what is the best? If you look at forums and websites, there are many traders strongly supporting one or the other. Those who like to build on the cards will tell you that the only way to make money with forex trading is to identify trends and jump on them as soon as possible.
At the same time the proponents of fundamental analysis would say that it is the economic factors that drive changes in currency prices and that's probably
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