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Tech Analysis : USD/CHF
Tech Analysis : USD/CAD
Tutorial : What is Cross Currency?
Tutorial : What is PIP?
Tutorial : What is Forex Trading?
Tutorial : What are Currency Values?
Tutorial : What is Bid price and Ask price?
Tutorial : What is Spread?
Tutorial : How to get started?
Tutorial : What are the types of Orders?
Tutorial : What is Lot size?
Tutorial : What is Long and Short trade?
Tutorial : What is Leverage?
Tutorial : What is Margin Balance?
Tutorial : What is Rollover?
Tutorial : When do the deals liquidate?
Tutorial : How to analyze forex market?
Tutorial : What are Forex Signal Services?
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Analyzing the forex market
You need to understand the forex market before you invest your money. Basically, the wisdom on investing comes with experience and time but there are certain common things that any trader must watch out for in a forex market, since forex market in very volatile. There are two main ways to analyze the market.
- Fundamental analysis
- Technical analysis
Fundamental analysis means analyzing the market on the basis of the economy, political factors and the environment of the country. The economy of a country decides its GDP and growth rate. All these factors that decide the economy and development of the country directly affect the country's position with respect to other countries. Better the position of the country, better will be it's currency. Fundamental analysts keep a close track of the news relating to economy and politics.
Technical analysis means analysing the market on the basis of the charts and graphs. It takes into consideration the previous week's, month's or even year's data. Based on the past data, a trend is discerned and future trend is determined.
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