Forex Technical analysis and forecasts
One of the key factors, which has influence on any trader’s success is his ability to correctly predict the market movements. The two main methods are technical and fundamental analysis of Forex market.
An important feature of fundamental analysis is its global nature. Events, which are analyzed in fundamental analysis, have long-term influence on supply and demand on the currency market. This information is composed of the news about the world’s biggest political and financial events. It’s hard to overestimate the influenced the news has on financial markets: when the most important news is published, the market volatility increases.
It’s quite easy for an experienced trader to analyze and predict how a single event may influence the market. However, analysis of several events, which may influence the market in completely different ways, is a very complicated and time-consuming process. This may be the reason why only approximately 20% of traders use fundamental analysis as their main forecasting tool.
Fundamental approach to Forex market analysis, unlike technical one, covers not only the prices and their changes, but the reasons for these changes as well. Each approach has its followers, advantages and disadvantages.
The EUR/USD pair is correcting the second descending impulse.
The EUR/USD pair is still consolidating below the correctional retracement of 78.6%, which means that it may resume moving downwards.
The EUR/USD pair has formed the first half of the third descending wave.
The EUR/USD pair is moving below the correctional retracement of 78.6% again and may soon reach the retracement of 61.8%.
The EUR/USD pair has broken 1.1320 and continues moving downwards.
The EUR/USD pair is moving above the correctional retracement of 78.6% again, which means that the price may yet continue growing.
The EUR/USD pair has completed the descending impulse along with the correction.
The EUR/USD pair hasn’t been able to stay above the correctional retracement of 78.6%, which means that the descending correction may yet continue.
Being under pressure, the EUR/USD pair is falling.
The EUR/USD pair is testing the group of retracements it broke yesterday, which now may provide support.
The EUR/USD pair is forming the descending impulse.
Yesterday, the EUR/USD pair reached a new high.
The EUR/USD pair hasn’t been able to continue the descending wave and right now is moving upwards.
After rebounding from the correctional retracement of 78.6%, the EUR/USD pair continues the correction.
The EUR/USD pair has completed the descending impulse and the correction.