In this era where information is definitely an extremely powerful and strategic asset, whether to individuals or corporations, and information equals money, especially for a trader, shutting yourself faraway from news could be suicidal. Forex is extremely sensitive to the flow of news that’s linked to it, and major short-term currency moves are nearly always preceded by changes in fundamental views influenced by the news Lambert Philipp Heinrich Kindt. Traders around the world earn a living by processing and translating information into money. Financial news services providers understand how important news is to the forex market players, and charge a premium for it. It is not uncommon to get a huge selection of headlines of news that are potentially relevant to Forex trading from any news service provider on the average trading day.
Traders, especially those who day trade the forex market, require the latest up-to-the-second news updates so as to facilitate their trading decisions which have to be made at lightning speed. They mostly make use of online financial newswire services such as for example Dow Jones Newswires, Bloomberg and Reuters, which display the latest financial news on their computer monitors. Since the speed of news dissemination is vital to traders, many opt for these online instant news services rather than based on daily newspapers just like the Wall Street Journal or the Financial Times which carry stale news that is of little use to traders.
Exactly why news is so important to Forex trading is that every new little bit of information can potentially alter the trader?s perceptions of the current and/or future situation relating to the outlook of certain currency pairs. When people?s opinions or beliefs are changed, they have a tendency to act on these changed perceptions through selling or buying actions in forex. In line with the news, these traders will undoubtedly be preparing to cover their existing positions or to initiate new positions. A trader?s action is based on the expectation that you will see a follow-through in prices when other traders see and interpret the same news similarly that he or she has, and adopt exactly the same directional bias because the trader consequently.
เว็บตรง100 is an extremely important catalyst of short-term price movements due to expected impact it has on other market players, which is in a way an anticipatory reaction on the part of the trader as he or she assumes that other traders will undoubtedly be affected by the news as well.
If the news is actually bullish, say for the US dollar, traders who react the fastest will undoubtedly be among the first to buy the united states dollar, followed soon by other traders who may react slower to the news or are looking forward to certain technical criteria to be met before jumping onto the bandwagon. And you will see those who join in the buying frenzy at a later stage when they get hold of the delayed news in the morning newspapers or from their brokers. This progressive entry folks dollar bulls over a period is what sustains the upward move of the US dollar against another currency, with the USD exchange rate going higher against other currencies. The reverse holds true for bearish news, traders will sell since they know that others will be selling, thus pushing the USD exchange rate down. This is using the assumption that since other traders will undoubtedly be getting the same bits of news, they will be also are generally affected exactly the same way.
Publicly released news is disseminated to the various newswires. Any trader with access to these wires can tap into the information given out, and react accordingly in forex. However, institutional players do get information that retail traders don?t, as they get privy access to order book information in their computer systems, and could also know a thing that others don?t through their personal contacts in the market.
In the wonderful world of Forex trading, there are no rules or restrictions against insider trading! Anyone who possesses information that’s known and then a select few can and do trade that information in the forex market. Sometimes, such news may give an unfair advantage to these institutional players, but at other times, this isolated news access may not translate into real market action if other players do not have that information.
Your voice is among the most powerful tools you own and using the media is a wonderful solution to get your voice heard. Probably the most profitable and often overlooked free publicity generator is the news release. A news release is a brief written summary alerting the neighborhood media about your organization news and activities. News releases aren’t only great marketing tools but also far more credible and believable than advertising since they appear to result from an objective third party.