In this era where information can be an extremely powerful and strategic asset, whether to individuals or corporations, and information equals money, specifically for a trader, shutting yourself off from news can be suicidal. The forex market is extremely sensitive to the flow of news that’s related to it, and major short-term currency moves are almost always preceded by changes in fundamental views influenced by the news headlines Lambert Philipp Heinrich Kindt. Traders around the globe earn a living by processing and translating information into money. Financial news services providers understand how important news would be to forex players, and charge reduced for it. It is not uncommon to get hundreds of headlines of news which are potentially relevant to Forex currency trading from any news service provider on an average trading day.
Traders, especially those who day trade forex, require the latest up-to-the-second news updates in order to facilitate their trading decisions that have to be made at lightning speed. They mostly make use of online financial newswire services such as Dow Jones Newswires, Bloomberg and Reuters, which display the latest financial news on the computer monitors. Since the speed of news dissemination is very important to traders, many choose these online instant news services rather than depending 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 piece 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 buying or selling actions in forex. Using the news, these traders will be preparing to cover their existing positions or even to initiate new positions. A trader?s action is founded on the expectation that there will be a follow-through in prices when other traders see and interpret the same news similarly that he / she has, and adopt the same directional bias as the trader consequently.
News is an extremely important catalyst of short-term price movements due to the expected impact it is wearing other market players, which is in ways an anticipatory reaction for the trader as she or he assumes that other traders will be affected by the news headlines as well.
If the news happens to be bullish, say for the united states dollar, traders who react the fastest will undoubtedly be among the first to get the us dollar, followed soon by other traders who may react slower to the news or are waiting for certain technical criteria to be met before jumping onto the bandwagon. And you will have those who interact the buying frenzy at a later stage when they obtain the delayed news in the morning newspapers or from their brokers. This progressive entry folks dollar bulls over a period of time is what sustains the upward move of the united states dollar against another currency, with the USD exchange rate going higher against other currencies. The reverse is true for bearish news, traders will sell because they know that others will soon be selling, thus pushing the USD exchange rate down. This is in line with the assumption that since other traders will be getting the same pieces 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, because 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 industry.
In บรอนด์ บี้ 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 result in real market action if other players don’t have that information.
Your voice is among the most powerful tools you possess and utilizing the media is a fantastic solution to get your voice heard. ufabetมือถือ and frequently overlooked free publicity generator may be the news release. A news release is really a brief written summary alerting the local media about your business 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.