Today you analyze the fundamentals

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In foreign exchange trading, everyone wants to accu forexcashbackcalculatorly forecast the exchange rate, so that you can ensure their own profit Th East forex cashback is the basis of good foreign exchange trading Foreign exchange Eastforexcashback methods are divided into fundamental analysis cashback forex technical analysis History, we have been on which analysis method is good debate We put these two analysis methods to briefly tell you, and point out the advantages and disadvantages of each method If you have mastered technical analysis, such as mastering fundamental analysis, then the operation of your foreign exchange market will be of great benefit because fundamental analysis focuses on analysis to determine the long-term trend of a cashbackforexbtc, is to do qualitative analysis; as opposed to the focus of technical analysis is to determine which price to buy and sell, is to do quantitative analysis Start with the fundamentals, the exchange rate changes are difficult to grasp, but Ten thousand changes do not deviate from its essence important factors affecting the exchange rate are as follows: first of all, the growth rate of the economies of various countries, which is the most basic factor affecting the currency market a countrys economic growth rate if it rises, the countrys currency will form a favorable, the countrys currency will appreciate in the currency market, the dollar dominates the U.S. economic growth rate, affecting the currency market must be concerned about the U.S. economic data released this month the United States The economic data generally bad, will cause the dollar to plummet early Thursday, November 6, 2002, due to rising unemployment, shrinking manufacturing and consumer confidence, the Federal Reserve cut interest rates by 50 basis points, so that interest rates fell to the lowest level since July 1961 After that, the dollar fell below short-term support against major currencies Balance of payments, is also one of the basic factors affecting the currency market Balance of payments refers to The import and export of goods and services, and the export and import of capital, a surplus in foreign trade, also called surplus; the opposite is a trade deficit, also called deficit a countrys trade surplus, indicating that the fundamentals of the countrys economy is good, the market demand for the countrys currency increased, it will make the countrys currency appreciation if a countrys trade deficit, the market demand for the countrys currency will be reduced If a country has a trade deficit, the market demand for the countrys currency will decrease, which will cause the countrys currency to depreciate. The money supply refers to the amount of money issued by a countrys central bank or currency-issuing bank, which has a great impact on the exchange rate. If a countrys economy is growing slowly or is in recession, then the monetary authorities should consider increasing the money supply to stimulate the economy, lowering interest rates and adopting a loose monetary policy, which will increase the likelihood of interest rate cuts. If a countrys interest rate is too low, it may cause money to flow out of a country with low interest rates to a country with high interest rates, so that everyone can get the interest rate differential in the international arena there is a "throwback arbitrage", which is based on this principle of the dollars movement, the most affected by interest rates in the United States After the U.S. interest rate level is already the lowest level, the dollar depreciated continuously against other major currencies

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