In this era where information can be an extremely powerful and strategic asset, whether to individuals or corporations, and information equals money, especially for a trader, shutting yourself faraway from news can be suicidal. The forex market is extremely sensitive to the flow of news that is 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. แทงบอลเว็บไหนดี over the world make a living by processing and translating information into money. Financial news services providers know how important news would be to the forex market players, and charge reduced for it. It isn’t uncommon to get hundreds of headlines of news that 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 so as to facilitate their trading decisions that have to be made at lightning speed. They mostly take advantage of online financial newswire services such as Dow Jones Newswires, Bloomberg and Reuters, which display the latest financial news on their 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 like the Wall Street Journal or the Financial Times which carry stale news that’s of little use to traders.
The main reason why news is so vital that you Forex trading is that every new piece of information could alter the trader?s perceptions of the current and/or future situation associated with 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. In line with the news, these traders will be preparing to cover their existing positions or even to initiate new positions. A trader?s action is based on the expectation that there will be a follow-through in prices when other traders see and interpret exactly the same news in a similar way that he / she has, and adopt exactly the same directional bias as the trader consequently.
News is an extremely important catalyst of short-term price movements because of the expected impact it has on other market players, and this is in a way an anticipatory reaction for the trader as she or he assumes that other traders will be affected by the news as well.
If the news happens to be bullish, say for the united states dollar, traders who react the fastest will be among the first to buy the united states dollar, followed soon by other traders who may react slower to the news headlines 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 if they obtain the delayed news in the morning newspapers or from their brokers. This progressive entry of us dollar bulls over a period of time 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 is true for bearish news, traders will sell since they know that others will soon be selling, thus pushing the USD exchange rate down. That is using the assumption that since other traders will undoubtedly be getting the same pieces of news, they’ll be also tend to be affected the same way.
Publicly released news is disseminated to the many newswires. Any trader with usage of these wires can utilize 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 within their computer systems, and may also know something that others don?t through their personal contacts in the market.
In the wonderful world of Forex trading, you can find 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 forex. Sometimes, such news can provide 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 do not have that information.
Your voice is among the most powerful tools you possess and using the media is a wonderful solution to get your voice heard. Probably the most profitable and frequently overlooked free publicity generator is the news release. A news release is a brief written summary alerting the neighborhood media about your business news and activities. News releases are not only great marketing tools but also a lot more credible and believable than advertising since they appear to come from an objective alternative party.