I do not understand you FX fundamentalists

how in the world does a human being choose to foresee future prices by reading into election results, fed decisions, or even GDP

this is complicated, hard to understand, takes a lifetime to learn

isn't it just so much easier to learn basic support and resistance

I do FX just by reading chart that is all

 

do ya

 

Infoo,

Before trading fx i used to scalp the bobl at a firm in london and from the traders i knew there, I can say that everyone has their own style that fits their personality.

I trade primarily economic data releases (not all data - only the data that consistently moves the markets; this i had to learn) and rely on a only a few technical indicators. Personally I've always found technical analysis quite difficult (in practice anyway, not in theory).

Still, I'm always looking for ways to improve my trading and would be interested to know what key technical indicators you use and over what time frames you are trading.

thanks
B

 

You're right that charting is easier and quicker to learn, but it is less valuable knowledge.

FX prices are driven by economic news first and foremost. All the technicals are great and everything, but news drives price like no other. Thus, spotting trends in economics will be more valuable than reading charts. But as you said, this is quite difficult to do.

 

Definitively, it’s not mandatory to understand economics in order to trade. I do agree that it’s difficult to trade during news and also that one can trade just based on technical analysis.

However I do agree with TrueStory. Like it or not fundamentals are the main reason that move the currency markets and understanding what the main implications in economic releases are, gives any trader additional confirmations and extra advantages to spot changes in the direction of the market.

jjrvat

 

I day trade, I use zigzag retracements a lot coupled with short term 5 min price breakouts.