Forex market is very huge and retail traders are on very small scale if we talk about volumes. Big players like banks and financial institutions make big moves by making trades with higher lots and that shakes the volatility.
Governments, central banks, and other financial institutions, big companies, and hedge funds all are big market players who make big transactions on a daily basis. We, retail traders, are also participants in the market. But since our transactions can’t really move the market, we trade using brokers that place our orders all together in the market.
Banks and financial institutions like hedge funds generally move the market, but individual investors or people who trade for a living also have a substantial impact.
when financial company and bank a huge amount at the same time then really market moves , its very common thing
More than 50% of the forex market comprises banks and financial institutions. Therefore, trading decisions by central banks directly impact the forex market.
Narafa, I'd always assumed all derivatives in play would be measured against the 10am NY cut not the fix? If so, why is it the case given the final valuation will be against the cut on expiry?
Central banks. They cover more than half of the forex market. There are other factors like politics, global trade, and socio-economic factors that influence the market.
Forex market is like big a big ocean and trades like you and I are like small fish. We can't make the market move, but I'm sure big central banks and financial institutions cause big movements in the forex market. Governments of all major economics in the world also move the market up and down through their decisions.
sometimes no analysis not works that's why we got frustrated and really this market is too much volatile to predict something.