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What does Forex Fundamentals mean? Which method is better, technically?

2022-01-27
1857
What is Forex Fundamental Analysis?
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Foreign exchange fundamental analysis focuses on the development of financial economic theory and political situation to judge the supply and demand of foreign exchange and its impact on the exchange rate. Fundamental analysis studies the reasons for market movements, including analysis and research on macroeconomic indicators, asset markets, and political negotiation factors. Macroeconomic indicators include economic growth rate, gross domestic product, interest rate, inflation rate, unemployment rate, money supply, foreign exchange reserves and productivity, etc. Asset markets include stock market, futures market, bond market and real estate market; political factors mainly include A country's government's trust, social stability, and confidence. Occasionally, governments intervene in the currency market to prevent the currency from significantly deviating from its ideal level. Intervention in the currency market is performed by the central bank and usually has a significant but temporary impact on the foreign exchange market. Therefore, the purpose of fundamental analysis is to dig out the real reasons behind exchange rate changes and analyze the political and economic roots that affect short-term and long-term changes in exchange rates.
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Which method is better, or technically?
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The technical side contains many genres, methods, skills, and patterns, and no matter how good the fundamentals are, they are all subordinate to the technical side, and they all depend on the momentum to analyze, so no matter which one is used, the most important thing is Trends can be more accurately, concisely and clearly illustrated, and any technology that can do this is the best.
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The technical side contains many genres, methods, skills, and patterns, and no matter how good the fundamentals are, they are all subordinate to the technical side, and they all depend on the momentum to analyze, so no matter which one is used, the most important thing is Trends can be more accurately, concisely and clearly illustrated, and any technology that can do this is the best.
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For most investors, whether they choose fundamentals or technical aspects, the most important thing is to be able to learn technology, learn trend technology well, and at the same time develop trend technology and innovate trend technology by themselves, as long as the technology is good enough, Then it is no longer difficult to make a profit in the investment market. Therefore, it is crucial for investors to understand the fundamentals and analyze the technical aspects. How to choose depends on the wisdom of the investors. Whether the fundamental method is better or the technical aspect is better depends entirely on the investor's own learning and cognition. It can bring profits to investors, so which analysis technology to choose is good.
​​
For most investors, whether they choose fundamentals or technical aspects, the most important thing is to be able to learn technology, learn trend technology well, and at the same time develop trend technology and innovate trend technology by themselves, as long as the technology is good enough, Then it is no longer difficult to make a profit in the investment market. Therefore, it is crucial for investors to understand the fundamentals and analyze the technical aspects. How to choose depends on the wisdom of the investors. Whether the fundamental method is better or the technical aspect is better depends entirely on the investor's own learning and cognition. It can bring profits to investors, so which analysis technology to choose is good.

The above information is provided by special analysts and is for reference only. CM Trade does not guarantee the accuracy, timeliness and completeness of the information content, so you should not place too much reliance on the information provided. CM Trade is not a company that provides financial advice, and only provides services of the nature of execution of orders. Readers are advised to seek relevant investment advice on their own. Please see our full disclaimer.

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