One method that many traders use is known as news trading. Simply put, since much of what currencies do is based on economic news and indicators, following government statistics news and announcements (employment figures, home construction, manufacturing capacity, etc.) can give you some insight. real of what is the currency of a country. particular country can do.

It becomes even simpler when you consider that the US dollar is involved in 90% of all Forex transactions. Because of this, you can focus on what’s happening in the US if you don’t have time to follow the big eight currencies: US dollar, British pound, Euro, Swiss franc, Japanese yen, Canadian dollar, Australian dollar, and New Zealand dollar. .

If you have a little more time, you can at least keep up with the main press releases that governments issue regularly. The following list shows when some of the major countries in the world publish their news. Also, of course, when considering the news, there are events that have effects that are impossible to predict like earthquakes, terrorist attacks, and civil unrest, to name a few, that can affect currencies as well.

USD 8:30 – 10:00 All hours EST.

Japan JPY 18:50 – 23:30

Canada CAD 7:00 am – 8:30 am

UK GBP 2:00 – 4:30

Italy: 3:45 – 5:00 EUR

Germany: 02:00 to 06:00

France: 2:45 – 4:00 EUR

Switzerland CHF 1:45 – 5:30

New Zealand NZD 4:45 PM – 9:00 PM

Australia AUD 17:30 – 19:30

And you can go to almost any good business website and find an inexpensive calendar that should have the top release schedules listed. For example, the US employment report is generally released on the first Friday of each month with figures from the previous month. The other throws are usually timed in a similar way. Some versions are more important than others, although this changes depending on the situation. Again, for example, the US prime rate can be a very telling indicator of what the US Federal Reserve intends to do with the US money supply.

An increase in the rate indicates a reduction in supply and a decrease indicates a reduction in supply. However, now, with the US economy in bad shape and the rate at 25%, it is highly unlikely that there will be any change in any way in the rate, so this indicator will probably not affect Forex in near future (this article was written March 31, 2010).

One indicator in the US that IS quite important right now is the employment figure. The biggest factor hampering the American economy and impeding growth is the lack of jobs. Therefore, the economy and, most likely, the dollar, will probably not strengthen until this situation is alleviated. A strong job creation number being reported could cause traders to become more bullish on the dollar, creating a trading opportunity.

There are many other factors that can be considered and many of them will be addressed in future articles that will focus on news trading.