The Fundamentals of Forex

Those trading in the foreign-exchange market (Forex) rely on the same two basic forms of analysis that are used in the stock market: fundamental analysis and technical analysis. The uses of technical analysis in Forex are much the same: price is assumed to reflect all news, and the charts are the objects of analysis. Since fundamental analysis is about looking at the intrinsic value of an investment, its application in Forex entails looking at the economic conditions that affect the valuation of a nation's currency.

 

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