W.G. Hill Books, Underground Knowledge, Offshore Banking and Investing
Page: Forex Fundamental News - Part of forex market analysis

How to join the dots of Forex Fundamental News

Analyzing news is an important part of forex market analysis

There's a skill in analysing fundamental analysis that doesn't simply involve paying attention to the latest upcoming economic calendar events listed on our calendar and then making decisions regarding potential trades and adjusting our existing trades, dependent on a single news item, or data release. The real skill of fundamental analysis involves constant awareness and reading of the economic subject matter, the sector and the whole of the forex market, whilst ensuring you're constantly on message regarding any changes.

../images/Reading-business-news.jpg
The foreign exchange or currency trading must take place via properly accredited investment broker
or a broker company, to be scam-free.
 (Image by Pixabay.com)

Nonfarm payroll

As it's recently been "NFP day" (non farm payroll day) in the USA, we'll use this important high impact news release as an ideal example of how we can analyse the jobs market before the release, in order to make a decision and prediction on where the markets may be headed, dependent on the number released. It must be noted that despite many analysts and traders focusing exclusively on and becoming fixated with the headline non farm jobs data, there's a raft of other employment/unemployment data released on the same day.

We need to consider many of the other employment and unemployment data currently available from the USA, from both the BLS (Bureau of Labour Statistics) and for example ADP, a private payroll company. It must also be noted that NFP day does not necessarily deliver the market fireworks it has in the recent past, because employment in the USA is high and unemployment levels are at a sixteen year low, some experts citing that the USA is currently close to what's termed "full employment".

Employment and unemployment figures

We receive weekly new unemployment claims data from the USA, relating to the previous week and continuous claims published each week, every Wednesday afternoon. Naturally, the week the NFP data is published these figures take on extra significance. We should also look at extra employment data, such as the current; labour participation rate, the underemployment rate (what's termed U6), earnings, hours worked etc. In this way we're able to build up a picture of where the overall employment/unemployment figures are currently and where prices of various securities (such as the major dollar pairs), will be headed, once the NFP data is released.

We should also analyse other data relating to employment conditions, for example:

Jobs data

Each month we also receive from the USA official body the BLS, what are referred to as "JOLTS" data; job openings data concerning the amount of new job openings available at any given time in the USA and a rolling picture of the job openings annually.

Finally, we receive data from a private payroll firm ADP, who release their jobs data shortly before and generally in the week the NFP data is published, on the first Friday of each month. Analysts will look towards the ADP figure for clues as to what the NFP figure will be on the Friday, however, it's by no means a certainty that if the ADP number beats expectation, the NFP number will follow suit.

It's essential that we build up a picture by compiling and analysing all the employment and unemployment data available to us, not just on an ongoing basis, but before a significant employment/unemployment announcement is made public. Not just to perhaps anticipate the number about to be published, but to also gain an overview as to the overall health of an economy. And we should extend this form of in-depth examination and analysis for many economic subjects and sectors, not just jobs data.

Article Sources: http://blog.fxcc.com and www.investopedia.com

  Forex Trading Strategies Explained
../images/Forex-trading-courses-120.jpg
Forex Trading Courses
../images/Automated-trading-chart-120.jpg
Automated Trading System
../images/Checking-market-charts-120.jpg
Basic Tools for Trading
../images/Trading-world-currencies-120.jpg
Best Forex Books for Beginners
../images/TorOption-binary-trades-120.jpg
Binary Options Straddle
../images/Bollinger-Bands-chart-120.jpg
Binary Options Strategies
../images/Trading-in-currencies-120.jpg
The Blade Runner Trading Strategy
../images/Market-trends-120.jpg
The Camarilla Equation
../images/Monitoring-price-movements-120.jpg
Day Trading vs Swing Trading
../images/Trading-strategy-120.jpg
Elders Force Index Strategy
../images/Computer-operating-systems-120.jpg
Forex Trading Platforms
../images/Bearish-and-bullish-120.jpg
The Gartley Pattern
../images/Investment-brokers-120.jpg
Finding Forex Broker
../images/Reading-business-news-120.jpg
Forex Fundamental News
../images/Currency-exchange-120.jpg
Forex Market in Currencies
../images/Market-chart-120.jpg
Forex Markets Trading
../images/Forex-trading-charts-120.jpg
Forex Trading Account
../images/Financial-books-and-charts-120.jpg
Forex Trading Beginner Tips
../images/Global-trade-graph-120.jpg
Forex Trading Explained
../images/Forex-trading-currencies-120.jpg
Forex Trading Worldwide
../images/Trading-currencies-120.jpg
International Currency Trading
../images/Forex-trading-chart-120.jpg
Most Profitable Forex Indicator
../images/Forex-trading-software-120.jpg
Picking Forex Software
../images/Forex-wave-chart-120.jpg
Retracement Levels
../images/38.2-buying-opportunities-120.jpg
The 38.2% Retracement Level
../images/Stochastic-divergence-chart-120.jpg
Stochastic Oscillator in Forex
../images/Currency-exchange-rates-120.jpg
STP / ECN Trading Model
../images/Resistance-and-support-120.jpg
Support and Resistance Forex
../images/Hard-currencies-120.jpg
Safe Haven Currencies
../images/Successful-forex-projections-120.jpg
Successful Trader Traits

Home
BBBB
   Bye Bye Big Brother Black Book
   Bye Bye Big Brother CD ROM
   Bye Bye Big Brother Package
   Citizenship Residency Requirements
   Confidential Communication for PTs
   Paper PT An Important Concept
   What Is PT All About
PT
   The American Expatriation Guide
   Become an Honorary Diplomat
   Brazil and Paraguay Confidential
   Campione Confidential
   ESCAPE by Grandpa
   Instant Legal Residence Abroad
   The Invisible Investor
   Latvia Confidential
   The Monaco Report
   Panama Confidential
   Perpetual Traveler
   PT4 Grandpas Special Collection
   Portable Trades and Occupations
   The Second Passport Report
   Think Like a Tycoon
   WG Hill PT Collection
Bye Bye Big Brother
BBBB Free Chapter
Investing
   Basics of Investing Your Money
   Collectibles Worth Investing In
   Cryptocurrency Business Ideas
   Guide to Investing in Debt Funds
   Investing in Penny Stocks
   Investment in UK After Brexit
   Investment Options for Beginners
   Investment Trends to Watch
   Investor Protection for Expats
   Low Risk High Return Investments
   Non-Dom Reforms for British Expats
   Overseas Family Led Investments
   Price of Crude Oil and Stock Market
   Protecting Investments in Bankruptcy
Finances
   All About Commercial Lending
   Bankruptcy As A Solution
   Banks Don't Need Your Money
   Basics of Business Branding
   Blockchain Impact on Business
   Business Cloud Software
   Business Financing Sources
   Divorce and Finances Abroad
   Fund Your Small Business
   Hire Business Plan Consultant
   Learn About Finance Online
   Manage Business While Travelling
   Solve Cash Flow Problems
Forex
   Forex Trading Courses
   Automated Trading System
   Use Basic Tools for Trading
   Best Forex Books for Beginners
   Binary Options Straddle Trades
   Binary Options Strategies
   Blade Runner Trading Strategy
   The Camarilla Equation Formula
   Day Trading vs Swing Trading
   Elders Force Index Strategy
   Top Forex Trading Platforms
   The Gartley Pattern Chart
   Finding Good Forex Broker
   Forex Fundamental News
   Forex Market in Currencies
   Forex Markets Trading
   Forex Trading Account
   Forex Trading Beginner Tips
   Forex Trading Explained
   Forex Trading Worldwide
   International Currency Trading
   Most Profitable Forex Indicator
   Picking Right Forex Software
   Retracement Levels in Flats
   The 38.2 Retracement Level
   Stochastic Oscillator in Forex
   STP ECN Trading Model
   Support and Resistance Forex
   Safe Haven Currencies
   Successful Trader Traits
Offshore
   5 Benefits of Antigua Passport
   Costa Rica Offshore Corporation
   Dubai Offshore Banking
   Offshore Outsourcing Tips
   Stress Factors of Expatriates
Property
   The 10 New Bali Project
   Hottest Real Estate Markets
   Real Estate Investment Online
   Return on Property Investment
   Smart Real Estate Investments
   Technology and Real Estate
   Ways to Invest in Real Estate
Wine
   Business of Investing in Wines
   Fine Wine as Loan Collateral
   Investing in Wine in Australia
   Start Wine Trading Business
Expat
   BBBB Abridged Book
   The Gold Report
   Offshore Banking Guide
   Offshore Road to Riches
   PT2 The Practice
   VIP Divorce Kit
IWL
   The Invisible World
   Invisible Banking
   High Yield Investments
   High Yield Investments 2
   Future Wealth
   Financial Crisis
   The Offshore Investment Guide
Underground
   Underground Knowledge 1
   Underground Knowledge 2
   Underground Knowledge 3
   Underground Knowledge 4
   Scams and Fraud
Money
   Alan Greenspan's Housing Bubble
   America's Oversized Deficits
   April Job Losses the Lowest
   Bank of America Bonus Payments
   Bank Stress Test Results
   Banks Stress Tests Flawed
   Bank Stress Tests Questions
   Banks Financial Trickery
   Canadian Oil Companies
   Card Issuers Meet Obama
   China Detroit's Lifeline
   China Taiwan Investment Accords
   China's Yuan Carry Trade
   Ciena Corp Recommendation
   Credit Default Swaps
   Elliott Wave Disciple
   General Motors Savior
   How to Buy Banks
   India's Slow Growth
   Japan's Lost Decade
   Long-Short Investing Strategies
   Money Morning Bank Stress Test
   Oil Prices Could Jump
   Russia and China Energy Deals
   Russian Economic Model
   Small Caps Proven Profitability
   Solar Energy Comeback
   Sustained Economic Recovery
   World's Reserve Currency
Articles
   Online Transactions Survey Findings
   Millionaire Mindset Charateristics
   Real Estate Investing in Panama
   Strategies for Achieving Success
Seminars
   New Orleans 2015
   Casey Summit 2015
   Antigua Conference
   Recipes for Success
   Cancun Seminar
   Panama Seminar
Newsletter
Quotes
Updates
About
Contact
Links