Trade binary options on currency

Trade binary options on currency

Posted: bob111 On: 08.07.2017

The difference in value, i. The EURUSD is the most traded and most liquid pair since this currency pair is being sold and bought numerous times on a daily basis. It goes over the trading table as the best know currency pair. The special feature which draws so many traders to the EURUSD is the small spread.

Namely, these currencies are close in value and they do not account for major losses when it comes to individual trades.

Since binary options are close to Forex trading, this pair is one of the highlights in the options market as well. Before you enter a binary options trade on this currency pair you might want to know the following:. To stay in the loop, it is very important to follow the economic news related to this currency pair since it contains a lot of useful information regarding price movements of the two currencies.

As a committed trader, you should take a look at the European Consumer Price Index CPI since it reveals the inflation status which is one of the key factors for the European Central Bank when drafting its monetary policy. Traders also look at the EU GDP Gross Domestic Product and the course of the unemployment rate in the EU when they trade the EURUSD currency pair. Follow the press conferences of the sessions of the ECB European Central Bank whereby the ECB President answers interesting questions on the market, an event which causes fluctuations in the market since the EURUSD trade frequency is particularly volatile during these events.

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All of the economic news and releases give useful information to traders and can help them acquire more knowledge related to the economic movement, but they do not represent an instant success ticket, but rather give hints to traders of what is going happen at the next meeting and what decisions will be taken.

Since the USA is the biggest economy, closely followed by the Eurozone, economic news is being released regularly on a monthly basis and the news which one should take to heart as a trader are discussed below.

The Federal Reserve or the US Central Bank has a dual role and its decisions can be guessed from employment data and inflation or CPI. As a trader, make sure to take into account releases relating to these two factors, but some other sources will trade binary options on currency be to your benefit. For example, the Institute for Supply Management ISMRetail Sales, Manufacturing and Non-Manufacturing, GDP, Private payrolls ADP Producer Price Index PPIetc.

trade binary options on currency

Studying the different information from all of the listed sources can help you gain a better understanding of the market. Well, of you follow the big economic releases, you will notice that the markets show the most intense volatility chaos trading system forex free those periods. Technical factors are the trigger for market movements but the reason for movement is news release which has been already proven in the past.

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Page Contents Follow The News of the European Market Follow The News on the US Market The Goal of Following Economic News Related content: Leave a Reply Cancel reply Your email address will not be published. Best Auto Trading Robot. Average return in our test: Best Robots and Signal Services 1. Binary Option Auto Trading 5. Binary Options Robot 6.

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