1.4 News/data releases for traders Video Lecture | Forex: Learn and Master Trading (English) - Business Basics

hi welcome back to capex forex trading
comm in this video we're going to
discuss the importance of news and data
releases the forex traders need to bear
in mind now news and data releases are
considered to be leading indicators for
the economy in question the reason why
is because they provide us with an idea
of direction in which the economy is
heading towards it is because of this
that they have the power to turn the
market around at any point throughout
the day so what you might see are huge
spikes in the upwards or downwards
direction at the time of the release now
one thing you must consider is has the
news and data release already been
priced into the market if it has then
realistically little to no investment
should take place because the changes on
your chart are going to be minor if it
hasn't then you should trade as normal
because you could benefit from the
spikes that we mentioned earlier the
other thing you need to consider is the
importance of the news and data release
obviously the more important the release
the more of a change in the market and
the less d important to release the
lesson a change in the market so
realistically it is the more important
news and data releases that you should
consider now each country has its own
central bank and the first central bank
we're going to discuss is that European
Central Bank otherwise known as the ECB
the reason why the ECB is important is
because its decisions affect all
countries in the euro zone including the
UK they also meet twice per month so you
should take note of when their major
releases are due out we must also
consider the monetary policy committee
otherwise known as the MPC and the Bank
of England you to refer to as BOE
the reason why is because their decision
affects the UK they also meet once every
month and they are based in the UK so
you should also take note of when their
most important news releases are due out
and lastly we need to consider the
Federal Open Market Committee otherwise
known as the FOMC the reason why is
because their decisions will impact
every economy around the world pretty
much they meet eight times per year
which
works out about five - works out to
about every five to eight weeks and
despite the fact they are based in the
USA they will affect pretty much every
economy simply because the USA is the
biggest economy in the world now in
terms of our trading guide realistically
what you should do is find out who the
leading individuals are for every single
central bank take note of them learn who
they are and find out when they are
making their speeches it is at this time
that you could profit from their
speeches depending on which direction
you're trading in to also make sure that
you use our own economic calendar to
reach to find out when those speeches
are taking place and also the importance
of that speech and lastly give the
market around 30 minutes 30 minutes or
so to calm down after every news release
so that it can level out and normal
trading conditions can come back into
play so as usual guys give us any
comments or let us know if you have any
questions and we will see you for the
next video thank you