Involving so much in group discussion forums sharing knowledge and ideas with others create new area of knowledge to learn about the forex market. It seems that technical indicators becoming less significant in today's trading practice and many traders has shifted their practices to fundamental. Despite of all the relevant of MACD, Stochastic, Bollinger Band. Some people still can be more successful just by using price actions and economic data release to trade in the forex market. In fact some traders claimed that technical indicators can be misleading compare to fundamental tradings. This claim quite true if you look at the current situation of the EUR-USD market where some indicators are showing oversold and yet the market has not making any correction.
It takes a long-time for me to figure out how some people have been very successful trading based on the fundamentals because it is impossible to know the exact figure of the real forecast of economic data. However after studying sometimes now i started to gain some believe in it.
Today i just want to outline certain topics that is closely related to one other in fundamental trading but i am not going to elaborate further as it will be for future discussion. So this is the summary.
- New High/New Low = Overbought/Oversold
- Support/Resistant
- Asian Zone, Euro Zone, US Zone Market Open
- Fundamental Economic Data
- Breakouts
The above topics will be discussed in details in the future for reference. It's time to balance out between technical and fundamental rather than stick to one of either side.
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