FOREX ECONOMIC CALENDAR

babypips.com's FOREX economic calendar must help you go deep into all the financial events, excepts the heartburn of FOREX analysis paralysis.

By now, you must be up-to-date with the economic events that can affewct the FOREX market. Be sure you also know the way trade them. Then Count on Pip Diddy’s Daily Forex Fundamentals reports to which can help you assess what these trends could mean to your favorite currencies!  Are you thinking to decide for which pairs may be effective to trade? Come on. Search and look for the Big Pippin's blog and check out the setups he spotted on his Daily Chart Art. It might help you actually.

An example is given bellow as you can get it easily.

Trading or GAMBLING!

If you trade without risk management rules, you are in fact gambling.
You are not looking at the long term return on your investment.  Rather, you are only looking for that “jackpot.”
In fact, Risk management rules will not only protect you, but they can make you very profitable in the long run. If you don’t believe us, and you think that “gambling” is the way to get rich, then consider this example:
You can see, the people go to Las Vegas all the time for the purpose of gambling their money in hopes of winning a big jackpot, and in fact, many people do win.
Think a moment, how casinos still making money if many individuals are winning jackpots in the world?

WHAT IS RISK MANAGEMENT?

Risk management: It is one of the most important topics you will ever read about trading.
Can you say what its importance is? Well, we are in the business of making money, and in order to make money we have to learn how to manage risk (potential losses).
Basically, it is one of the most overlooked areas in trading. Many FOREX traders are just anxious to get right into trading with no regard for their total account size.

You can see that, those are simply the determination how much they can stomach to lose in a single trade and hit the “trade” button. There is a term for this type of investing. Do you know what? It is simple, gambling. We are going to describe it bellow.

WHY YOU NEED A FOREX TRADING JOURNAL

What are you thinking about journaling?!?
Isn’t that only for silly high school girls who write about their silly crushes on silly high school boys?
 Umm…. Heck yaaaaaaa!
Ok, not really… high school girls keep DIARIES.
FOREX traders must keep trading JOURNALS. And not only FOREX traders, but all of the traders even a small grocery shop a keep their transactions journal.
Are you thinking that two entirely different things! Get it right! Geez!
 Actually, keeping a trading journal is actually a crucial task in any performance or goal-oriented endeavor. The key is to have some way to measure, track, and stay focused on improving your performance.

HOW TO CREATE A MECHANICAL TRADING SYSTEM

Many times ago, we have facilitate you learn the way develop your trading plan. We’ve also explained the importance of it is for you to discover which type of FOREX trader you are.
Then, we feel the necessary to teach you the way add some meat to your thin trading plan frame by showing you how to create a FOREX trading system.
 Specifically, we would like to teach you all about FOREX mechanical trading systems.
Mechanical trading systems:  This comprises the systems that generate trade signals for a trader to take. These are named mechanical as a trader will take the trade regardless of what is happening in the markets now and then.

KNOW THE DIFFERENT TYPES OF TRADING STYLES

FOREX traders are unique from one another.
More than8 billion people work in this FOREX World (including space aliens disguised as humans) and not one person is exactly the same as another. Even identical twins will have different fingerprints.
Each one has their own look, personality, style, talents, and pizza topping preferences (we like pepperoni and potato chips). We all like different things and are unique in our own way discrete.

WHAT IS A TRADING PLAN?

We already have completed more than half of the way through college, this is one of the most important pieces of advice you should always keep in mind.
Be your own trader.
We can say: Don’t follow someone else’s trading advice blindly! Just because someone may be doing well with their method, it doesn’t mean it will work for you well.
We are going on all in different situations in life, and we all have different market views, thought processes, risk tolerance levels, and different market experiences. You need to have your own personalized FOREX trading plan and update it as you learn from the market.
With rock solid discipline, your trading could look like this.

THE FOREX TRADER’S GUIDE TO MAJOR ECONOMIES

Now, we’re going to make small travel around the world, but it will not take 80 days.
When you’re fast enough to keep up, we can probably get around in just 80 seconds!
…Not!
If, we make you sure that you learn about the nitty-gritty of each major economy and what makes its engine go.

FOREX AND GLOBAL EQUITY MARKETS

Have you ever heard that equity markets can also be used to help gauge currency movement? In a way, you can use the equity indices as some kind of a forex crystal ball.

With the thing idea, what you see on the television, what you hear on the radio, and what you read in the newspaper, it seems that the stock (equity) market is the most closely covered financial market. It’s definitely exciting to trade since you can buy the companies that make the products you can’t live without.

HOW GOLD AFFECTS AUD/USD AND USD/CHF

At first are going to detail the relationship between the com-dolls and gold before. Keep in mind the U.S. dollar and gold don’t quite mesh very well.
Generally, if the dollar moves up, the gold falls.
Here is a traditional logic that during times of economic unrest, investors tend to dump the greenback in favor of gold.
Dissimilar to other assets, gold maintains its intrinsic value or rather, its natural shine!

WHAT IS THE US DOLLAR INDEX?

When you trade stocks, you must be know all the indices available such as the Dow Jones Industrial Average (DJIA), NASDAQ Composite Index, Russell 2000, S&P 500, Wilshire 5000, and the Nimbus 2001. Oh wait, that last one is actually Harry Potter’s broomstick.
Good, when U.S. stocks have an index, the U.S. dollar can’t be outdone. For currency traders, we have the U.S. Dollar Index (USDX).
The U.S. Dollar Index comprises of a geometric weighted average of a basket of foreign currencies against the dollar.
Say whutttt!?! Okay before you fall asleep after that super geeky definition, let’s break it down.
This is very common to how the stock indices work in that it provides a general indication of the value of a basket of securities. Of course, the “securities” we’re talking about here are other major world currencies.

WHAT IS CARRY TRADE?

Have you ever heard there is a trading system that can make money if price stayed exactly the same for long periods of time?
Well there is and it’s one the most popular ways of making money by many of the biggest and baddest money manager mamajamas in the financial universe!
It’s called the “Carry Trade“.

NEWS MAKES THE FOREX MARKET MOVE

This is not sufficient to only know technical analysis when you trade. It’s just as important to know what makes the FOREX market move.

Similar to the great Star Wars world, behind the trend lines, double tops, and head and shoulder patterns, there is a fundamental force behind these movements. This force is called the news!

To assess the importance of the news, imagine this scenario (purely fictional of course!)

Say, on your nightly news, there is a report that the biggest software company that you have stock with just filed bankruptcy.