Utilizing the Foreign exchange Manufacturing facility calendar with step-by-step directions

Many traders think that fundamental news and economic data are only valuable for traders with fundamental analysis. While fundamental news is only relevant to fundamental analysis traders, technical analysis traders should also consider the possible impact of a fundamental message pointing in a direction that is against a trade.

Economic data is an important factor in the functioning of the forex market. Currencies strengthen or weaken due to press releases on such economic data. Forex pairs move in a certain direction due to such a strengthening or weakening of a currency caused by such press releases.

Therefore, technical traders should also consider these press releases when making a trading decision. Most smart traders would prefer to avoid trading a forex pair if an upcoming press release could have a major impact on one of the underlying currencies being traded. For example, if basic news about the U.S. economy is released, traders can avoid trading forex pairs that contain the U.S. dollar.

So how would we know if a press release on a particular currency is coming out? There are various websites on the Internet where we can find such an event calendar. The Forex Factory Calendar is one of the most popular.

Forex Factory Calendar and how to use it

The Forex Factory Calendar is a calendar of economic events and business news that can be found at www.forexfactory.com. It contains all business releases, central bank press releases, and press conferences that may affect a currency scheduled for the month and more.

Step 1 – the homepage

Below is an example of what a Forex Factory homepage looks like.

Forex Factory Calendar homepage

It contains the economic news for that day, which is a snapshot of the economic calendar.

Step 2 – the calendar

Traders can also click the Calendar tab to go to the Economic Calendar page.

Forex Factory Economic Calendar

The Economic Calendar page shows us the economic calendar with the exception of all other functions of the Forex Factory website.

Step 3 – the basic and economic news

Functions of the economic calendar

This page shows us the basic and economic press releases of the week. This includes the exact time of the press release, the currency that may be affected, the expected impact of this press release, the press release itself, the forecast economic data, if applicable, the result of the previous publication of the economic data, and the actual data if it is already released.

Step 4 – The Impact News

The color of the tabs in the "Impact" column indicates the possible impact of a particular press release. Red indicates a press release with high impact, orange indicates a press release with moderate impact, while yellow indicates a press release with low impact.

High impact news

Retailers can also filter the types of basic press releases they want to see. This is based on the expected impact, currencies and event types. To do this, click on the "Filter" button in the top right corner of the economic calendar, activate and deactivate the check boxes according to the requirements of the trader and click on "Apply filter". This streamlines the messages a trader would see as needed.

Step 5 – the news detail

Apply filters

Traders could also examine the details of the basic press release to understand how it could affect a particular currency. To do this, click on the folder icon in the "Details" column.

Step 6 – the news overview

details

In the "Details" tab, we see the "Specifications", which contain the actual details of a press release, as well as some information about how this could affect a currency. The "History" shows the various results of previous press releases, including actual, projected and previous data, as well as related stories that traders may read to get a feel for how key market participants view the upcoming press release. New traders should also read the "Common Effect" section on the "Specifications" tab as it gives traders quick information on how the numbers affect a currency.

Step 7 – the diagram

Traders can also click the graphic icon in the "Graphics" column. This would show a graphical representation of the historical results of previous press releases and how the forecast and previous results relate to the actual results.

graph

Step 8 – Strengthening or weakening the currency

Incidentally, the color of the numbers in the "actual" column would indicate whether the data could help to strengthen or weaken a currency. Green indicates that the data could strengthen the currency, and red indicates that the data could weaken the currency.

. Green indicates that the data could strengthen the currency, and red indicates that the data could weaken the currency.

Given the depth of the information provided on this page, traders may already have enough information to complete or avoid a trade.

Step 9 – Upcoming press release

Resellers can also search basic press releases from previous weeks and view upcoming press releases in the coming weeks. To do this, go through the left and right arrows in the upper left corner of the economic calendar.

Search basic press releases

Step 10 – Upcoming planning of press releases

Traders can also jump to specific dates by clicking on the exact date they want to check in the calendar at the top left of the page. You can click on the dates within the current month or go forward or backward through the months.

current monthly news

Step 11 – Reporting on the news period

Traders can also choose to view the different time periods, regardless of whether it is today, tomorrow, this week, next week, this month or next month's press release. To do this, click on the preferred period in the left corner of the page.

Show messages at different time periods

Step 12 – time zone setting

Traders can also change the time zone settings to synchronize the time of the press release with their local time. This is very convenient as it would be easier for traders from different time zones to monitor certain press releases. To do this, click on the time in the top right corner of the page and select the appropriate time zone.

Time zone settings

Conclusion

The Forex Factory Calendar is a very practical tool for fundamental and technical traders. Fundamental traders could use economic data to make decisions based on fundamental analysis.

Technical analysts, however, can use the calendar to choose or avoid a trade based on an upcoming press release. Technical traders can choose to avoid trading a few hours before a press release if a press release with high impact appears. Avoid trading on the day a central bank press conference is on schedule, and close profits when a press release is available. Come and avoid sudden reversals or avoid the volatility that comes with a press release.

Fundamental and technical traders can also learn how certain fundamental news can affect a currency that is a wealth of knowledge in itself. This type of information was previously only available to large institutional traders who worked for large banks. Why not use it and learn from it?

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