Forex Forecast

  As it was said there are two genres of forex strategy – fundamental analysis and technical analysis. These are also called – forecast methods. Technical analysis is much more easier compared to fundamental.   Here are the main principles of technical analysis:

Market action discounts everything
  It means that the price reflects everything: supply and demand, politics, weather.

Prices move in trends
  It means that this kind of analysis identifies market behavior patterns. There is an opinion that one can predict the price movements. So, there is a way to recognize the moment when the price is going to change.

History repeats itself
  There are several Forex Chart patterns that have been categorized. These patterns usually repeat themselves.

  We can talk about five categories of technical analysis: indicators, number theory, waves, gaps, trends.

The other genre is fundamental analysis. It’s also a method of forecasting that considers all economic, political and other factors that can affect the price movements.