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Fundamental analysis is one of the most complicated and at the same time critical methods of the Forex analysis. A special emphasis in this method is put on reports made by key persons of global economic arena. One of such persons is Mario Drahgi – the European Central Bank President.

Forex Fundamental Analysis

Fundamental analysis in Forex allows to analyze various messages rendered by global events. The major goal of the fundamental Forex analysis is to determine which events can influence international exchange rates. News about stock trading and large market‐makers, international exchange rates of central banks, economic policy of governments, changes in national political life as well as various rumors and expectations matter for this type of Forex analysis.

Fundamental analysis is one of the most complicated and at the same time crucial types of the live Forex analysis. Success of the Forex fundamental analysis lays in determination of a clear mutual relation between two national currencies. For that purpose, one needs to understand how relations between those two states develop, know history of currency exchange rates, be able to forecast a total result and find a relation between events seeming to be completely untied at the first sight.

01 - 05
June
weekly
forecast
01 - 05
June
2020 EURUSD GBPUSD USDJPY
05
June

EURUSD trading plan: We are expecting a downtrend to develop. The Governing Council ECB decided to increase the envelope for the pandemic emergency purchase programme by €600 billion to a total of €1,350 billion. In response to the pandemic-related downward revision to inflation over the projection

GBPUSD trading plan: Negative macroeconomic statistics from the UK signal the development of a downward trend. The IHS Markit UK Construction PMI rose to 28.9 from April's record low of 8.2, still a long way below the 50 dividing line for growth and the third-worst reading in the survey's 23-year

USDJPY trading plan: We are expecting a downtrend to develop. The U.S. Commerce Department said the trade deficit jumped 16.7% to $49.4 billion. Global lockdowns to slow the spread of COVID-19 have severely disrupted the movement of goods and services between countries, leading to sharp contraction

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