Author: Editorial Team

ForexPromos Editorial Team is comprised of a selection of hand picked editors that bring you the latest breaking news from the financial markets. We also provide forex educative articles as well as comprehensive fx broker reviews.

What is Support and resistance in forex trading

What is Support and resistance in forex trading

Trading Articles
Support and resistance is one of the most widely used concepts in trading. The concepts are undoubtedly two of the most highly discussed attributes of technical analysis and they are often regarded as a subject that is complex by those who are just learning to trade. Support and resistance trading is considered to be one of the most effective ways of Forex trading since it is based on the primary source of information -market price itself. Forex Support Levels – Areas which price cannot seem to break below. If a break does happen, this is only temporary and the price will soon return above the level. Forex Resistance Levels – Areas which prevent the price from rising further. These levels act like a ceiling and appear to force price back down when it tries to break above the level.

What is price action in binary options trading

Trading Articles
Traders who trade based on price action alone are intimately familiar with the Dow Theory concept. In short, the Dow Theory defines a trend as any price cycle that results in higher highs and higher lows. Prices never move in a straight line up or down. Rather, they move in waves. When those waves take prices to a new high, and the subsequent pullback fails to create a lower low than the previous pullback, it is said that the price is in a trend. Purchase a position in the charted currency during the decline from the new high. If the trend remains intact, the price action will push to a new high, generating a profit. Price action in relation to forex and binary options trading is the pattern of movement of the price of a security over time. In essence, Price action is the closest relative...
Non Farm payroll explained

Non Farm payroll explained

Economic Indicators
Nonfarm payroll employment is an influential statistic and economic indicator released monthly by the United States Department of Labor as part of a comprehensive report on the state of the labor market. The NFP report causes one of the consistently largest rate movements of any news announcement in the forex market. As a result, many analysts, traders, funds, investors and speculators anticipate the NFP number - and the directional movement it will cause. With so many different parties watching this report and interpreting it, even when the number comes in line with estimates it can cause large rate swings. Read on to find out how to trade this move without getting knocked out by the irrational volatility it can create. It is a compiled name for goods-producing, construction and man...
How to use Economic Data in forex trading

How to use Economic Data in forex trading

Financial Markets Explained
In this article we explain how to use economic data in forex trading. The following indicators in forex are beneficial to a more profitable trading in forex. We take a look at some of the economic data that can be used as indicators in forex. Remember that economic indicators usually contain revisions to previous data sets. So although the importance of figures lies in the extent to which they fall outside market expectations, be aware that an unexpected rise could be the result of a downward revision to the previous month. So look at revisions to older data before you use this as a basis for making a trade. Consumer Confidence Index (CCI) This is published on a monthly basis in the USA and is seen as one of the most accurate indicators of confidence. When consumers are more confide...
Who are forex market participants

Who are forex market participants

Trading Articles
Unlike a stock market, the foreign exchange market is divided into levels of access known as forex market participants. At the top is the inter-bank market, which is made up of the largest commercial banks and securities dealers. Within the inter-bank market, spreads, which are the difference between the bid and ask prices, are razor sharp and not known to players outside the inner circle. All these together form the forex market participants. The difference between the bid and ask prices widens (for example from 0-1 pip to 1-2 pips for a currencies such as the EUR) as you go down the levels of access. This is due to volume. If a trader can guarantee large numbers of transactions for large amounts, they can demand a smaller difference between the bid and ask price, which is referred to ...