A currency exchange rate incorporates interest rate policies and macroeconomic data such as economic growth, inflation, and unemployment.


Basic fundamental conditions in the Foreign Exchange Market


Majorly, an exchange rate reflects a combination of the following fundamental conditions:

(i) growth, inflation, and unemployment

(ii) monetary policies, and especially the interest rate policy of the central bank

(iii) fiscal policies & government spending

(iv) political stability (political risk)

(v) legislation regarding capital taxation & the openness of the domestic economy


New macroeconomic conditions can create trading opportunities in the Foreign Exchange market

The Foreign Exchange market is so efficient that the impact of news is instantly incorporated into all exchange rates. However, when there is a major shift in the general macro circle, there can be tremendous opportunities for Forex traders. A macroeconomic shift is behind all key Forex trend reversals.


Foreign Exchange Risks & Forex Risk Management

Forex Risk ManagementLike every other financial market, the Foreign Exchange market incurs many risks, consequently, risk management becomes a vital factor to consider in order to be profitable in the long-run. This analysis will present all major currency risks and specific recommendations on how to deal with them.


Major Forex Investing Risks


These are the six (6) risks when investing in the Foreign Exchange Market:


(1) Exchange Rate Risk

The exchange rate risk is market risk and refers to unfavorable changes in the value of exchange rates. Every active Forex trading position is exposed to exchange rate risk. You can never eliminate it, but you can seriously limit the impact of it.

Hedging against Exchange Rate Risk:

These are some basic techniques to hedge against currency risk:

  • Applying multiple portfolio diversification
  • Implementing a detailed Money Management (MM) system
  • Trading always small sizes
  • Limiting the use of trading leverage
  • Identifying and hedging against potential correlations between different currency positions



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Combining Fundamentals, Technical Analysis, and Market Sentiment to Trade Forex, Equities, and Cryptocurrencies

There are three important conditions to trade successfully in any financial market: a strong fundamental landscape, a nice market structure, and an accurately-measured trading range. If fundamentals agree, and the market structure has proven itself, knowing the trading range is the only thing you need. This book contains a wide variety of technical analysis methods and techniques in order to help investors recognize market structure in early stages, identify support and resistance, and accurately measure the trading range.

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The Contents

This book contains all the essential information you need to trade equities, Foreign Exchange, and cryptocurrencies.

Chapter 1 begins with the basics of fundamental analysis when trading equities, Forex currencies, and cryptocurrencies.

In Chapters, 2, 3, 4, 5, and 6, you will find various technical analysis methods with many examples and charts. Trading charts can be read significantly easier than raw data. Reading charts is useful not only for identifying key trends but also for recognizing major support and resistance levels. Furthermore, you will learn how to use moving averages, RSI, the Fibonacci Numbers, the Fibonacci Retracement, and the definition of the long-term trend in any financial market.

Forex robots are software programs that plug-in a trading platform (mostly MetaTrader) and turn your PC into an automated trading machine. Forex robots are usually implementing scalping strategies aiming to achieve small profits of 10-40 pips per trade.

Popular Forex Robots (Expert Advisors) are been reviewed and compared, the EA Builder, the FAP Turbo, and the Forex Diamond.

Forex robots are software programs that plug into a trading platform (mostly MetaTrader) and turn your PC into an automated trading machine. Forex robots are usually implementing scalping strategies aiming to achieve small profits of 10-40 pips per trade. They can execute tens of daily trades on a 24/5 basis without any human intervention.

Why do Forex Traders Use Forex Robots?

A Forex robot can eliminate the negative human psychological factor while it doesn’t get tired. Furthermore, it can instantly execute trades without any delays. As in the case of manual trading, Forex robots can place a take-profit and a stop-loss order or even a trailing stop-loss order.


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Free for creating Indicators, paid for EAsUisng EA Builder you can also build your own trading systems for MT4/MT5/Tradestation for free.

The EA Builder tool offers a full set of trading features including (i) technical analysis, (ii) money management, and (iii) time functions.

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Foreign Exchange Cyclicity & The Role of Central Banks

Foreign Exchange CyclicityRecognizing the macroeconomic cycle and decoding the intentions of central banks are the two key elements of the long-term success of any Forex investor.


Identifying Two (2) Major Types of Forex Currency Cycles


It is important for any Forex investor to take advantage of the cyclical nature of the Foreign Exchange market. There are two main types of cycles in the Foreign Exchange market:

(i) Long-Term Macro Cycles

In the long-run, Forex currencies tend to coordinate with the general macroeconomic environment and follow the interest rate cycle. The monetary goals of Central Banks play a massive role in the macro-cycles of exchange rates.