Traditional Analysis Methods

The hardest task regarding currency dealing is analyzing the market’s trend and predicting accordingly which factors will affect the currencies rates and how. Price movement preconditions both the possibility of profiting quickly and the opposite – the possibility of losing money quickly. There are a great number of factors that affect the entire currency market, as well as specific currencies. To analyze the market, then, we have two types of traditional methods – fundamental analysis and technical analysis. The first deals with the assessment of the situation from a political, economic, financial, and crediting policy point of view. The second one is based reviewing charts and analysis based on mathematic principles