Showing posts with the label news-trading-strategy


FUNDAMENTAL TRADING STRATEGIES PICKING THE STRONGEST PAIRING ____________________________________________________________ When trading currencies, many traders make the mistake of shaping opin ions around only one specific currency without taking into account the rel ative strength and weakness of both of the currencies in the pair that they  are trading. In the FX market, this neglect of foreign economic conditions  has the potential to greatly hinder the profitability of a trade . It also in creases the odds of a loss. When trading against a strong economy, there  is more room for failure; the currency you want to trade could flop badly,  leaving you stuck against a currency more likely to appreciate. Likewise,  there is an augmented chance that the other currency could strengthen,  resulting in a trade with negligible gains. Therefore, finding strong econ omy/weak economy pairings is a good strategy to use when attempting to  maximize returns. Take for