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  1. #1
    james_wong is offline Junior Member
    Join Date
    Aug 2012

    Post Fundamental analysis and the term

    In the next lesson, we learned menegenai fundamental analysis. Is it? Let us read …
    Fundamental analysis basically took the approach adjacent news or rumors circulating in the market, As we kethui with financial markets such as stocks and money markets are very sensitive denganberita being circulated in the market. So what happened to the FOREX market trading. It can even be said that the exchange rate moves are the news. In other words, market news is the driving emotion that resulted in changes in the balance point in the exchange rate.

    If you are a layman, perhaps we are not too concerned with the rise in U.S. interest rates, for example. But tidakbagi a trader. Central Bank interest rate hike by the Fed (U.S. central bank) could mean stronger U.S. dollar to hundreds of points, which means that’s where the money can be obtained. Or conversely, a loss may occur if action is not taken in accordance with the market.

    That’s why news / news greatly affect the investment portfolio of a forex trader, then it’s time you also learn fundamental analysis.

    There is a logical flow and economic laws that apply here. (Although sometimes it is not 100% effective in fact, fundamental analysis relates not only to the logical thinking of monetary policy or news coming out but also how the market reacts to the news aka the psychology of the market).

    Glossary – Term Fundamental Analysis

    If you do not know about this business, please read this page.

    Federal Open Market Committee (FOMC)

    Institutions are part of the Federal Reserve (U.S. central bank), which sets interest rate policy and credit. The FOMC is the policy making body of the most important in the Federal Reserve system. Institutions that currently chaired by Ben Bernanke’s usually periodically held eight meetings a year to decide
    whether or not a change in monetary policy.

    FOMC Minutes

    Is the announcement from the Federal Reserve which describes meetings
    held U.S. monetary policy making institutions before.
    Business Inventories
    Inventory figures that have been produced but not yet sold. Is one component in the calculation of GDP, and may provide important clues about the direction of the economy in the future.

    Consumer Price Index (CPI)

    Is data that measures the average change in prices paid by consumers (in average) for a variety of goods and services (approximately 200 kinds of categories). CPI is an inflation indicator most commonly used and well regarded as an indicator of the effectiveness of government policy. The rising CPI indicates that rising inflation will lead to decline in bond prices and rising interest rates.
    Unlike other indicators of inflation, which only cover items of local production, CPI also includes imported goods. The disadvantage was the small number of samples taken. The analysts usually focus more on the core (core) CPI, CPI variant that does not include the components of the change in price is the least stable.

    Core CPI assessed

    more accurate in measuring the rate of inflation.
    Consumer Confidance
    This data measures the level of consumer optimism on the economic performance. On
    Generally, Consumer Confidence will be high if low unemployment and high GDP.
    Data (change) per month is considered to be no significant impact on the trend in

    Durable Goods Orders

    Data is to calculate the volume (in dollars) of orders and delivery of goods, including durable categories (items which benefit the age of 3 years or more).

    Factory Orders

    Data is to calculate the value (in dollars) orders (order) new durable goods (durables) and not durable (non-durable). These data provide a more complete report than data Durable Goods Orders are released a week or two earlier.

    Goods orders data gives an idea of ​​just how sibukkah sector
    industry in the next few months to fulfill the order. Automated so greater data rate means increasing levels of demand. This means that the economy will be getting better.

    Domentic Gross Product (GDP)

    GDP measures the market value of goods and services produced in a country, without
    consider national companies that produce goods or services. GDP consists of four main components: consumption, investment, government purchases, and net total exports.
    GDP released per quarter, this data shows the percentage rate of growth in the previous quarter. The GDP report is divided into three releases: 1) advanced – first release, 2) preliminary first-revision, and 3) final – the second and final revision. These revisions are usually significant effect on the market.

    Housing Starts & Building Permits

    Housing starts are monthly data to calculate the amount of the construction of housing units
    new per month. Most of the data collected from the Housing Starts number of applications and licenses (permits) for the construction of houses.

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  2. #2
    ameliya.haynes is offline Junior Member
    Join Date
    Aug 2012


    No matter what type of investor in market you are, we should know very well why you own a stock in huge lot or small lot. A valueable investor's need will be different from that of a growth investor, which will be different still from an active trader. Any one strategy may work, but only if you stick to the strategy. This also means that if you are a hardcore buy-and-hold investor, your stop-loss orders are next to useless.

    Forex Trading
    Last edited by ameliya.haynes; 08-30-2012 at 08:36 PM.
    Forex Trading

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