Fundamental analysis should not be considered as a Market analysis of the economy of a given country. The expectations of market participants and their assessment of these expectations play a much greater role in the Forex market. Various prognoses and bulletins, issued by market participants, have strong influence on the aforementioned expectations. One can often notice a situation of “self-fulfilling prophecy,” when market players raise or lower the exchange rates according to the forecasts. Nevertheless, a thorough fundamental analysis is available only to large banks with a staff of professional analysts and constant access to a wide field of information of the Foreign Currency Exchange Market ..
Traders that base their actions on fundamental analysis have to consider some technical characteristics of the market, such as the basic levels of support – resistance, overbought/oversold levels etc. On the other hand, the supporters of the technical approach to the market must follow the main news, percentage rates, important political events etc.
So is Online trading – a hobby or a profession ? It depends on the trader. If you want to trade by yourself and subsequently become a professional trader, the only solution is to allocate a very small part of the initial capital and trade with it, knowing in advance that it will be lost – and probably more than once. Only when you reach a certain level of professionalism, by Using Indicators To Trade , you will be able to gradually increase the share of tradable capital.
In any case, you should not make any fast decisions to master this difficult matter in practice. You should sit down with some textbooks first, and get the maximum amount of knowledge. It will help you save money, and eventually to multiply it.
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