What is the purpose of studying 1 currency pair in forex ? Do you just have to do the 3 types of analysis?
The purpose is to learn its behaving on certain events.
Is there price patterns that repeats all the time and the outcome is the same. If that happens then you have the signal which is highly probable and you can make a lot of money.
When you know someone or something in their soul you can predict what will make as a next move. That is something every trader wants to know when searching for the signal on currency pairs.
it is not necessary to do three analysis. You can do only technical analysis and it will be enough.
But to confirm any conclusion you need to make the strategy and test it on that currency pair.
You don’t have to just trade one pair, you can trade as many as you want but if you are a beginner that is like being a new cook and trying to master 10 different dishes when you’re just starting out. Same with analysis, you can focus on just one first and then try another.
This is because the countries represented by the currency pairs have great international influences and high trading volumes. The currencies are highly liquid in the market and have dramatic volatility. There are frequent major economic news and data releases (for example: NFP, inflation rate, and central bank policy) for investors to analyse currency trends. Therefore, it will be relatively simple for investors to start with these currency pairs.
This is because the countries represented by the currency pairs have great international influences and high trading volumes. The currencies are highly liquid in the market and have dramatic volatility. There are frequent major economic news and data releases for investors to analyse currency trends.
Thanks for the tips from above.