So, I’ve been trading live for other two years using primarily techical analysis and doing ok for a new trader.
My only real fundamental analysis is just watching for news on forex factory.
I gave up on reading articles and people who post their opinion on where a currency may go as it just always seemed to hurt my trades if I put to much consideration into them.
And it seemed a lot of FA talking heads were talking after any action actually happened and trying to act like they predicted the move.
Anyways. Where can I learn solid fundamental analysis to back up my technical analyis for a more long term month to money view.
I’ve done some google searches, but I can’t find any information on how to do fundamental analysis yourself, just a bunch other peoples FA and of course forex scammers.
Can anyone point me to some instruction on how to do your own fundamental analysis? Instruction that doesn’t involve paying anyone money or a forex scam?
Sounds a bit like me, the whole starting off in TA land & scorning the FA guys but eventually seeing value in both. Only I can hardly say I did okay, a slow painful 80% drawdown was the result of a system followed largely inconsistently (eg. trading on a reversal candle alone) based on technical mixed with desperate 20% risk trades based on random site signals thinking someone else could get me out of my hole at 20% drawdown at the time. After searching for the same I’ve found that reading analysis’ like those at dailyfx dot com, forexlive dot com, forexstreet dot com if you can sit through the occasional retrospective junk can actually give quite an insight into economic climate and general fundamental gameplay (for a purely educational resource). Seeing as you’ve been around for a while I doubt this is new, and if those are the types of articles you said you’ve been through if you’re just worried about them hurting your trades my opinion is to go through past articles instead to avoid them having any sentimental impact. Although it’s a bit of a scavenge I’ve found it pays off over a while, it’s a lot more of a grind than just painting indicators on the chart but as much of one as calibrating and backtesting them properly, guess that’s expected or necessary for higher-end progression.
On the not so free stuff I’ve found Kathy Lien’s book (trading the currency markets) to be surprisingly fundamental despite most popular selling forex books being focused on TA. It doesn’t hold your hand through making your own economic analysis but it somewhat indirectly gives a crash course into essential macroeconomics including that referred to briefly in those forex-factory calendar descriptions. You can probably find a free sample around the internet somewhere, not recommending that you obtain it illicitly but not stopping you either
Ever think about starting with an economics textbook? If you truely want to understand the fundamentals go right back to micro-economics and learn about consumption theories. It will give you the framework or backbone to understand how the entire interacts with itself.
not sure to be honest I haven’t picked up an economics textbook since University. I majored in Economics in my first degree.
A 1st year College textbook on Micro economics would be a good place to start and maybe one on macro as well. Do you have college book stores like we do in Australia?
Or maybe do a search on micro-economics, macro-economics, opportunity cost, demand and supply, consumption theory, fiscal policy, monetary policy etc and see what you can find.
