Fundamental analysis is analyzing the forex market by looking into the social, economic, and political factors that affect the currency pair. The best way to do a fundamental analysis is to look at the economic calendar.
We personally do not recommend trading using fundamental analysis alone. But it is wise to look at the forex economic calendar to see if there is major news that will affect the price of the currency pair.
You can find many sites that provide a forex economic calendar. Below is a picture of an economic calendar by the forex factory.
For example, on Tuesday, December 29 at 9.00 am there was a news release for the USD. This news affected the price of the USD.
Our recommendation is to check the news whenever you are about to enter a trade after doing a thorough technical analysis. If the news release negatively affects the currency avoid entering the trade.
Now that we have talked about fundamental analysis, let us jump into the stuff that is going to make you serious money, technical analysis.