Forex Fundamental analysis

Fundamental analysis is a way of looking at the market by analyzing economic and political forces, social, and other external events, and factors that may affect currency prices right now and might happen in the future. Financial and economic statistics, information about the economic course of the government, meetings and the interest rates of Central banks, possible political events in the country, as well as all kinds of expectations and rumours are the most important things in fundamental analysis.

All these events shape supply and demand that determine prices, or in our case, the currency exchange rate. Fundamental analysis can show you how and why some events like an increase in the unemployment rate affect the economy and monetary policy of the country, which ultimately affect the level of demand for its currency.

The main idea behind fundamental analysis is that if a country’s economic outlook is favourable, its currency should strengthen.

The fundamental approach allows analyzing both short- and long-term perspectives.


EURUSD slumped even lower. Overview for 26.05.2023

EURUSD continues to weaken in the absence of news on the US public debt.

GBP cannot resist a decline. Overview for 25.05.2023

GBPUSD retreated noticeably following the release of the inflation reports.

EUR fall is not stopping. Overview for 25.05.2023

EURUSD is weakening amid the ongoing debate in the US Congress.

NZD has weakened. Overview for 24.05.2023

NZDUSD dropped to the lows of 28 April following the RBNZ decision.

GBP manages to remain balanced. Overview for 24.05.2023

GBPUSD stabilised after a decline.

JPY plunged into devaluation again. Overview for 23.05.2023

USDJPY is developing another wave of growth.

EURUSD is falling. Overview for 23.05.2023

EURUSD continues retreating.

USD is nearing the ceiling. Overview for 22.05.2023

EURUSD remains weak while awaiting a decision on the issue of the US debt limits.