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.


The Yen managed to reach stability. Overview for 16.05.2022

USDJPY moved away from its multi-month highs but the “greenback” has an ace in the hole.

No one can stop the Euro from falling. Overview for 13.05.2022

EURUSD keeps hitting one new bottom after another.

GBP is falling non-stop. Overview for 12.05.2022

GBPUSD remains under bearish pressure; there is no good news.

New lows in EURUSD. Overview for 12.05.2022

EURUSD hit another multi-month bottom while investors are trying to escape risks.

GBP: lows are too close. Overview for 11.05.2022

GBPUSD remains under bearish pressure; the Brexit issue doesn’t make things more optimistic.

EURUSD is consolidating. Overview for 11.05.2022

EURUSD has fixed within a sideways range while waiting for important news.

The Euro stumbled again. Overview for 06.05.2022

After taking a short break, EURUSD resumed its decline.

The Euro’s got a chance. Overview for 05.05.2022

EURUSD stopped falling; the asset is recovering after the US Fed’s May meeting.