Here are today’s top news on to keep you up to speed on what’s happening in the market place:
- Last week, there was upbeat data from the Commerce Department for new housing starts and building permits.
- U.S. Equities fell sharply last week on the ratcheting up of trade war fears between the U.S. and China. Also this week, there is a scheduled visit of the U.S. Ambassador to China who will be visiting Tibet.
- The Department of Labor released data, which was on the upside for initial and continuing jobless claims.
- In a survey by the Philadelphia Fed showed that manufacturing from April to May doubled, from 8.5 in April to 16.6 in May.
- The deepening crisis in the trade war saw markets in China down in morning trade after talks were put on hold by the Chinese, who said that the U.S. must change their approach to the trade talks.
- The yen which is traditionally a safe haven continued to lose its value with the Nikkei adding a quarter percent.
- Assessment for Japan’s Q1 preliminary GDP annualized growth contraction was upgraded from 0.2% to 2.1%. Industrial production was up 3 tenths from the month before at 4.3% YoY for March, the drop was less than expected.
- The central bank in Australia is expected to cut interest rates following their meeting tonight. Last month’s losses were erased after equities gained over the weekend edging to their 2007 October peak. The conservative ruling party won the national elections, which took place last week.
- In the United Kingdom, the pound sterling continued its fall ahead of the announcement of the resignation date by Theresa May for her departure as Prime Minister. Expectations for her replacement is hard liner, Brexiteer Boris Johnson.
- In Europe, the euro was also down ahead of the European Parliament elections that take place in the middle of the week with Prime Minister Salvini, Italy’s premier attacking the EU’s fiscal rules.
- Producer inflation figures in Germany for month-on-month showed improvement in April to 0.5%, from March 0.1% contraction.
- The core figure for April in the Eurozone was slightly better with 1.3% year-on-year, following the trade balance on Thursday of a jump from €18bn to €22.5bn in March.
- On Thursday, after Baker Hughes reduced their active oil wells by 3 in the U.S. to a total of 802, a 14 month low, oil prices climbed hitting $63.80 in morning trade.
- News reports that Al-Falih, Saudi Energy Minister and OPEC+ members were of the consensus to slowly erase inventories of oil.
- Bitcoin, over the weekend, shot up to 8K with other cryptos also gaining.
Today, traders and investors can gain access to routine financial events that will affect the financial markets using AvaTrade’s Economic Calendar.
With any changes that can affect different instruments value, traders can make better and more informed decisions when placing their trades.
Fluctuations in a local currency can be affected by a statement by a countries minister of banking, central bank, the IMF and even the release of data such as monthly unemployment rate amongst other statements.
Here’s a look at one such event happening today:
European Central Bank (ECB) Executive Board Member, Peter Praet is set to have his speech today at 16:00. This can have an impact on the euro depending on his speech hints and rhetoric.
How can you actually use this?
You can closely monitor the event, as it most likely will influence the movement of the currency. Using the economic calendar at AvaTrade you will be able to anticipate the event and take action.
You will also better understand the reason why the market changes, allowing you to predict how much it will change.
That’s not all…
You are also able to look at past events, how they changed the markets and the percentages.
Here is what else an economic calendar can do for you:
- Stay ahead of market movements that are crucial to your open trades.
- Keep track of market moving events and measure their effects.
- Keep track of key economic and non-economic indicators.
- Be able to keep track of events that will influence the movements of a currency and closely monitor it.
Experienced traders use of fundamental analysis for economic calendar
Planning ahead and following an event will allow you to predict which way the market is most likely to go, resulting in you making more informed and wise trades.
Most experienced traders use this strategy to plan their trades in relation to the economic calendar which is part of fundamental analysis.
- Identify the upcoming event, study the state of the economy, look at similar past events.
- Then he will speculate on how the event will affect various instruments.
Predicting market trends, past patterns, volumes and the current financial situation is all part of the fundamental analysis process.
Now, some more experienced traders after assessing the market will open a position before the event on speculation that the instrument will rise in value. He will then sell it for a profit once it goes up.
Other more cautious traders will wait until after the announcement using risk management.
Traders that use AvaTrade’s economic calendar regularly will find that with time and practice it can improve your predictions based on upcoming events that affect the financial markets.
By trading side by side with the calendar, you will understand the market and be able to stay on top of it.
Now, a major financial influence, like the release of a non-farm payroll can affect several instruments, with many other fields such as consumer consumption rate, stocks and more.
The non-farm payroll, which reflects around 80% of the workforce in the U.S. is one of the biggest calendar events and triggers the attention of traders.
- The markets will rise if the rate is better than forecast
- The markets will fall if there is a higher number of unemployed
You will discover that the events on the AvaTrade economic calendar are pre-scheduled, and include statements made by countries and other leading players in the financial world like central banks, the International Monetary Fund (IMF) and more.
Let’s face it!
The ability to use the economic calendar is an important part of making successful and profitable trades, you just can’t afford not to have it.
The best part?
At AvaTrade, you will find that they have many great perks and resources that will assist you.
For instance only last week they expanded the Guardian Angel tool to their platform. This tool is a personalized trading and money management tool and is specifically for you.
It is free for all clients at AvaTrade, you only have to set the setting preferences and you will receive alerts and messages that are relevant for you.
This includes excessive risk, alerts for margin call, trading volatility, strong or weak trading performance even setting stop loss.
To begin with…
This is your next best friend and second pair of eyes. It will help you trade with less risk and identify your mistakes.
Here’s the deal!
Award-winning AvaTrade is dedicated to their client’s user experience being of the utmost importance.
They offer top trading conditions like:
- Ultra-low spreads, dropping them again, by 33% only last week.
- Over 250 instruments including emerging cryptocurrencies like Bitcoin, Ethereum, Ripple, Bitcoin Cash, Litecoin, IOTA, DASH, NEO, Monero, Zcash and Qtum (Note: Bitcoin is on the rise again).
Demo account with virtual money.
- Comprehensive and in-depth education program, videos, webinars and more, for novices and advanced traders.
- Powerful technologically advanced platform with all the bells and whistles i.e. advanced financial tools graphs and more. Everything is on one screen, so you can view open positions, prices and charts easily.