The three most common types of expected news are economic data

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The three most common types of expected news are economic data, earnings data, political, and speeches. Economic news Every day, economic data of different countries is released by government agencies and private sector companies. This data is important because it provides traders with an assessment of the economy. The most common types of economic data are: Employment numbers Inflation numbers Industrial production Manufacturing production Purchasers Management Index (PMI) Home sales Crude Oil inventories Retail Sales Interest rates decision Trade data GDP Traders pay close attention to the economic data because it tells them a lot about the economy of a country.


For example, an economy whose GDP is growing, inflation rising, and the labour market tightening leads to the need for interest rates increase. With interest rates rising, traders tend to buy the yielding currency. The algeria business email list economic calendar is an important tool that provides the timeline of when the economic data is released. To use it well, you should do a few things. First, convert the time on the calendar to your local time.


Second, clear the calendar by removing events from countries you don’t follow. Finally, remove economic events that don’t move the market a lot. Trading the economic data in the calendar requires skills. Most new traders fail because they tend to trade in the direction of the economic release. For example, when the Federal Reserve System raises interest rates, the traders tend to buy the dollar without factoring the information in the monetary policy statement (MPS).