Is Political event impact on forex trading or not?

[eddiej]

Can you tell me please.

Is political event impact on forex trading or not?

I think it should be done.

What is your openion about political event occured daily worldwide. Do you measure this in your forex trading or not

It does weigh a lot on my decisions when making trades. Politics and governments shape the economy, and are a huge factor for currencies. Of course a smart trader would take note of all major political events worldwide

 

[riddick09]

Yes, it is the one who cover the trigger about the changes on the market tremendously. Although, it's not correct that its' only the government shape the the economy but the whole country, banks and companies are the biggest entities. Yet, we should know that politics will have big influence in what will happen in the economy and therefore the trading.

 

[budado]

It does weigh a lot on my decisions when making trades. Politics and governments shape the economy, and are a huge factor for currencies. Of course a smart trader would take note of all major political events worldwide

And that's why its good to invest and have long term strategy every election. If you know the president of that country policy is to make their currency stronger or weaker its can guide us how to trade. Just look at Japan. After Abe become prime minister the Yen become so weak right away.

 

[rizal83]

political influence greatly impact the forex trading because of the political impact that occurs in a country will affect the country's economic situation and also affects the value of the currency which we will use in the forex and forex trading is a usiness concerning economic conditions that occurred in the country exist around the world

 

[Daisy]

Yes, political events can affect forex. It can strengthen a currency and then weakening a currency. For example if the US went to war with Japan then the US dollar might rise but the Yen might weaken since the forces of the US is almost greater than the military of foreign country. The military of the US can be very intimidating so they will almost always have a greater advantage over the world. It will make a huge difference in currency values and prices.

 

[Bonyi]

Yes world political event or happenings can have a great impact on your trading. I think such event should be global and not local for it to affect forex trading.

 

[gkintl]

Major political events such as war declaration have major impact on the relative price of a currency. Sometimes statements issued in this effect may cause huge fall or gain in the value of a currency. Even though it does not occur on a daily basis, it is always better for a trader to have a watchful eye on the political developments across the world. Still, there may be unforeseen circumstances. That is where the advantage of stop loss lies.

 

[barood4money]

See, most of the political issues creates impacts on the economy of a country. And when the economy of a country effects then we can see that effects at forex also. So we can directly say that political issues effects at forex.

 

[Angelic]

polital events like when an ungoing election is been conducted it do have effects on the currencies thats why some country like tthe well developed countries are having a good political standard in such a way that they are managing their political system properly.

 

[Decub]

See, most of the political issues creates impacts on the economy of a country. And when the economy of a country effects then we can see that effects at forex also. So we can directly say that political issues effects at forex.

Majority of the factors that changes the economic situation of any country is politics, that is why some believe that any country that is.politically stable is economically stable. Uncountable number of times, activities in a particular country which changes their economic value are seen from their political activities, and for those their currencies are involved in Forex, changes the Forecast market as well.

 

[Daisy]

Its highly impacting everyone of your trades. If you haven't notice lately the syria crisis and then Capitol Hill shut down. I mean it sends some of your best pairs really low. It will shock you sometimes when there are bad news release. I mean this could be total wipe out for your account overnight if you did not use sl and I hope that we all do. I mean news can be so unpredictable that you should pay close attention to all news related to forex.

 

[riddick09]

Indeed. Political events are obviously the most influential in the market. Think also of there are the election day or have the most important events in the government. While, we know that this is a great advantage for the fundamental analysis but also we should be careful as those events can still be unpredictable.

 

[budado]

its really have big impact. Especially does who are connected to economic policies. That's why some currency goes stronger while some currency goes weaker. If you have big foreign debt you usually want to have strong currency so that you can pay your debt much easier.

 

[Pettyeve]

Politics and political events have some very high impact on the way the forex market operates. These politics can be in form of intra or inter politics which sometimes alternative both the economic and social activity on the country.

 

[Decub]

Well, I think that immediately after economic activities which centers around the standing of the country, the major news or activity that shakes the Forex market is politics. This is because politics moves the administrative activities of any country.

 

[Daisy]

Well, I think that immediately after economic activities which centers around the standing of the country, the major news or activity that shakes the Forex market is politics. This is because politics moves the administrative activities of any country.

Politics affects many important financial agencies and their policy but politics directly affects many other things in life like jobs, interest rate, foreign relations, gdp and such so it has a direct relation on the country's currencies as well as its neighbors so do beware of it. I mean recently the capitol hill shut down lead to so many usd weakening trends. You see the euro rising against it sharply and then other against it so you see the usd beaten down the last couple of weeks. It has a huge impact on trading.

 

[budado]

The impact is really big depends on how high or how strong that politician is. I do recommend that we study economy and its political policy in order to do fundamental analysis. The fundamental analysis has two major input and that is base on fundamental of political arena and economical arena.

 

[Daisy]

As serious traders, who risk high leverage, we must follow news daily. Have it send to your emails or follow them on twitter or fb cause you need to know it or have it send to your phones. I mean having it available quickly can save you a lot of time and help you trade so much better. I mean after watching bad news release you will not likely to buy a pair that will not perform or at least try to pick one that will perform against the risky currency. So you will know which to go long on. I mean news is your ultimate make or breaker so you must keep up with it daily and more so when you're trading big.

 

[Pettyeve]

A traders fundamental analysis is based on news. He uses it together with the technical analysis so as to get a better view of what the market will be. He is only seen as speculating since there could be other factors that will change this including the political activities which has a high impact on the market.

 

[Decub]

That is why it is always fine to follow all news, high impact or not. It is the politics that a country plays that will determine the direction of their economy. A country in political disarray will have a shaky economy and will cause their currency to drop in value.