An economic calendar is a necessary tool for trading. First of all, to work with binary options was convenient; let’s make the necessary settings. Let’s start by specifying your time zone, so as not to keep in mind the time difference with dozens of countries. To specify what time you live, find your city on the list. If you didn’t find it, find out which major city you have the same time with and specify it in the economic calendar. When selecting such analogies, also remember that in some countries, it is practiced to switch the clock to wintertime, in others it is not.
The time zone is set. Now you can understand what data is displayed in the graph:
- Time. There are no surprises here in the economic calendar: information about when this or that information was published. This displays the currency whose value may increase or fall due to the release of certain economic news;
- Influence. One of the most important graphs. It shows how much information is weighty, what is the probability that it will cause a reaction in the market. It is on them that a binary options trader should focus first of all. Only after three bulls are there likely to be a sharp rise or a sharp fall in the currency;
- Event of the Forex economic calendar. Here is a brief description of which topic information is published.
The calendar can be used make forecasts that can then be used for actions on the binary options strategy. Now you know what is economic calendar.
The secrets of Forex economic calendar
Now the following situation is quite often observed in the economic calendar: there are still 20-30 seconds left before the news is released, and the market has already reacted to it and violently. This is because exchanges try to anticipate the situation: if positive data is expected, the currency rate rises sharply ahead of time, if negative data is expected in the economic calendar, the price will drop sharply before the news is released. At such moments, it is better not to open a trade on binary options, but to pay attention to another pair in which new economic information did not cause sharp jumps in the economic calendar for USA and other countries.
The tips on how to use economic calendar
Is trading on news based only on information from the calendar? No, there are other sources, and no less convenient and authoritative. Most websites don’t just specify events in the Economic calendar for China or other countries: they analyze their importance and predict which way the asset value will go. Expiration for one minute is an aggressive trade, it is suitable for experienced traders, and beginners who are not yet thoroughly familiar with binary options will not have time to navigate. Now you know how to use an economic calendar.