How to Read and Use Forex Factory Calendar,Way #2: Identify Your Strengths and Weaknesses with the Trade Explorer
13/01/ · hello guys,Can you point me to the right direction on how to add code in EA to write comment on my MT4 terminal as per attached image. So for every trade, I can add custom Welcome to the Forex Factory user guide! The Forex Factory website is a complex application that can take a long time to explore and understand. While this user guide only covers a 21/01/ · Hi, everyone, I want to write comments in the chart window. I wonder if anyone could tell me how to change lines in the comments? For example, I want to write total1, total2 08/06/ · Now, if you want to know how to read Forex Factory news, let’s learn how to use the Forex Factory calendar to your advantage. 1. Select your timezone. Here’s how to do it: Forex Factory was created by Fair Economy Inc mainly to help traders connect with other traders for industry discussions. The main focus of the discussions was for traders to learn key ... read more
By default, the Forex Factory home page includes the Scanner, a weekly schedule of projected fundamental news releases, forums, news stories, positions from live accounts, and time sessions of major markets.
By default, we can find the eight currency pairs with details including the current bid, chart for the last six hours, total pip change for the last six hours, and the percentage change for the last 24 hours.
All of which are useful information. This gives us a snapshot as to what the major currency pairs are doing in terms of price movements for the past few hours, which direction it is moving, and which major currency pair has moved the strongest in a certain direction. We could also note that the pairs wherein the USD was the Term Currency or the currency on the left of the pair, the forex pair is bullish, while whenever the USD was the Commodity Currency or the currency on the right of the pair, the forex pair is bearish.
Traders who understand inverse correlation based on flipping the Term and Commodity currencies could note that this snapshot shows a strong USD market with the USD being the driver of such momentum on most pairs. Astute traders would avoid trading against the USD strength and would rather trade with the direction of its momentum. This in itself is a good trading technique.
If the Scanner showed us a different story wherein the USD is not the driver of strength or weakness, we can pair the strongest currency versus the weakest currency in order to have a high probability trade setup. We can also click on each tab under the Scanner window in order to select which information we would want to see. Some traders may prefer the Ask price or both displayed. Traders can select the number of hours and the candle periods that should be displayed, from the last five minutes displayed as a 1-minute candle, which is useful for scalpers, up to the last 48 hours displayed as a 4-hour candle, which is useful for day traders and swing traders.
It also has a dropdown option for the type of charting to be used. Options include a candle chart, open-high-low-close chart, more popularly known as a bar chart, a line chart, a dotted line chart, and an area chart. Traders can also change the color of the charting according to their preference. Pip Change displays the number of pips price has moved from its starting point from the last n hours set by the trader.
As such, it includes a dropdown option wherein traders can choose to see the pip change within the last five minutes up to the last 48 hours. Pip Change is somewhat similar to the Average True Range ATR. However, it still has a big difference in what it indicates and how it could be interpreted. The ATR displays the number of pips that price has moved from the high of the period up to its low.
Forex Factory Pip Change on the other hand displays the number of pips price has moved from the open of the preset number of hours up to the current price.
Traders can use this information to identify which direction the pair is moving and whether it is moving with strong momentum or not. Percentage Change takes the information coming from the Pip Change and converts it to percentage.
It displays the percentage of the Pip Change from its base range based on a set number of hours. As such, traders also have the option to change the span of time the tool would base its percentage change from, just as with the Pip Change dropdown option.
This also has the same dropdown option as the Pip Change dropdown. Traders can use this information in order to have an estimate as to whether price is already near the low or high of its range, which in many cases are also support or resistance levels.
Pip Spread displays the difference between the bid and ask price, otherwise known as the Spread. This information is a very useful information for scalpers as it is the most basic trading cost that traders should overcome. This is particularly useful for scalpers because spreads can be one of the main reasons why scalpers loose money more than they should, as scalping entails lower returns on a per pip basis while still maintaining the same spread cost.
Traders may also opt to have more than four metrices regarding each major currency pair. In this case, traders may click on the settings button on the upper right-hand corner of the window and select the number of desired metrices. Traders can also select the currency pair which they would prefer to view rather than the major forex pairs.
An option to view Live price feeds is also available. This is very useful as it allows us to make timely informed decisions based on the Scanner. This option is also found on the upper corner of the window. The Forex Factory Chart is another useful tool which traders can take advantage of. Traders can fairly make informed decisions even without the use of a paid charting tool just by using this window. The forex pair displayed on the chart can quickly be changed. Next to the name of the forex pair are the displayed period intervals which traders may quickly choose from, from the 1-minute chart used by scalpers to the daily and monthly charts used by swing traders and position traders.
This is done by selecting the type of line which is preferred then clicking on the chart to plot the two end points of the line, or in the case of the horizontal and vertical lines, clicking directly on the chart one time.
It also allows us to select an option to highlight the period as we scroll through the chart. The Sessions row shades the time when a certain major market is in session. The sessions displayed in the following succession: Sydney, Tokyo, London and New York. The News and Calendar rows have colored tabs to indicate the impact a news may have. Red indicates a high impact news, orange indicates moderate impact news and yellow indicates a low impact news.
The Settings tab gives us options such as selecting the time zone on which the price feed is charted, the height and width of the chart displayed, the type of bars displayed on the chart, the displayed interval options, the cursor type, the color, and the option to zoom in and out by scrolling the mouse wheel.
The bar at the bottom of the chart allows us to quickly navigate the chart being displayed by dragging the whole bar or dragging one end of the bar. This quickly modifies the range of bars being displayed on the chart based on the selected period on the bar. The up and down arrow buttons on the lower right corner allows us to modify the height of the chart easily by dragging the button up or down. Although the forex market is open 24 hours a day, it does not necessarily mean that traders should trade 24 hours a day.
It would be detrimental for a trader to do so. It is not beneficial for a trader to risk health for the sake of earning a few pips every now and then. Traders should learn to time the forex market.
Certain forex pairs move with high volatility at certain times of the day. This is mainly because one of the currencies in the forex pair is being actively traded by a major market. This uptick in activity is due to the fact that the major market using the currency is open and actively trading. For example, the AUD and NZD is most likely active whenever the Sydney market is in session, the JPY is active when Tokyo and the Asian markets are in session, the EUR and GBP is active when Frankfurt and London is in session, and the USD is active when the New York market is in session.
As such, it is wise for traders to trade only when the major markets are active. Having a tool which allows us to quickly view which markets are open allows us to time our personal trading sessions.
It also allows us to isolate which currencies is more active and focus on those active currency pairs rather than dispersing our focus on multiple currencies.
The Sessions tool of the Forex Factory allows us to do such. It quickly displays which market is currently open, which market would open next, and which market is closed or on a holiday. It then plots the bars to show the Sydney, Tokyo, London and New York sessions. It also displays the local time in the time zone of the market. It also highlights the time zone which is open.
The Sessions tool also conveniently indicates which market is closed for a holiday, which would usually explain an unusually low volatility market condition. The Calendar window is also displayed on the home page of Forex Factory. This window provides a snapshot of past and upcoming events for the day which may affect certain currencies and its corresponding forex pairs. Below is a snapshot of Forex Factory Calendar window on the home page. Here we could find the date and time schedules of each upcoming news events, the currency pair which would most likely be affected, the severity of its probable impact as indicated by the color of its tab, the name of the news event, the details, the actual, forecasted and previous data, as well as the option to open the graph of the past economic data.
The impact of an upcoming news is indicated based on the color of its tab. Red indicates a high impact news, orange indicates an intermediate impact news, while yellow indicates a low impact news.
Astute traders would always take into consideration the probable effect of a high impact news on their trades. Either they would avoid trading during such news releases, wait for the news release to finish and the currencies volatility to subside or tighten their stop losses prior to a news release when in an open profitable trade. The figures on the Actual economic data also has an effect when compared with the forecasted economic data.
Some economic data may have an inverse correlation with a currency strength, while others have a direct correlation. Directly correlated economic data would cause a currency to strengthen when the actual figure is higher than the forecasted figure, while inversely correlated data would a cause a currency to weaken when the actual figure is lower than the forecasted figure.
The Details button also provides an in-depth information regarding the news release, including information on how and why it affects the currency, historical figures, as well as related news releases. This window is very informative and could be a source of good education for fundamental analysis. The Graph button allows us to view the historical comparison of the Actual, Forecast and Previous economic figures. This allows us to gauge how accurate the forecasts are for a certain economic data and the degree of its effect on a currency pair.
The Positions tool provided by Forex Factory is an excellent market sentiment tool. It provides us a snapshot of whether traders are bullish or bearish regarding a certain pair based on the number of traders linked to Forex Factory taking a short or long trade. Forex Factory has a data bank of trades coming from traders linked with their Trade Explorer tool.
The same information, coming from trade decisions of live account traders, is also fed on the Positions tool. Below is an example of the Forex Factory Position window. In this window we will see a column indicating the currency pair or instrument, the percentage and number of traders having a long position, and the percentage and number of traders having a short position.
This tool can also be modified to display the number and percentage of traders as well as the number of lots. The next item displayed is the currency of the country that will be affected by the news trade. This is usually a function of the country that the news is released from. For instance, if the news is to be released out of Australia, then AUD Aussie Dollar is the currency symbol that will be displayed.
The next item as we keep moving to the right of the interface is the market impact colour codes. This is a very important component of the forex calendar found on Forex Factory. It shows three colour codes to demonstrate the market impact the news event is likely to have on the market. Yellow stands for low impact. Low impact news have very low market impact and do not provide enough tradable volatility.
Orange stands for medium impact, and red is for high impact. High impact news are what traders love to trade as they create a lot of market volatility. The title of the news release is shown next to the market impact buttons, as well as the news detail. Clicking the news detail tab located just to the right of the news title on the Forex Factory forex calendar gives some insight as to what the news is all about, why it is of importance to the market as well as a hint on how often that piece of news is traded in a calendar year.
Closing out this section is the numbers. Four sets of number columns are seen: the actual shown after the news is released , the consensus forecast and the previous numbers are shown on a constant basis, with a revision to the previous figure if any making up the last numbers column.
The trick is in being able to interpret the deviation; which is the difference between the actual number and the consensus. The larger the deviation of the actual number from the forecast, the larger will be the price movement of the currency. A deviation has to be tradable in order to create a market opportunity. To detect a tradable deviation, check the difference between the forecast and the previous figures. If the difference between the actual figure and the forecast surpasses the difference between the forecast and the previous numbers, then the deviation is tradable and there will be a market opportunity to trade the news release.
Taking the example of the news releases out of Canada at 8. The actual figure came in at Not only is this a negative for the Canadian Dollar CAD , but the deviation of the actual from the forecast number - 0. Therefore, we would expect to see a strong movement to the downside for the CAD. This manifests on the USDCAD as a strong gain for the USD against the CAD as seen on this 1-minute chart taken from the FXCM platform.
The forex calendar from Forex Factory is one of the best forex calendars to use for news trading in forex as it has all the features to enable traders understand what to trade. Simply visit Forex Factory to study the forex calendar available on the site using this article as a guide.
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Forex Factory is the name of a popular forex trading online forum. The Forex Factory website is indeed a great resource for all categories of traders.
Here you get to see traders and market players from the retail and occasionally from the institutional side of the market. The Forex Factory online forum also provides traders with several tools that are built to enable them profit from the market. One of these tools is the forex calendar, also known as the economic news calendar or simply the economic calendar. The forex calendar is simply put, a schedule of news releases impacting the socio-economic and political sphere of several globally important economies.
The news releases that can be found on the forex calendar include news about interest rate statements , inflation data , data on housing, employment and trade. These releases are displayed for various countries at various times and dates displayed on the forex calendar.
As far as the forex calendar on Forex Factory goes, traders can get a good number of benefits from using this tool. It is important for news traders in forex who want to use the forex calendar on Forex Factory to understand the features that are available for maximization of its use. The forex calendar on Forex Factory looks just like the snapshot shown above.
On the left, there is the navigation tab showing the current month, as well as various links which can be used to display the forex calendar for the next day, the next week, month and even the previous day, week or month.
There are various arrows on the left of the monthly calendar display on the ForexFactory. com calendar. You can use these arrows to make the selections for the dates you would like to see on the forex calendar. The section in the middle of the interface shows the news events that are released at specific times and dates. We also see the numbers for the news items on the interface as well as tabs which conceal the news details.
In the middle of the screen lies the listing of the news events. There are several important keys here. Moving from left to right, the forex calendar on forex factor shows the date on which the news will be released, as well as the time of release.
Traders have the option of changing the time zone that will be displayed by clicking on the time tab located directly above the time column. This provides the trader with the option of changing the time listing from the default display of Eastern US time which is 5 hours behind GMT or 4 hours behind GMT when the Daylight Savings Time setting is on between the months of March and October to another time zone.
The next item displayed is the currency of the country that will be affected by the news trade. This is usually a function of the country that the news is released from. For instance, if the news is to be released out of Australia, then AUD Aussie Dollar is the currency symbol that will be displayed. The next item as we keep moving to the right of the interface is the market impact colour codes.
This is a very important component of the forex calendar found on Forex Factory. It shows three colour codes to demonstrate the market impact the news event is likely to have on the market. Yellow stands for low impact. Low impact news have very low market impact and do not provide enough tradable volatility. Orange stands for medium impact, and red is for high impact.
High impact news are what traders love to trade as they create a lot of market volatility. The title of the news release is shown next to the market impact buttons, as well as the news detail. Clicking the news detail tab located just to the right of the news title on the Forex Factory forex calendar gives some insight as to what the news is all about, why it is of importance to the market as well as a hint on how often that piece of news is traded in a calendar year.
Closing out this section is the numbers. Four sets of number columns are seen: the actual shown after the news is released , the consensus forecast and the previous numbers are shown on a constant basis, with a revision to the previous figure if any making up the last numbers column. The trick is in being able to interpret the deviation; which is the difference between the actual number and the consensus. The larger the deviation of the actual number from the forecast, the larger will be the price movement of the currency.
A deviation has to be tradable in order to create a market opportunity. To detect a tradable deviation, check the difference between the forecast and the previous figures. If the difference between the actual figure and the forecast surpasses the difference between the forecast and the previous numbers, then the deviation is tradable and there will be a market opportunity to trade the news release.
Taking the example of the news releases out of Canada at 8. The actual figure came in at Not only is this a negative for the Canadian Dollar CAD , but the deviation of the actual from the forecast number - 0. Therefore, we would expect to see a strong movement to the downside for the CAD. This manifests on the USDCAD as a strong gain for the USD against the CAD as seen on this 1-minute chart taken from the FXCM platform.
The forex calendar from Forex Factory is one of the best forex calendars to use for news trading in forex as it has all the features to enable traders understand what to trade. Simply visit Forex Factory to study the forex calendar available on the site using this article as a guide. Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website.
These cookies do not store any personal information. Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies.
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How to Use Forex Factory Free Trading Tools – The Ultimate Guide,Forex Factory’s Forex Calendar: Key Features
05/07/ · How to comment on forex factory. Sep 26, · Forex Factory is the name of a popular forex trading online blogger.com Forex Factory website is indeed a great resource 08/06/ · Now, if you want to know how to read Forex Factory news, let’s learn how to use the Forex Factory calendar to your advantage. 1. Select your timezone. Here’s how to do it: 23/03/ · Forex Factory Scanner. The first tool that we could explore on the Home Page is the Scanner. By default, we can find the eight currency pairs with details including the current 21/01/ · Hi, everyone, I want to write comments in the chart window. I wonder if anyone could tell me how to change lines in the comments? For example, I want to write total1, total2 26/09/ · There are various arrows on the left of the monthly calendar display on the blogger.com calendar. You can use these arrows to make the selections for the dates 13/01/ · hello guys,Can you point me to the right direction on how to add code in EA to write comment on my MT4 terminal as per attached image. So for every trade, I can add custom ... read more
Only brokers that meet certain regulatory requirements are featured on the list. Tweet 0. Scanner: Forex: Factory has an integrated Market Scanner which is a flexible interface. Forex might be one of the biggest online trading platforms available in today's world, but being a Forex trader is Read more. Clicking the news detail tab located just to the right of the news title on the Forex Factory forex calendar gives some insight as to what the news is all about, why it is of importance to the market as well as a hint on how often that piece of news is traded in a calendar year. From the screen above, you can see additional details such as the source, frequency and history of the event to name a few.
You can just multiply your time frame by a factor of 4, how to comment on forex factory. If you want to adjust the time of the website, you have to click the clock on the header. A graph available on the Calendar section. Labels: Best Forex Broker About Us Privacy Policy Terms Risk Disclosure Sitemap Contact. The forex calendar from Forex Factory is one of the best forex calendars to use for news trading in forex as it has all the features to enable traders understand what to trade. The key to being an excellent Forex trader is having an account on a platform that you trust and believe Read more.
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