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Is it best to start with just one currency pair to learn fundamentals?

Discussion in 'Beginners Bootcamp' started by Reggieroo, Oct 21, 2014.

  1. Reggieroo

    Reggieroo Private

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    I'm new to forex, only thing I have ever done is copied trades & used Zulutrade for the past couple of months. I have also watched some training vids on candlestick patterns trying to learn about those in an attempt to teach myself technical analysis.

    Now my question is based on trying to learn fundamental analysis after watching Jarrat Davis's free training vids & other research online. I was going to learn all about technical analysis & base my trading on that but now I'm not so sure. Problem I have is I don't watch the news or have any understanding of the world economy, hence the reason I was going to base my trading on technicals.

    Now to start learning fundamentals is it best to chose a currency pair & focus on news about that one pair so I'm not trying to take in too much info & get confused & overwhelmed?
     
  2. iMusingKiMi

    iMusingKiMi Sergeant

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    I am not sure about Fundamental because I am fully technical trader. I am just as you, know nothing about news or world economy. 1 more, I never believe we can truly master fundamental and it is much more difficult than technical. For instance, do you think you can predict what's the next announcement figure or news? I believe it is Confidential (unless you have insider). Therefore to me as a technical trader, we try our best to avoid Fundamental High Impact instead of guessing.

    In technical, you can't focus in 1 currency pair and you must understand the correlation between each instrument pair. For instance, GBP/USD movement always follow EUR/USD S/R. If EUR/USD on Support or Resistance, it always stop Cable from moving.

    U.S. Dollar Index - Wikipedia, the free encyclopedia

    The link above might helps you to understand more why they are correlated.
     
  3. Pharaoh

    Pharaoh Colonel

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  4. Reggieroo

    Reggieroo Private

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    Ok thanks guys, I think I need to read all chapters :rolleyes:
     
  5. downtrend

    downtrend Sergeant

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    I also love technical trading, its very easy than fundamental trading. Learning fundamental is not easy, you practically need to READ a lot of stuff and need to keep the data released of any certain currency to predict is movement.
     
  6. Reggieroo

    Reggieroo Private

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    Well I seem to have become a fundamental trader & it's working for me. I have the Bloomberg app on my iPhone & iPad which I check first thing in the morning & throughout the day. I also have a favourite pair, not by choice just seems to be the way it has gone for me. I mostly trade the USD/JPY.
     
  7. downtrend

    downtrend Sergeant

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    Less is more in forex trading, one single pair if traded properly can bring you more than enough profits you will ever think of. So if you take on one pair with single strategy, either technical based or fundamental based, you can become good in its trading.
     
  8. HotIce

    HotIce Private

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    I completely agree on this. In my view if we trade in one single pair than it can bring more than enough profits for us while if we concentrate on too much at the same time we will not be able to understand even one. Also to be able to do any sort of analysis we must select a good pair like Eur/Usd, it is a lot easier to analysis this and slowly we can increase the range of pairs we deal with.
     
  9. downtrend

    downtrend Sergeant

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    A good pair to choose is EJ as well. You can trade in any method you want on this pair, either scalping, day trading or swing trading. Its best for all kind of trading and return is also great.
     
  10. Pharaoh

    Pharaoh Colonel

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    I hear that CHF pairs can make BIG moves on SNB announcements. :p
     
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