Stay on top of the markets each day.
Know when the markets will become volatile.
The Economic Calendar
Some of the best opportunities in trading are created through deviations in economic data. These may include surprise actions by central banks, or even unexpected comments from central bank members. One of the most effective trading tools, therefore, is an economic Forex news calendar.
An economic Forex news calendar is a table of upcoming events. These may include economic data releases, planned speeches from central bank members, central bank meetings, G7 meetings, OPEC meetings and many others. By being aware of when events are due to take place, a trader is able to plan in advance and be prepared for any trading opportunity which may arise.
What does the Economic Calendar include?
At the very least, an economic Forex news calendar should consist of the country the event relates to, the time and date the event is due to take place, the significance of the event, the previous outcome of that event, and the expected outcome. Most economic calendars will also contain additional information, such as a description and basic information about the event. Premium calendars can provide information about the range of economists’ expectations and instant updates upon the events’ release.
It’s important to recognise that only a few events will actually provide trading opportunities. The ability to determine which events are ‘market-moving’ is critical to being able to successfully trade off of the economic calendar.