Fundamental Analysis

Fundamental Analysis examines the influence of economic indicators, central bank policies, and macroeconomic conditions on asset prices. Key fundamental factors include interest rate decisions, gross domestic product (GDP), consumer price index (CPI), and unemployment rate. Different markets rely on different fundamental indicators. In forex, interest rates and trade balance are crucial. In stocks, earnings per share (EPS) and the price-to-earnings ratio (P/E ratio) matter. In cryptocurrencies, institutional adoption and regulatory changes play a significant role. Analyzing economic data helps traders gain a deeper understanding of market direction and its impact on price fluctuations. TradingFinder offers free educational resources on evaluating economic reports, assessing their effects on market prices, and integrating fundamental Analysis with other trading strategies.

Level:
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Advance
Professional
Economic Recession [2008 Recession and Government Actions]

Economic Recession [2008 Recession and Government Actions]

Advanced
10 Min

Recession is a phase in the economic cycle characterized by rising unemployment rates and weak consumer demand....

The Role of Expectations in Financial Markets [Interest Rate Expectations]

The Role of Expectations in Financial Markets [Interest Rate Expectations]

Advanced
7 Min

Expectations in financial markets are a key driver of price volatility before the actual data is released. In fact, traders buy...

Currency Correlation in Forex [Correlation Coefficient and Risk Management]

Currency Correlation in Forex [Correlation Coefficient and Risk Management]

Intermediate
4 Min

Some currencies have positive or negative correlations with other assets due to their risk-on or risk-off...

What is a Forex Trading Session? [Sydney, Tokyo, London, and New York Sessions]

What is a Forex Trading Session? [Sydney, Tokyo, London, and New York Sessions]

Elementry
4 Min

The operational hours of financial markets are broadly categorized into four sessions of Sydney, Tokyo, London,...

What is GDP? [The Impact of Demand and Investment on GDP]

What is GDP? [The Impact of Demand and Investment on GDP]

Advanced
9 Min

Gross Domestic Product (GDP) is the main measure of economic growth, showing whether the economy is in a boom or a recession....

Forex vs Futures Markets [Leverage and Trading Volume]

Forex vs Futures Markets [Leverage and Trading Volume]

Elementry
8 Min

Forex market and Futures are two attractive financial markets that differ in nature, features, trading...

What is the Futures Market? Hedging and Risk Management

What is the Futures Market? Hedging and Risk Management

Advanced
8 Min

Futures contracts are tools for trading and speculation or risk hedging; futures contracts allow retail traders and...

4 Factors Influencing Forex Fundamental Analysis [Economic Reports and GDP]

4 Factors Influencing Forex Fundamental Analysis [Economic Reports and GDP]

Intermediate
8 Min

The most significant factors influencing Forex Fundamental Analysis are economic reports, Gross Domestic Product...

Forex Market Makers [Central Banks, Liquidity Providers, and Hedge Funds]

Forex Market Makers [Central Banks, Liquidity Providers, and Hedge Funds]

Intermediate
6 Min

Market makers refer to traders or financial entities such as central banks, large commercial companies and banks that...

What is Inflation? [Examining the PPI, CPI, and PCE Indices]

What is Inflation? [Examining the PPI, CPI, and PCE Indices]

Intermediate
10 Min

Inflation is an economic concept introduced in the early 20th century by the German economist “Heinrich Von”. It refers to...

Impact of Interest Rates on Financial Markets [Forex, Stocks, Gold and Crypto]

Impact of Interest Rates on Financial Markets [Forex, Stocks, Gold and Crypto]

Intermediate
9 Min

Interest rates are a key tool for central banks to implement monetary policy, and changes interest rates create...

Sentiment in Financial Markets [Risk On and Risk Off]

Sentiment in Financial Markets [Risk On and Risk Off]

Elementry
8 Min

Fear or greed among traders are Fundamental analysis factors that shape price trends. Risk-averse sentiment refers to...