“ Economic news releases are important economic indicators that present the general economic health of a country. Some of the indicators include GDP Reports, Unemployment Data, Manufacturing data and so on. Source: Trading Binary Options During Economic News Releases
How to trade binary options using economic indicators?
• Make note of the week’s schedule using an economiccalendar (Note that not all reports are known to move the markets, so focus only onimportant news releases).• Research into the news release and identify the instrumentsit might affect. (ex: GDP report influences USD and the currency pairs)•After you select your assets, place your trades either beforeor just after the news is released.• Be sure to choose expiry times short. 15 minutes and less aremost ideal.
How does the prices react to the economic news?
• When the data released meets or exceed market expectationsit is a sign of positive growth, hence prices tend to rise.• When the data released falls short of market expectations itis a sign of negative or slow growth, thus the prices tend tofall.• If you are trading currencies, note that when markets arevolatile, investor rush to safe haven currencies such as theCHF, JPY.• Economic indicators influence many assets includingcurrencies, indices and commodities markets as well.
Resources for Further Reading on trading binary options during economic news releases
Trading Binary options during economic news releases (Source:Binary Options Reviews UK)List of major economic indicators (source: moneycrashers.com)Economic Indicators (source: wikipedia)Economic Indicators Explained (source: Forexpromos.com)
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