What to look out for when conducting a fundamental analysis

What to look out for when conducting a fundamental analysis

Share This!


Fundamental analysis is the interpretation of various statistical reports and economic indicators. It measures things such as changes in interest rates, inflation and employment reports, which can help predict price action and trends. Fundamental analysis is a very effective way of forecasting economic conditions and will give you a relatively clear picture of an economy’s health and the forces at work behind it. Since these indicators can have a significant impact on exchange rates, it is very important to know ahead of time when they are due for release. That way, as a Binary Options trader you will know when and how to place your trades.

Indicator Hierarchy

Generally, the broadest measure of productive activity are economy-wide indicators. They record the result for an entire economy, rather than a specific sector or industry. These indicators are usually collected by governments and are the most authoritative statistics. Some examples are:

  • Consumer Price Index (CPI)
  • Unemployment Rate
  • Gross Domestic Product (GDP)
  • Producer Price Index (PPI)

These four examples will almost always have an impact on the country’s particular currency. Therefore, before you place a ‘call’ or a ‘put’ option based on one of these four indicators, always be sure to read the most up-to-date reports.

Statistics that apply to a particular segment of the economy are referred to as industry and sector based statistics. Generally they are collected and analyzed by both private sector groups and government agencies. Usually, these indicators will have more of a limited role in moving currencies, but are still important nonetheless. Some of these include:

👉 ***Want to earn money with Bitcoin and other Cryptocurrencies without the pain and hassle of learning to trade from scratch? Imagine if you could trade and get regular results with profitable performance! Are you tired of the forex and crypto scams, false promises and games out there designed to separate you from your hard-earned funds? If any of that rings true with you, then STOP EVERYTHING. ProfitFarmers is for you! With their software working as your Crypto Co-Pilot, YOU remain as the Pilot with total control over your money, 100% of the time. ProfitFarmers is a trading tool that combines artificial intelligence with the expertise of veteran traders to deliver high-probability trade plans right into your hands. There’s no need to spend hours trying to figure out what to trade!
Thanks to their integration with Binance, the biggest cryptocurrency exchange worldwide, ProfitFarmers executes your trades from entry to exit, you just choose the trade signals you like, pick your entry price and then let your Co-pilot take over the rest of the journey. Stay informed about every step of your money-making journey through push-notifications on their mobile app. Now there’s no need to constantly worry about your ongoing trades, just let your Co-Pilot handle it for you! This could easily be the holy grail of trading tools. Forget paying a guru to trade for you and take a massive cut of what you earn. With ProfitFarmers there are absolutely NO COMMISSIONS OR FEES ON YOUR TRADES. 100% of what you earn is 100% yours to keep. Period. Last quarter, ProfitFarmers produced 1,357 trade plans, and more than 60% of them offered peak gains of over +8%. By joining ProfitFarmers, you’ll never be short on money-making opportunities. Still wondering if this is too good to be true? ProfitFarmers has a 100% Money-Back Guarantee if they don’t deliver profitable opportunities onto their platform. If you are ready to upgrade your trading game and instantly expose yourself to profitable trade opportunities, now is the time. Head to ProfitFarmers now to start trading the easier way, with your very own Crypto Co-Pilot.

PS: ProfitFarmers is a Trading Tool. Your money ALWAYS remains in your Binance wallet, never on ProfitFarmers. 100% Verified and Recommended by

  • New Home Sales
  • Purchasing Managers Index (PMI)
  • Retail Sales
  • Institute for Supply Management (ISM) Survey

Lastly, there are indicators that measure business and consumer opinions on current economic conditions, their potential expectations and intentions for the future, which can be referred to as sentiment indicators.

Keep in mind that not all statistics on a single topic are of equal importance. Governments and central banks have their own unique ways of determining which factors affect them the most. Some prefer one measure to another which will cause the markets to allocate that much more importance to the favored statistic. Additionally, some statistics can gain or lose interest over a period of time depending upon their scale of volatility or due to sudden changes in the nation’s economy.


Conducting a proper fundamental analysis means knowing which indicators are most paramount to each particular economy. Therefore, you must always have access to an economic calendar that  highlight’s each events importance level. Although nothing is 100 percent foolproof, a good fundamental analysis can often be the key to profiting in the online trading world.




If You'd Like to Get Notified When This Site is Updated, Subscribe Below...

Leave a Reply

Your email address will not be published. Required fields are marked *

IQ Mining

Binary Option Scams, Warnings, Reviews & Updates...


Popular Articles

Follow Us will not be liable for any damages incurred due to the usage of any information displayed on this website. The information and trading guides found on the website constitute the authors’ opinion only. Trading Forex, Binary options and Cryptocurrencies involve high-risk and are not suitable for all investors. Online trading in general, may not be legal in your jurisdiction. It’s visitors’ responsibility to make sure these entities are legal in their jurisdiction before engaging in trading activity. All trademarks, images and logos that appear on this site are copyrights of their respective owners and have been used under the Act of Fair Use.

Show Buttons
Hide Buttons