17.06.202408:07 Forex Analysis & Reviews: What to look out for on June 17th? Fundamental events analysis for beginners

Analysis of macroeconomic reports:

There are no macroeconomic events scheduled for Monday. Thus, low volatility and weak movements are expected for both currency pairs during the day. The European currency may adjust slightly upwards, but it should be remembered that the main trend is currently downward. Therefore, sales should be a priority, not purchases. The pound may continue to fall, pushing off from the 1.2684-1.2693 area, but fixing above it will mean that the market is not ready to sell yet.

Analysis of fundamental events:

Of the fundamental events of Monday, we can only single out the speech of Fed representative Patrick Harker. However, only this week, the Fed held a meeting, and Jerome Powell provided the market with all the necessary information on monetary policy and its prospects. Thus, Mr. Harker will likely report something new. In any case, his speech is scheduled for the evening, so nothing should affect the movement of currency pairs during the day.

General conclusions:

We do not expect strong movements during the first trading day of the new week. The pound may continue its downward movement as it has overcome an important area. On the contrary, the European currency may adjust upwards, as it fell stronger this week than the pound sterling.

The basic rules of the trading system:

1) The strength of the signal is calculated by the time it took to generate the signal (rebound or overcome the level). The less time it took, the stronger the signal.

2) If two or more trades were opened near a certain level on false signals, all subsequent signals from this level should be ignored.

3) In a flat, any pair can form many false signals or not form them at all. But in any case, it is better to stop trading at the first signs of a flat.

4) Trade transactions are opened between the beginning of the European session and the middle of the American one, after which all transactions must be closed manually.

5) On the hourly TF, using signals from the MACD indicator, it is advisable to trade if there is good volatility and a trend confirmed by a trend line or a trend channel.

6) If two levels are located too close to each other (from 5 to 20 points), they should be considered an area of support or resistance.

7) When passing 15-20 points in the right direction, you should set the Stop Loss to breakeven.

What's on the charts:

Price support and resistance levels are the targets when opening purchases or sales. Take Profit levels can be placed near them.

Red lines are channels or trend lines that display the current trend and show which way it is preferable to trade now.

The MACD indicator(14,22,3) is a histogram and a signal line – an auxiliary indicator that can also be used as a signal source.

Important speeches and reports (always contained in the news calendar) can greatly influence the movement of a currency pair. Therefore, during their exit, you should trade as carefully as possible or exit the market to avoid a sharp price reversal against the previous movement.

Beginners in the forex market should remember that every trade cannot be profitable. Developing a clear strategy and money management is the key to success in trading over a long period.