Link to this post -
October 6, 2013

Using an FX Converter for Weekend Analysis

fx converter

In order to be successful on the forex market you need to complete weekend analysis.  Weekend analysis is important because it tells you about the market movements that could affect your trades.  Just because the forex market is not open for trading it does not mean that the forex rates are going to stay the same.  The rates will change over the weekend and you need to keep up to date with what is happening.

What to Look at

When you complete weekend analysis you have to consider what you should be looking at.  As you cannot trade over the weekend you are not going to be completing your normal analysis.  You are going to be completing a very simple check of what is happening to the currencies that you are trading.

You need to look at any forex news that comes out over the weekend.  You also have to keep your eye on any of the breaking news because this can affect the currency when the market opens.  You should also look at the technical movements of the market.  When the market opens in the new week traders will be using this information to place trades based on the weekend analysis they have done.

Using an FX Converter

When you complete weekend analysis it is possible to use the FX converter.  The FX converter will tell you what the rates are at the exact time of conversion.  This allows you to see what the major changes are in the rates over the weekend.  Of course, there are other tools that you can use when you complete weekend analysis.

Using The Forex Charts

Many traders will use their forex charts instead of an FX converter for weekend analysis.  This is due to the visual representation of the movements that you are able to get with the charts.  The charts will continue to be updated over the weekend even when the market is closed.  The movements that you will see on the market are not going to be very great because there is a lack of trading.  However, you should still consider any changes that you see and how this can affect the trading that you are doing.

Using Your Forex Calendar

Most news that will make it into your forex calendar is not going to be released over the weekend.  The news that you have to look at with this analysis is the breaking news and other important, unscheduled news.  This will include any natural disasters or political coups that take place.

Who Benefits From Weekend Analysis

There are many traders who feel that long-term traders are the only ones who will benefit from weekend analysis.  This is due to the fact that they are the only traders who will have a position open over the weekend.  While these traders do get a number of benefits from weekend analysis they are not the only ones.  When short-term traders look at weekend analysis they will be able to get an idea of what is going to happen in the week.  They can also see what the market sentiment could be regarding certain forex news releases.



Get a free Forex PDF PLUS:

  • 14 Video Lessons
  • Free One-on-One Training
  • A 5000$ Training Account
  • In-House Daily Analysis
Become a forex trader!
Free PDF and UNLOCK website features