CMTrading Daily

A forex trader buys and sells currencies on the foreign exchange market. Their goal is to profit from the fluctuating exchange rates between currencies and while the approach to achieve this may vary, the common rule of thumb is to focus on managing risk instead of chasing big profits.

While most retail traders tend to focus their trading strategy around technical analysis and price action, the truth is that fundamental indicators and financial news releases are the key drivers behind short-term market movements. The uncertainty before, during and after a significant financial announcement, however, increases both profit potential as well risk exposure.

Over the weekend, tensions in the Middle East boiled over as several drone attacks hit state-Saudi owned company’s oil fields. This is the most profound disruption of global oil supply in recent history.