Forex Forecasting

A forex forecast is a prediction of currency value that will happen that day. The person or system that generate the forex is an expert who is willing to share his analysis of the market.

With accurate forex forecast a trader can always predict the possible risks and profits to be made. Forex forecasts are the only way of keeping up with the volatile forex market, where the success depends in knowing what and who will affect the rate changes.

Forex forecasts are based on market action involving price. In technical analysis they are based on Indicators like oscillators, Number theory (Fibonacci numbers, Gann numbers), Waves (Elliott wave theory), Gaps (high-low, open-closing), Trends (following moving average).

In Fundamental analysis the forecast is done on future price movements of a financial instrument based on economic, political, environmental and other relevant factors and statistics that is going to affect the basic supply and demand of whatever underlies the financial instrument. In practice, many traders use technical analysis in conjunction with fundamental analysis to generate the forex forecast.