Binary Options Financial Calendars – Finding a Good Calendar
We’ve discussed many times before the importance of the fundamental aspect in relation with Binary Options. Good or bad economic data can turn a winning trade into a losing one and vice versa. But in order to see how the fundamental data affects the market (and especially to profit from the fluctuations generated), we have to know where to get that information from. Sure, there are tens or maybe hundreds of websites that offer Financial Calendars, but is all the information correct?
Do I Really Need a Binary Options Financial Calendar?
There’s a multitude of financial calendars on the internet and some of the most widely known are found on forexfactory.com, dailyfx.com, investing.com, Yahoo Finance and even CommuniTraders. Of course, Bloomberg and Reuters are also a great source of trade related information, ranging from political news to technology and much more. There is no way that you can become a Pro trader without being aware of the main events of the political, economic and financial scene. Everything can affect the market, even rumors; actually there’s an old saying: “buy the rumor, sell the news” which means that rumors have one effect on an asset while the actual news release can have the opposite effect.
The trading world is divided in two main schools of thought: technical and fundamental. Technical traders believe that past price movement and chart patterns will repeat themselves and have predictive value. For example, a Double Top is considered a bearish pattern which is likely to push price lower and a Double Bottom is a bullish pattern which will push price higher. The force of these patterns comes from the fact that in the past, price reacted in a certain way and this is likely to repeat itself more often than not. Of course, technical analysis is much more complex than just the two examples I gave you. The other side of the trading world is represented by the Fundamentalists who believe that price doesn’t react to the technical aspect and is driven by the political, economic and financial data released by a country’s economy. For example, a currency will be strongly influenced by the Central Bank’s Interest Rate or by the Employment situation.
The truth is that a trader who really wants to become one of the best needs to be well versed in both aspects because they go hand in hand. That’s why a good Binary Options Calendar is a must-have. You will find the best ones on the websites I mentioned earlier but you will probably notice some slight differences between their data (although the time and dates usually don’t vary). This difference comes from the fact that they use different sources and it doesn’t mean they are wrong. Also, you will probably notice some difference in the names of the economic indicators: on Daily FX the main US Employment report is called Non Farm Payrolls but Forex Factory will display the name Non Farm Unemployment Change. Although it’s the same info, it is given to you differently.
Wrapping it up
You can find a lot of Economic indicators online with a quick search but it is recommended to choose a big website like the ones mentioned above because this way you will avoid any doubt about the accuracy of the data. Also, a big website is visited by a lot of people so you get the same information as they do, keeping you on the right side of the market – if more people trade the same information, it becomes a “self fulfilling prophecy”. Make sure you check our Top 5 Market Movers to see what the most important events of the week are, especially if you are at the beginning of your trading career and all the economic indicators may confuse you.
Learn more about following news on an Economical Calender on Forum!