Why pairs going up and down?

 

I’d like to know why markets fluctuate? Why currency pairs go down and up? I think if I understand this I’d really take advantage about fundamentals and all that stuff. Thanks for your advic

 

The major factors that drive forex prices are economic news/policy, interest rates, and other asset classes (i.e oil, equity mkts, etc..). But I tend to look at just price to make my decisions.

 

One of the factor is demend and suppky for the currency. When some events take place, or international transactions are made, memebers of market need currency to make this transaction. It affects the price of currency, the most useful currency is more expensive than others, as usual.

 

There are many reasons for the market to go up and down, such as policy changes, economic factors and other fundamental reasons. However, learning all the fundamental analysis is not the only way to make money, you can also use technical analysis which is what I use to make money in the forex market.

 

Generally as most markets are, prices are based on what traders expect to see over the coming 3-6 months, then a little based on over the coming 12-24 months

 

It is upon the predictions made by economical growth of countries related to specific currency. You can see if something good movements happens toward economical growth of a country that country's currency value increases and when economical growth goes down currency value decreases. Brokers like international banks compare top level currency values which you see as a pair.

 
Elevation Trading:
The major factors that drive forex prices are economic news/policy, interest rates, and other asset classes (i.e oil, equity mkts, etc..). But I tend to look at just price to make my decisions.

Yes this is the main why there are fluctuations of the currency. Demand and supply also cause this but the main ones are economic news/policy/ stability, interest rates and economic growth- like FDI, etc of the country

 

to put it simply there are a limitless number of factors that affects the market which make it close to impossible to enumerate one by one.. well yeah its no answer but thats how complicated i see it

 

To know why pairs going up and down, you should have fundamental knowledge of market. There are lots of websites which are packed with fundamental market articles. You should read them.

 

I agree with @Elevation Trading. I think you must have knowledge about the market.

 

It's just the question of supply and demand - the fundamental basis of all the markets.

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