Basic FOREX Analysis: Fundamental Indicators

Understanding basic Forex analysis can give you the ability to get started trading in the market. If you are going to use fundamental analysis, here are some of the indicators that you will want to pay attention to.

Non-Farm Payroll

This is an announcement that is made every month that plays a big role in the Forex market. This is a statistic that represents how much of a country's payroll comes from sources that are outside of the agricultural industry. Whenever this is announced, you should expect big movement in the Forex market.

Gross Domestic Product

The gross domestic product is another big fundamental indicator that you should be aware of. This tells you the entire value of all of the goods and services that have been produced in a country over the course of a year.

Retail Sales

You are also going to want to pay attention to retail sales. A large percentage of the economy is made up of the sales that occur in retail establishments. Therefore, if retail sales are good, the economy is generally doing well also.

Consumer Price Index

This is a report that is used to determine how much prices have increased on consumer goods. This report can also tell you how much inflation has occurred in the country.