The trader who takes part in the Forex market and trades any product first takes the basic analysis method into account to be able to interpret the direction of the financial asset correctly, then, the technical analysis method in order to find the entry point of the trading.
Important news from which we can analyze the macro-economic direction of countries such as Inflation Rate, Interest Rate, Gross Domestic Product, and the Unemployment Rate is followed by the traders for this reason.
In the first week of every month, the data of Non-Farm Employment Change, Average Hourly Earnings, and Unemployment Rate from America are taken into consideration in the agenda of the global markets, therefore on the agenda of Forex traders.
Financial products such as EURUSD, USDJPY, Gold attract attention with their short term/ momentary pricing behavior, especially with all this data.
Non-Farm Employment Change: It determines the changes in the number of employees in the last month except for the agricultural industry.
Unemployment Rate: It determines the percentage of unemployment and the percentage of those who are actively looking for a job.
Average Hourly Earnings: It determines the inflation rate in the wages paid to the workers, except for those who work in the agricultural sector.
This three important news shared above appear as the most important data set when the Fed is analyzing the monetary policy. The fact that momentary pricing behavior is more effective than the other news comes up as a significant sign of this importance.
To be able to understand the significance of this topic, we will be analyzing the pricing behavior of EURUSD, Gold, USDJPY, and USDCHF assets in the first 15 minutes of the three data points on June 7th, 2019.
When the graph is analyzed, it is seen that the Non-Farm Employment Change and Average Hourly Earnings data which had negative results allowed the USA Dollar to lose value. While Dollar losing value created a positive image for EURUSD and Oz Gold pricing, the USDJPY and USDCHF parities created a significant negative pricing behavior in the 15 minute time period after the news was announced.
Therefore, the important news of Non-Farm Employment Change and Average Hourly Earnings that will be concluded on July 5th, 2019 will create a prepotent image on Forex products and within that period, the news should be followed for EURUSD, USDJPY, USDCHF, and Oz Gold Pricing.