While there many different fundamental reasons that can drive a currency up or down, there are some decent correlations that can be used as a “secondary indicator” for particular currency.

To understand this, you have to understand what could possibly cause money to flow into, or out of a particular country. Let us take Australia as an example. Australia has a very large mining industry, and as such, the Australian Dollar tends to follow the gold and copper markets over the long run.

Imagine impact like a series of dominoes. In order to have impact correct the dominoes must be falling in order and in sequence. If one of those dominoes is out of order the entire chain of dominoes stops and therefore you must do something with your swing and therefore you will lose consistency and also bring about injury into your golf game.

Often, the most important parts of the trading day in the stock markets will be either the first or last hour. In fact, there are a lot of major funds that are entering at these times, filing orders for larger pension funds and the like. Because of this, there is often a move in one direction or another in the last hour of the day, and it can be a decent one at that.

When a person begins to learn about trading the Foreign Exchange markets, this is probably the first question that comes up. It is only natural that a person would ask this. Of course, the answer will be quite different depending on who you ask.

The main reason for this is the same as for any other endeavor one is trying to learn; different people think and behave differently. There is no “one size fits all” way to learn to speak a foreign language, or to drive a car. So why would learning to trade Forex be any different?