When looking at the major currency pairs, the US Dollar (USD) is one part of each of the major pairs. When looking at any pair where the US Dollar is the base, we can see the dollar strengthening versus the quote currency as prices rise. If the price drops, the dollar is weakening versus the quote currency. When the dollar is the quote currency, the opposite is true; meaning a drop in prices would indicate the dollar strengthening. It is easy to compare the dollar with any one currency. But […]

Forex Fundamentals When we talk about Forex fundamentals, we are referring to the underlying reasons for a currency strengthening or weakening against the currency it is paired against. In its simplest form, we are looking at a strong or weak economy to be reflected in the underlying currency. A strong currency would indicate that the economy is also strong. A weak currency would essentially indicate a weak economy. The thing we have to realize is that the economy will reflect in the performance of the underlying currency, but not every […]