Forex trends and currency exchange prophecies aren’t the same. A system that is based on trends involves taking a look at charts to see what the price movement has been over the last few periods. In this manner it is sometimes possible to identify a long term trend of upward or downward movement in the price of the currency pair.
Currency exchange prophecies involve making a judgment about which way the market will go in the future. So they’re not so dependent on charts and research into the latest past movements in prices. Frequently they are going to be primarily based on fundamental criteria, which is analysis of the commercial factors that drive the market, such as a upcoming IR change. Often times it can come down to a gut hunch which is not much more than guesswork or betting. If we rely on info from fiscal sites, blogs or papers then we are putting our trading into the hands of reporters. We could simply be caught in a retracement. Trends on the other hand permit us to set up our own systems and avoid trading around instances when news are due. Most traders find this a way more reliable method.
