Every Friday, the market is screened for interesting stocks and analyzed using AI. The AI of AI FAE is specially...
Search in blog
Blog categories
- Daytrading Almanac (23) click
- Press release (14)
- Educational (13) click
- Projects (6)
- Chart analysis (21) click
- Trading bots for cTrader (11)
- AI in trading (5)
- Trading Strategien (10)
- Trading signals and stock market letters (16)
- FAQ – Your guide through the world of finance and technical facilities (1) click
Latest posts
![Trading Kids Trading Kids](https://member.ai-fae.org/img/ybc_blog/post/thumb/260.png)
We teach what children are not taught in school. An initiative of the AI Finance Association Europe in the context of...
![New developments in loss offset limitation: Important information for traders and investors New developments in loss offset limitation: Important information for traders and investors](https://member.ai-fae.org/img/ybc_blog/post/thumb/Breaking-News-260.jpg)
line-height:normal"> In my recent research for AI Finance Association I have exciting news about loss offset...
![AI STOCK SCREENING OF THE WEEK ON 21.06.2024 AI STOCK SCREENING OF THE WEEK ON 21.06.2024](https://member.ai-fae.org/img/ybc_blog/post/thumb/8-Bild-260.jpg)
Every Friday, the market is screened for interesting stocks and analyzed using AI. The AI of AI FAE is specially...
![SETTINGS FOR THE V800L2 IN THE US500 M5 SETTINGS FOR THE V800L2 IN THE US500 M5](https://member.ai-fae.org/img/ybc_blog/post/thumb/2-KI-Forschungszentrum-260.jpg)
I have run an optimization over several days and here is a resulting setting option for the US500 in the M5 chart
Popular posts
![Trading bots: revolution or risk? Trading bots: revolution or risk?](https://member.ai-fae.org/img/ybc_blog/post/thumb/1-Screenshot-2024-04-15-um-21.14.1.jpg)
![Warnung vor Schneeballsystemen Warnung vor Schneeballsystemen](https://member.ai-fae.org/img/ybc_blog/post/thumb/260.jpg)
![AI Finance Association Europe: Innovation in finance through weekly bot developments AI Finance Association Europe: Innovation in finance through weekly bot developments](https://member.ai-fae.org/img/ybc_blog/post/thumb/4.png)
![The V300L1 trading bot – your automated path to success on the financial markets The V300L1 trading bot – your automated path to success on the financial markets](https://member.ai-fae.org/img/ybc_blog/post/thumb/300L1Blog.jpg)
![The V430L01 Trading Bot: Revolutionize your Forex trading The V430L01 Trading Bot: Revolutionize your Forex trading](https://member.ai-fae.org/img/ybc_blog/post/thumb/blogV430L01.jpg)
Featured posts
![Day Trading Almanac Foreword Day Trading Almanac Foreword](https://member.ai-fae.org/img/ybc_blog/post/thumb/1-Daytrading-Almanach_260x180.jpg)
![Was ist Daytrading Was ist Daytrading](https://member.ai-fae.org/img/ybc_blog/post/thumb/1-Was-ist-Daytrading260x180.jpg)
![Requirements for entry Requirements for entry](https://member.ai-fae.org/img/ybc_blog/post/thumb/1-erfolgreich-mit-dem-Daytrading_260x180.jpg)
![History of day trading History of day trading](https://member.ai-fae.org/img/ybc_blog/post/thumb/Geschichte260x180.jpg)
![Choosing the right trading platform Choosing the right trading platform](https://member.ai-fae.org/img/ybc_blog/post/thumb/y8r7x41o.png)
Photo gallery
No featured images
Archived posts
Top authors
AI FAE TRADING BASIC COURSE CHAPTER 4
Fundamental analysis
Introduction
Fundamental analysis is a method to understand the inner To determine the value of a share or other financial instrument by economic, financial and other qualitative and quantitative factors This analysis takes into account influences such as the economic situation, the Industry and company management to assess whether a stock is undervalued. or overvalued. The aim is to make long-term investment decisions by understanding the true drivers of corporate value and how which could develop over time.
Risk Sentiment
refers to the general mood or attitude of investors to the prevailing risks in the financial markets. It reflects whether market participants are willing to take higher risks (risk-taking) or whether they seek security (risk aversion). This Sentiment indicator is often influenced by political events, economic reports or market volatility and may affect market performance and significantly influence investors’ decisions by either leading to a stronger demand for riskier investments or a retreat into leads to safer forms of investment.
Business news
play a crucial role in the fundamental Analysis of financial markets. They include data on economic growth, labor market, inflation, central bank policy and other macroeconomic Indicators that can influence the financial markets. Investors and traders use this news to assess the economic situation and possible interest rate decisions, which in turn Investment decisions and market sentiment are directly influenced. Effective use of this information can be crucial to market opportunities to identify and manage risks.
Example of how the market reacts to economic news can:
Central banks
Central banks are key institutions in the economy of a country, who are primarily responsible for monetary policy. Their tasks include regulating the money supply and interest rates to ensure economic stability and inflation. They play a key role in the financial markets, particularly through their decisions regarding key interest rates, which have a direct impact on currency values. Central banks such as the US Federal Reserve, the European Central Bank or the Bank of Japan are therefore key players for fundamental analysts.
Especially when interest rate decisions are made by the FED or the ECB the markets are very volatile. It is advisable not to trade during these days act.
Inflation and the labor market
Inflation and the labor market are two key economic Indicators that are closely linked and play a central role in the fundamental analysis.
Inflation: Measures the rate at which the general Price levels for goods and services are rising and thus the purchasing power of Currency falls. Central banks often react to high inflation rates with an increase in interest rates.
Labour market: Refers to data on Employment and unemployment. A strong labour market with high Employment can indicate a healthy economy, but it also often leads to inflationary pressures, as higher wages can increase product costs.
Both factors influence monetary policy Decisions by central banks, which in turn have significant impacts on the financial markets can have. Before each trading session, everyone should Familiarize traders with the dates that have a major impact on the market This data is used by various financial news sites to Provided. E.g. Finanzen.net or Capital.com.
Big Picture
In economic analysis, Big Picture refers to the comprehensive overview of the global economic and political Conditions affecting financial markets. This analysis includes a A variety of factors, including geopolitical events, global Economic trends, currency stability and key economic indicators such as growth rates, trade balances and central bank policies. Investors and Analysts use the big picture to develop long-term investment strategies develop and understand how different economic, social and political forces work together to shape market conditions.
Leave a comment
Related posts
![AI FAE Trading Basics Chapter 1](https://member.ai-fae.org/modules/ybc_blog/views/img/bg-grey.png)
![AI FAE Trading Basics Chapter 2](https://member.ai-fae.org/modules/ybc_blog/views/img/bg-grey.png)
![AI FAE TRADING BASIC COURSE CHAPTER 3](https://member.ai-fae.org/modules/ybc_blog/views/img/bg-grey.png)
![AI FAE TRADING BASIC COURSE CHAPTER 5](https://member.ai-fae.org/modules/ybc_blog/views/img/bg-grey.png)
Latest comments