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Wednesday, June 3, 2015

Forex Market Sentiment

“It’s a bear market, everything is going to hell!” “Things are looking bright. I’m pretty bullish on the markets right now.” Forex Market Sentiment - Bullish or Bearish Each and every trader will have their own personal explanation as to why the market is moving a certain way. When trading, traders express this view in whatever trade he takes. But sometimes, no matter how convinced a trader is that the markets will move in a particular direction, and no matter how pretty all the trend lines line up, the trader may still end up losing. A forex trader must realize that the overall market is a combination of all the views, ideas and opinions of all the participants in the market. That’s right… EVERYONE. This combined feeling that market participants have is what we call market sentiment. It is the dominating emotion or idea that the majority of the market feels best explains the current direction of the market.

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