💬 Discussion#forex#discussion#technical-analysis#fundamentals
W
Wolf Cub
Trader ·
Technical Analysis vs Fundamentals in Forex: What Drives Your Trades?
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The eternal debate in forex trading: do you trade the chart, or do you trade the news?
Pure technical traders say: fundamentals are already priced in; the chart tells you everything.
Fundamental traders say: if you don't understand why a currency is moving, you can't hold through retracements.
**My view:** Fundamentals set the direction (macro tailwinds/headwinds), technicals set the entry and exit. Trading technically against a strong fundamental trend is fighting the tide.
Example: EUR/USD might look technically overbought, but if ECB is dovish while Fed is hawkish, the fundamental case overwhelms the technical signal.
Are you primarily a technical, fundamental, or hybrid trader? What made you settle on your approach?