Absolutely, continual improvement is key.

But yes yaqui, that’s just about what I do – be aware of what’s coming out. The announcements I pay closest attention to are Non-Farm Payroll and Interest Rate decisions on currencies of interest.

For Non-Farm I stay completely away from intiating a trade and if in a trade I exit prior.

For Interest Rate decisions I won’t initiate a position prior but if in a trade I may hold on.

I have made a few attempts (and will continue to) to become familiar with the ebb and Flow of fundamental analysis, as, like Triff says, it gives a good indication of future forks in the road.

Although it’s usually more applicable the greater the timeframe you’re trading, I believe it’s important to be aware of what’s on the economic calendar for the day and week. Helps to gauge market sentiment and possible movements.

I used to not even look at the economic calendar but nowadays it’s part of my routine to at least be aware of what’s coming out. I don’t do any specific analyses as such and still don’t know what a lot of them mean, CPI, PPI, ABC, XYZ etc etc…

That said, I do read a bit of commentary and pay close attention to the global market sentiment as a whole. Just this macro outlook and simple perusing of the menu each week, has made me a more ‘well-rounded’ trader. And for now, I’m content with that.

It’s also worth noting that sometimes the news takes charge of price action as the markets are waiting for the right piece of news, so then it is worth knowing, but sometimes once the market’s heard what it wants to hear, the big movers make their decisions and then its out of the news’ hands … take the EURUSD, there’s been enough news out that the market has made its decision about where they want this pair to go, and not much news can come out now to change things except maybe an alien invasion.

My 3 cents

There are plenty of people that find the fundamentals just get in the way of their trading and have to rule it out.

It can be really difficult to take a technical signal when your fundamental analysis signals the opposite.

However, I have found that in the long term my fundamental analysis has helped me spot the changing tide. It has made it easier for me to understand when the larger market sentiment is shifting.

So…like with everything…to each his/her own. Because ultimately we have to do what is best for our own trading. Period.

Fundamental news is time sensitive, whether restrospectively or prospectively. In other words, when the news is released it either has ALREADY had an an effect and the post news reaction is infact a reaction to the reaction; or else the news, while current has yet to be seized and acted upon by the market (I’m thinking, for example, of the current debt situations in Spain and Portugal which so far seems to have gone largely ignored).

With all of this, upon a news release, one must then consider:
1. Was the news good, bad, better or worse than expected?
2. Is the market expected to react ?
3. Has the market already reacted and are we seeing a ‘reaction to the reaction’?
4. If it hasn’t yet reacted, in what sort of a time frame is it expected to react?
5. Combining 1,2 and 3 – I guess the question becomes: ‘what phase of the news cycle are we in?’

… and point 5 is where I have stumbled in integrating fundamental analysis with my trading. It’s a question of timing. My analysis may be correct in the market perecption of the news but because I find I’ve judged the market to be at one phase of the news cycle when infact it is at another ultimately my trade goes against me.

I need to work on my timing of fundamentals with respect to trade initiaion. A thorough understanding and interpretation of fundamentals should enhance your trading. But till then I thin it’s safer for me to be a pure Price Action trader.

Just my two cents. Your thoughts?