|
Volume Forecast FX Movements |
|
Friday, October 21, 2005 |
|
Volume indicators are very valuable when trading equities. How
valuable are volume indicators in Forex? Well, not much because
technically there aren't any. There is no centralized interbank
market for FX so if you wanted volume, you would have to ask your
particular broker. First, I have never seen a broker provide this
information and secondly, even if they did provide them, it would only
pertain to the traders who used this particular broker. The FX
market is decentralized and therefore, these volume figures aren't
indicative of the crowd. There is a way to get an idea of the
volume by...
looking at futures contracts. There is an interesting article
that shows how you can use the commitments of traders reports on the
CFTC.gov website to attempt to forecast the movements of the
market. I read the article and I found it interesting enough to
attempt to mine the data from the CFTC website, pull it into a
database, and post it here. I hope to do this over the
weekend. Check out the article, Using COT report to Forecast FX Movements. As I said previously, you can find the reports at the Commodity Futures Trading Commission website.
Forex Volume
October 2005
|
|
Last Updated ( Friday, October 21, 2005 )
|
