What is the most important economic calendar?

The US economic calendar is the most important one because the dollar dominates global markets and the United States has the largest economy in the world. Before we examine the major factors that influence the US dollar, let’s look at why an economic calendar matters to traders.

Why do I need an economic calendar?

IronFX’s real-time Economic Calendar lists economic events and indicators from around the world. You can view the most important news each day, check weekly updates, and track the biggest upcoming market movers. An expert team of analysts updates the calendar daily, making it a reliable tool you can trust. If you trade based on fundamentals or news, this type of calendar will help you stay organized and ready to act efficiently. Keep IronFX’s economic calendar open as a tab on your computer so you can stay alert to the latest developments.

Trading FX with fundamental analysis

To trade Forex through фундаментальный анализ, you need to understand how global economies are performing. This requires staying informed about each country’s macroeconomic data, such as GDP, employment, consumption, and inflation. You must also monitor the countries whose currencies you plan to trade.

Better manage your trades

Monitoring High-Impact Economic Events

To manage your trades more effectively and avoid unwanted surprises, you should check when high-volatility data is scheduled for release. In the US, the most important reports include Nonfarm Payrolls, the Federal Reserve’s interest rate decision, FOMC minutes, PMIs, and retail sales. For the euro, key drivers include speeches by ECB President Lagarde and the ECB’s interest rate decision. The Bank of England’s Governor Bailey and the BoE’s interest rate decision also play major roles. GDP, retail sales, employment figures, and services and manufacturing PMIs are major macroeconomic indicators that can move the currencies of all major economies.

Understanding the Differences Between Economic Calendars

Economic calendars forex trading are available for free from financial and economic websites. Not all economic calendars are the same, and they do not always list the same economic releases. The content often depends on the website’s users and the events they care about.

Selecting the Right Calendar for Your Needs

Many websites include only US events in their economic calendars because these events have a stronger impact on the markets. Other websites offer tailored calendars with filters that show certain events and hide others based on user preference.

Selecting the Right Calendar for Your Needs

Traders can build their own economic calendar by visiting websites that publish the releases most relevant to their investments, such as the Board of Governors of the Federal Reserve or the Bureau of Economic Analysis. These free calendars are useful, but traders can also customize their own list and include only the releases that matter most to them.

Designing a Sector-Specific Calendar (e.g., Oil Market)

You can create an oil-focused economic calendar by adding releases from major oil-producing regions, the weekly report from the U.S. Energy Information Administration, and the quarterly filing dates of the oil companies you want to follow. This approach gives you a customized tool that highlights only the releases you care about, helping you act with precision and avoid wasting time.

Trading economic events

Important economic news or events can trigger large market swings, and a single move can sometimes shift prices by several percent in one direction. This is why you must know which releases can influence the markets so you can improve your trading decisions. If you trade the news using an economic calendar, you can deepen your understanding by reading educational content and market analysis. IronFX’s research team publishes daily market articles and detailed analyses that highlight major events capable of moving currencies in the US and other leading economies.

How do I read an Economic Calendar?

• Check the time for each release

All data appears in chronological order for each day of the week. On Monday, for example, you can see the release times for every country and view the market consensus. You can also check whether the figures may come in below expectations or match them. When new data is released, the calendar page refreshes automatically so you don’t miss anything.

• Countries and currencies

A flag icon shows the country of each data release, allowing you to see quickly which currencies may be affected that day or on specific dates.

• Impact

Under the volume indicator, you will see labels for low, medium, or high impact, helping you identify which events are likely to move the market the most.

• Actual/Consensus/Previous

For each economic calendar indicator, you will see the Previous number, which shows the last release. The frequency may vary, such as monthly or quarterly, depending on the indicator. Most indicators also include a Consensus number, reflecting experts’ expectations. When the Actual data is released, it appears on the right side next to Consensus and Previous, allowing you to compare all three easily.

Rewards of using an Economic Calendar

The economic calendar is a valuable tool that traders of all skill levels can use to track and monitor important events across multiple markets.

Plan ahead

If you are an active CFD trader, or you are targeting a specific market such as forex and want to check the economic calendar daily, you can determine which events or releases will cause market volatility for those currencies you are trading. For example, the foreign exchange calendar would allow you to prepare ahead of the release of the NFP report which tends to create significant volatility for the greenback but also other related currencies.

Управление рисками

Risk management is very important in trading and all traders should include a solid risk management plan in their strategy. Markets are always unpredictable and extremely volatile market conditions can easily wipe out your account if you’re not careful and you trade without a plan. Being prepared with the help of a calendar will allow you to make informed decisions and have the opportunity to target any upcoming events that may create significant moves in the market.

If you have an exit strategy like scalping in place you may protect against risk. So when important releases have an effect on the markets, you will be able to focus on making small profits off small price changes.

Understanding market dynamics

An economic calendar will help you improve your understanding of how the global markets work. With an economic calendar, you can monitor the news, examine how currencies react to certain news and gain greater insight into a potential market you may want to enter. Once you are properly prepared and have the knowledge, you will be able to determine the right entry and exit points and start trading confidently.

Disclaimer:
This information is not considered investment advice or an investment recommendation, but instead a marketing communication. IronFX is not responsible for any data or information provided by third parties referenced, or hyperlinked, in this communication.