Traders who don’t shy away from fundamental analysis know that IQ Option provides an economic calendar, which is available directly on the website here. The economic calendar reflects events of major importance in the financial world, which may affect certain assets and cause movements in their price. How to read the economic calendar and make sense of the numerous events, which often have complicated descriptions?
The truth is, understanding the economic calendar may substantially enhance many traders’ technique. However, the calendar might seem quite complicated at the first glance. Here is a thorough explanation on what exactly the economic calendar events mean.
How to read the economic calendar?
First of all, let’s look at the structure of the economic calendar to know what information is at our disposal. For this, let’s break the economic calendar page into several parts and look at each of them individually.
Filters: type, date, impact and more
The first part of the calendar is the settings which allow you to adjust the calendar to your personal needs. Here you can choose, whether you wish to check the economic news, for instance, reports on unemployment, budget statements and inflation rates or whether you are interested in earnings reports for certain companies. If it is the latter, you can switch to the “Earnings” tab.
Another setting you can change is the date — check the current, previous or next week or even month, depending on what you are interested in.
By clicking on the “Filters” button, you will be able to expand the menu and choose specific countries, choose the categories of the economic events and filter them by importance (“low”, “medium” and “high” impact).
To view events for a certain day, simply click on the date and scroll down. For instance, let’s have a look at the events of Wednesday, April 14th.
Events & forecasts
After choosing Wednesday, April 14th in the schedule, we are presented with a calendar of economic events which take place on this particular date. The list may show different types of events that are expected to influence the market. It may be a report on unemployment, a budget statement as it was mentioned before, or even a political speech of high importance.
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