Economic Calendar

The economic calendar offers information about economic events in a given country. These events are classified as weak, moderate, or strong based on the extent of their impact on the market. Such events offer information about the state of a specific economic activity.

For example: In the United States, the unemployment rate is considered a powerful indicator, measuring the percentage of the country’s idle labor force seeking job opportunities. The economic calendar includes three basic data entries for such indicators: the previous value (representing the value of the latest release), the expected value (representing the expected value before its release), and the actual value (representing the current value authenticated with data)

Traders can take action based on the deductions they make from the data contained in the event. If the value is as expected, then traders can maintain their positions, excluding any adjustments. If the value is greater than or less than expected, traders may make different choices based on the index type.

For example: If the value of a country’s unemployment rate exceeds the expected value, this is a negative factor that will have an impact on the value of the currency or commodity relating to that country. If the value is lower than expected, this will act in favor of the currency or commodity relating to that country. This way, the trader can make decisions to open or close positions based on the index value and the insights obtained.

Market Forecast: The economic calendar can be used to make market forecasts by analyzing news, comparing it with previous releases, and predicting trends in the financial market, currencies, and commodities.

Monitoring economic performance: The economic calendar can be used to record economic performance data such as economic growth rates, inflation rates, and unemployment rates, and compare them with forecasts and past trends.

Evaluation of economic policies: The economic calendar can be an effective tool in evaluating different economic policies and documenting their results and impacts.

Data Analysis: Using economic analysis techniques, the economic calendar can be used to prepare a report on the financial markets and analyze them in an organized and systematic manner.

Recording Notes and Thoughts: Individuals can use the daily economic calendar to record their thoughts and observations about current economic events and their impact on the market and the economy in general.