empty
16.04.2025 07:06 AM
What to Pay Attention to on April 16? A Breakdown of Fundamental Events for Beginners

Analysis of Macroeconomic Reports:

This image is no longer relevant

A few macroeconomic events are scheduled for Wednesday, but some important reports will be released. However, the current key issue is not the reports' significance but how the market will react to them — and whether it will pay any attention. It's no secret that over the past two months, the market has been trading purely based on "Trump news," any announcement related to the escalation of the trade war triggers another sell-off of the U.S. dollar. Thus, today's reports may lead to a slight dollar rebound, but they are unlikely to change the overall trend. Today's most important data includes U.S. retail sales and the UK inflation report.

Analysis of Fundamental Events:

This image is no longer relevant

There's still little point in discussing fundamental topics other than Trump's trade war. The dollar's decline could continue indefinitely. We recommend that traders closely monitor statements from key leaders of major countries and alliances regarding tariffs. In the Eurozone, for example, officials have stated that they've achieved "modest progress" in negotiations with the Trump administration. However, "modest progress" is not enough to support the dollar. Meanwhile, Trump has announced his intention to impose tariffs on semiconductors, which affects many countries globally. The trade standoff with China remains unresolved and continues to be the market's top priority.

General Conclusions:

On the third trading day of the new week, both currency pairs could move in either direction. The British pound is rising steadily while the euro remains flat. Macroeconomic releases scheduled for today could affect currency movements, but the market's reaction to them is unpredictable. Technical levels are also not being respected consistently and are often ignored altogether.

Key Rules for the Trading System:

  1. Signal Strength: The shorter the time it takes for a signal to form (a rebound or breakout), the stronger the signal.
  2. False Signals: If two or more trades near a level result in false signals, subsequent signals from that level should be ignored.
  3. Flat Markets: In flat conditions, pairs may generate many false signals or none at all. It's better to stop trading at the first signs of a flat market.
  4. Trading Hours: Open trades between the start of the European session and the middle of the US session, then manually close all trades.
  5. MACD Signals: On the hourly timeframe, trade MACD signals only during periods of good volatility and a clear trend confirmed by trendlines or trend channels.
  6. Close Levels: If two levels are too close (5–20 pips apart), treat them as a support or resistance zone.
  7. Stop Loss: Set a Stop Loss to breakeven after the price moves 15–20 pips in the desired direction.

Key Chart Elements:

Support and Resistance Levels: These are target levels for opening or closing positions and can also serve as points for placing Take Profit orders.

Red Lines: Channels or trendlines indicating the current trend and the preferred direction for trading.

MACD Indicator (14,22,3): A histogram and signal line used as a supplementary source of trading signals.

Important speeches and reports, which are consistently featured in the news calendar, can significantly influence the movement of a currency pair. Therefore, during their release, it is advisable to trade with caution or consider exiting the market to avoid potential sharp price reversals against the prior trend.

Beginners in the Forex market should understand that not every transaction will be profitable. Developing a clear trading strategy and practicing effective money management are crucial for achieving long-term success in trading.

Paolo Greco,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

What to Pay Attention to on June 2? A Breakdown of Fundamental Events for Beginners

Quite a few macroeconomic reports are scheduled for Monday, but only one truly important one. This concerns the U.S. ISM Manufacturing PMI. It's worth recalling that two business activity indices

Paolo Greco 06:07 2025-06-02 UTC+2

GBP/USD Overview – June 2: Another Surprise from Donald Trump

The GBP/USD currency pair experienced low volatility on Friday, but last week's events can already be overlooked — Trump never sleeps. Traders barely had time to recover from last Thursday's

Paolo Greco 03:55 2025-06-02 UTC+2

EUR/USD Overview – June 2: The American Circus Gains Momentum

The EUR/USD currency pair traded calmly on Friday, but this calm will not last long. Last week, particularly on Thursday, another storm erupted in the market, caused by a familiar

Paolo Greco 03:55 2025-06-02 UTC+2

EUR/USD. Hello June: ISM Indices, Eurozone Inflation, ECB Meeting, and May Nonfarms

The economic calendar for the upcoming week is packed with important events. The first week of every month is traditionally the most informative for EUR/USD traders, and June will

Irina Manzenko 01:48 2025-06-02 UTC+2

U.S. Dollar: Weekly Preview

The economic news background in the U.S. will be very strong. It's the beginning of a new month, so reports on business activity, the labor market, job openings, and unemployment

Chin Zhao 00:52 2025-06-02 UTC+2

British Pound: Weekly Preview

The British pound is currently experiencing what is arguably one of its best periods in the last 15 years. Of course, during such a long period, there have been moments

Chin Zhao 00:52 2025-06-02 UTC+2

Euro: Weekly Preview

The euro continues to experience no issues in its current trajectory. I would even say it hasn't had such a good period in quite a long time. Most importantly, this

Chin Zhao 00:52 2025-06-02 UTC+2

XAU/USD. Analysis and Forecast

Gold is declining below the $3300 level today. U.S. PCE data met expectations. A shift in trade flows is helping the U.S. dollar regain positive momentum. This is also undermining

Irina Yanina 17:37 2025-05-30 UTC+2

Inflation Is Almost Under Control

While the euro continues to hold its ground against the dollar, European Central Bank (ECB) Governing Council member Fabio Panetta indicated during an interview today that inflation in the eurozone

Jakub Novak 13:40 2025-05-30 UTC+2

USD/CAD. Analysis and Forecast

The USD/CAD pair is attempting to regain positive momentum today, though traders remain cautious ahead of the key U.S. Personal Consumption Expenditures (PCE) Price Index release. As a preferred inflation

Irina Yanina 13:22 2025-05-30 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.