5 World-wide changes that influence your trading process

Yesterday we barely scratched the topic of how the current American President is influencing the situation in the markets. And today it is time to look at the situation at a global scale.

We know that the situation in the world is changing non-stop. And we need to be alert at all times. That is why it is important to understand how exactly the situation in the world is influencing our trading present and future in order to be as successful as possible.

So. Let’s dive in – ways world politics and global changes might be influencing your trades.

1. War
2. Piece
3. Reforms.
4. Natural disasters.
5. Uncertainty in the future.



1. War.

in case there is a war between two or several countries the markets in the participating countries are not going to simply stop. Currencies of every country are traded worldwide, that is why the growth and changes in the currency value still partially lies on the markets.

War doesn’t necessarily kill the future of the currency. Of course, devastating consequence of war are undeniable, but the economic future of the currency strongly lies in how a certain country is perfected in the eyes of the world. If the image is positive, we can see that the currency is not going to slow down its trading pace and can even be uplifted.

If the country is viewed as aggressive and has bad reputation, trading if it currency is going to go down, of course.

And that is how wars can influence our trades. That’s why it is important to know which countries are currently at war with one another.




2. Peace.

Trading during stable times is a real treat for traders all around the world. But in reality trading peace is not nearly as stable as we prefer it to be. We always face different regulations as well as become the victims of difference of opinions of the strongest politicians in the world. that is how even the most peaceful trading day can turn into the horror of every trader.





3. Reforms.

Aaaahhh, economic reforms. If only you came not so rapid and unexpected as you usually do. It seems almost impossible to keep up with all of the changes that the world throws at us in economic sense of the word. Forex trading is now almost inseparably tied to the monetary reforms of the countries. How often did we fall victims to the unpredictably sharp reforms that came out of nowhere? Countless times!






4. Natural disasters.

Even though natural disasters have nothing to do with the so-called human factor, it seems fair to say that devastation after floods, fires, earthquakes and hurricanes is not only reflected in the lives of the local people. but in lives of traders all around the world. Currency market inevitable suffers.

In this case we see horrible devastations, ruined infrastructure, loss of life – all of that has a negative effect on the national currency as well as on the people. we simply do not want to get involved with trading the currency of the country, caught in the ruins at the moment. We need to see a healthy, uncharged economy that can bring us wins, not the economy bothered with its inner problems.

Add here a significant loss of consumer confidence and there you have it – the loss of economic stability in the region.




5. Uncertainty in the future.

All of the above-mentioned brings us to the final point – all of the political and economic changes in the world simply leads us to be uncertain in our future. and when we are uncertain of the future we do not tend to go out and spend our money. We tend to save them until better times. We tend to invest them into something that is going to be stable, like real estate for our children, cars and successful business.

So, in order for us to keep on trading without hesitation we need to understand what awaits us right around the corner and what is going to be tomorrow.



What economic and political changes changed your trading? Tell us in the comments!