It is definitely one of the things you should have in your arsenal! In a nutshell, the Forex Factory calendar will show you the scheduled news events for the week.

It streamlines and arranges these news bites, ranking them from low to high impact. You can even personalise and input your time zone so that you will be able to view news events based on your local time.

With all of the amazing, user-friendly features that this forex news calendar has, it is inevitable you will hear get used to it being mentioned in the industry. Mastering this tool will help you make the most out of your investment, through careful considerations based on this application. The forex factory calendar It is undoubtedly one of the most advanced and understandable economic calendars out there. It has been designed to be accessible to every kind of trader from every experience and skill level.

If you are keen on finding out just what makes Forex Factory calendar so special, then we have a lot of bases to cover. Apart from displaying the dates of the key economic data featured, the Forex Factory calendar also contains data of impact ratings, an adjustable time zone, real-time data release, real-time links to event sources, and economic charts.

These pieces of information are neatly organised on a comprehensive viewing chart that allows for you to set your sights on what you want to see by setting your preferred relevant filters. Through this, you will be able to access only the things that will be relevant to you. Having these at your fingertips is definitely useful and provides a great level of insight as you make your Forex trading decisions! You will be able to know exactly how to best position your trade, based on these data releases.

The Forex Factory calendar is a cornerstone of useful information, but it does not end there. Its strongest backbone is its team of highly trained experts. These professionals are consistently keeping tabs and updating relevant information at regular intervals. You know you will be in good hands, since these trained and experienced financial economists are working hard to keep the calendar updated and give you the freshest, most useful pieces of information and forex trading nuggets.

There is a reason why the Forex Factory calendar has gained and retained the trust of many traders over the years. It is because of the accurate news and information that they deliver, aiding in the decision-making of many traders. The fact that it is developed and maintained by some of the most experienced Forex professionals says a lot about the quality it puts out. However, its reliability is one of its strongest suits as well. In fact, many other Forex trading sites adopt the Forex Factory economic calendar and incorporate it into their own internal calendars!

If you have set your sights on using the Forex Factory calendar to take your Forex trading skills further, then we have got you covered with this handy guide. All you need to do is follow our step-by-step guide and you will master this tool in no time!

The first thing that you need to get done is to pull up the site for Forex Factory calendar. As we mentioned earlier in this article, one of the greatest strengths of the Forex Factory calendar is that you can tailor fit the news events to display according to your own time zone. The Forex Factory website is indeed a great resource for all categories of traders. Here you get to see traders and market players from the retail and occasionally from the institutional side of the market.

The Forex Factory online forum also provides traders with several tools that are built to enable them profit from the market. One of these tools is the forex calendar, also known as the economic news calendar or simply the economic calendar. The forex calendar is simply put, a schedule of news releases impacting the socio-economic and political sphere of several globally important economies. The news releases that can be found on the forex calendar include news about interest rate statements , inflation data , data on housing, employment and trade.

These releases are displayed for various countries at various times and dates displayed on the forex calendar. As far as the forex calendar on Forex Factory goes, traders can get a good number of benefits from using this tool. It is important for news traders in forex who want to use the forex calendar on Forex Factory to understand the features that are available for maximization of its use.

The forex calendar on Forex Factory looks just like the snapshot shown above. On the left, there is the navigation tab showing the current month, as well as various links which can be used to display the forex calendar for the next day, the next week, month and even the previous day, week or month. There are various arrows on the left of the monthly calendar display on the ForexFactory.

com calendar. You can use these arrows to make the selections for the dates you would like to see on the forex calendar. The section in the middle of the interface shows the news events that are released at specific times and dates. We also see the numbers for the news items on the interface as well as tabs which conceal the news details. In the middle of the screen lies the listing of the news events. There are several important keys here.

Moving from left to right, the forex calendar on forex factor shows the date on which the news will be released, as well as the time of release. Traders have the option of changing the time zone that will be displayed by clicking on the time tab located directly above the time column. This provides the trader with the option of changing the time listing from the default display of Eastern US time which is 5 hours behind GMT or 4 hours behind GMT when the Daylight Savings Time setting is on between the months of March and October to another time zone.

The next item displayed is the currency of the country that will be affected by the news trade. Also note that you can quickly select predetermined time frames in the bottom half of the navigation pane.

Pro Tip: Choosing to see the entire week is often the best approach when trading the higher time frames. This allows you to prepare for the next few days rather than just the next 24 hours. Be sure to use this feature with caution. It can be far too easy to get caught up in the nuances of each event. From the screen above, you can see additional details such as the source, frequency and history of the event to name a few.

Before we move on, I want to reiterate how important it is to use these additional details sparingly, if at all. The real advantage to using a calendar as a technical trader lies in the scheduled time and expected impact of the news.

Anything more than that and using a news calendar can become more of a distraction than an asset. That concludes the process of setting up the Forex Factory news calendar. Knowing how to set up the Forex Factory calendar is one thing, knowing how to use it properly is quite another.

The first thing to understand is that you only want to focus on the market-moving events. This means setting the filter to include only the medium and high-impact news events.

Pro Tip: Below is a list of some of the major news events you should keep an eye on as you trade the Forex market. By now you should have the time zone, filter and time frame set for your calendar. You should know how to view additional details of a news event as well as which events are most likely to cause an increase in volatility.

Next we will get into how to strategically position your trades around major news events so as to minimize your risk. The reason we want to use the Forex Factory calendar is to know when market-moving news is expected and thereby avoid or prepare for periods of high volatility. As such, I want to run through a few basic rules when it comes to trading around the news. All of the scenarios below assume that the news event in question would hypothetically impact your trade.

For example, trading USDJPY with Nonfarm Payrolls NFPs on tap. This is obviously the safest place to be with major news around the corner. You have nothing at risk and you get to objectively analyze the price action that forms as a result of the news. How much time is needed between putting on a new position and a scheduled news event that could adversely affect that position?

As a general rule, I like to see at least a 24 hour window in which there is no scheduled major news before putting on a trade.

This of course can change depending on the last two factors listed above. This scenario involves an open position that is in profit, but stands a good chance of turning negative if the news event in question adversely affects the position.

Should you close the trade and book a small profit to be safe? But then what if the market moves in favor of your position? If you close it now you risk missing out on potential profits. Your number one job as a trader is capital preservation. Making money always comes second. I can always get back in later if the market presents a favorable opportunity. When a high impact news event is around the corner and you have a position that is well into profit, you have more options.

One thing that can influence your decision here is how far away your trade is from its profit target. In this case I would be more likely to close the trade before the news event to book profits. Your other options are to take a partial profit and leave the remaining position on or keep the entire position open throughout the event.

But one thing is certain, you have a lot more options with a position that has run into considerable profit.

The Forex Factory Calendar is by far the most user-friendly and accurate calendar to keep track of Forex-related news events. By the end of this tutorial, you will know how to use the calendar as well as how to read it in a way that is beneficial to your trading. Free PDF Guide: Want to learn how to use the Forex Factory news calendar in 5 simple steps?

Click here to download the exclusive PDF guide. This is especially true for heavy-hitting news that can adversely affect the market. Not only can this type of news affect an open position, it can cause slippage and gaps that can wreak havoc for pending orders. The very first thing you want to do is navigate to the Forex Factory calendar. It will all make sense by the end of the tutorial. To do this, simply click the time in the upper right hand corner. After clicking the time stamp, you will be taken to a page where you can set your time zone.

This will synchronize the time for each news event with your local time. Note: Setting the correct time zone is extremely important. If not set, it will be difficult to determine the correct time for each news event.

At this point you also have the option to turn Daylight Savings Time DST on or off. After saving your settings, you should now see the correct time displayed in the upper right hand corner of the screen. If not, repeat step 2 to make sure your settings were saved properly. At this point you should have the Forex Factory calendar in front of you with each news event synchronized with your local time.

Next we are going to set the event filter to determine the type of news and currencies to display. This is convenient if you only want to display certain types of news events or are only interested in specific currency pairs. This screen gives you the ability to filter events by expected impact, event type as well as currency.

In short, red equals high-impact, orange is medium-impact and yellow represents low-impact news. I personally like to focus on the medium and high-impact news events. This gives me a complete picture of what to expect over the coming days without cluttering the calendar with news that will have little impact on the markets. You can change this any time by repeating this step. You should now have your time zone set and your filter configured the way you want. This is the span of time that will be shown on the calendar.

From this window, you can choose a single day, a week or even the entire month. Also note that you can quickly select predetermined time frames in the bottom half of the navigation pane. Pro Tip: Choosing to see the entire week is often the best approach when trading the higher time frames. This allows you to prepare for the next few days rather than just the next 24 hours. Be sure to use this feature with caution. It can be far too easy to get caught up in the nuances of each event.

From the screen above, you can see additional details such as the source, frequency and history of the event to name a few. Before we move on, I want to reiterate how important it is to use these additional details sparingly, if at all.

The real advantage to using a calendar as a technical trader lies in the scheduled time and expected impact of the news. Anything more than that and using a news calendar can become more of a distraction than an asset.

That concludes the process of setting up the Forex Factory news calendar. Knowing how to set up the Forex Factory calendar is one thing, knowing how to use it properly is quite another.

The first thing to understand is that you only want to focus on the market-moving events. This means setting the filter to include only the medium and high-impact news events. Pro Tip: Below is a list of some of the major news events you should keep an eye on as you trade the Forex market. By now you should have the time zone, filter and time frame set for your calendar.

You should know how to view additional details of a news event as well as which events are most likely to cause an increase in volatility. Next we will get into how to strategically position your trades around major news events so as to minimize your risk. The reason we want to use the Forex Factory calendar is to know when market-moving news is expected and thereby avoid or prepare for periods of high volatility. As such, I want to run through a few basic rules when it comes to trading around the news.

All of the scenarios below assume that the news event in question would hypothetically impact your trade. For example, trading USDJPY with Nonfarm Payrolls NFPs on tap. This is obviously the safest place to be with major news around the corner. You have nothing at risk and you get to objectively analyze the price action that forms as a result of the news.

How much time is needed between putting on a new position and a scheduled news event that could adversely affect that position? As a general rule, I like to see at least a 24 hour window in which there is no scheduled major news before putting on a trade. This of course can change depending on the last two factors listed above. This scenario involves an open position that is in profit, but stands a good chance of turning negative if the news event in question adversely affects the position.

Should you close the trade and book a small profit to be safe? But then what if the market moves in favor of your position? If you close it now you risk missing out on potential profits. Your number one job as a trader is capital preservation. Making money always comes second. I can always get back in later if the market presents a favorable opportunity. When a high impact news event is around the corner and you have a position that is well into profit, you have more options.

One thing that can influence your decision here is how far away your trade is from its profit target. In this case I would be more likely to close the trade before the news event to book profits.

Your other options are to take a partial profit and leave the remaining position on or keep the entire position open throughout the event. But one thing is certain, you have a lot more options with a position that has run into considerable profit.

By now you should know how to configure your Forex Factory calendar as well as how to manage news events. I have written before about how to use the news to gauge market sentiment. However this time I want to talk about actually reading the news through the price action strategies that form on your chart. What is a pin bar, really? How about an inside bar? You probably know what they look like, but have you ever thought about why they form?

These two strategies have a common thread — they are both the byproduct of news. Whether it be something that was just announced or a more gradual flow of news that causes market sentiment to either fluctuate or remain constant. However, the pin bar and inside bar really embody the essence of how news can influence a market. Pro Tip: Stick to the higher time frames 4 hour and daily in order to get a better feel for the impact of a major news event.

Some of the best pin bars form on the back of a major news event. In fact one of my favorite setups is the NFP pin bar. This is because NFPs are released at am EST and the 4 hour candle on my New York close chart closes at 9am EST, giving the market thirty minutes to react. The timing of a news event like this can often cause the price for US Dollar pairs to rise or fall quickly, thus forming a 4 hour pin bar.

The inside bar can be thought of as the opposite to the pin bar. While the pin bar represents a volatile push in either direction, the inside bar represents consolidation after a large move.

So whereas the pin bar forms as news is released, the inside bar often forms the day after a news release. This is why the inside bar setup is often referred to as a type of breakout strategy.

Pro Tip: While the pin bar can be traded on the daily or 4 hour time frame, the inside bar is best traded only on the daily time frame. The markets can move because of an unscheduled event or perhaps an event that has already passed and the market is just now realizing the impact. Regardless of how or when the news occurs, the two strategies above give you a quick and easy way to read the news via your charts. We have covered a lot of material in this tutorial.

Everything from how to configure the Forex Factory calendar to how to use it when trading price action. As such I would like to summarize some of the more important points to keep in mind when using the news calendar. First and foremost, the news calendar should never be used as a tool to help you enter the market. In other words, attempting to trade a news event for the volatility it causes is a surefire way to blow up a trading account.

The calendar can, however, be a great way to keep track of upcoming events. Knowing when these events are scheduled can help you make decisions about the timing of your entries. As a price action trader, you have a distinct advantage over other market participants using something other than price action.

You have the ability to read the news through your charts using strategies such as the pin bar and inside bar. Just remember to stick to the daily and 4 hour time frames with the exception of the inside bar, which should only be traded on the daily time frame. The Forex news calendar is a vital tool for any serious trader. It shows the scheduled news events for the week and usually ranks them from low to high impact.

I prefer the Forex Factory news calendar.

However, if you are just someone who is looking to strengthen your trading skills, then the Forex Factory calendar is definitely worth investing time in. This is because NFPs are released at am EST and the 4 hour candle on my New York close chart closes at 9am EST, giving the market thirty minutes to react. BOOK YOURS TODAY! Once there, it looks confusing, but bear with us. You know you will be in good hands, since these trained and experienced financial economists are working hard to keep the calendar updated and give you the freshest, most useful pieces of information and forex trading nuggets. You will be able to know exactly how to best position your trade, based on these data releases. Not only is this a negative for the Canadian Dollar CAD , but the deviation of the actual from the forecast number - 0.

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