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Forex traders particularly must pay close attention to economic indicators as they are released daily. The data can have a direct effect on the value of a nations currency in the fx market. Given the significant impact that economic indicators can have on exchange rates, it is advisable to be aware in advance when and which data points are due for release.
It is also likely that fx market rates will experience increased volatility during the time leading up to the release of an important indicator and post the release. It is a method of evaluating securities by analyzing data generated by market activity, such as past prices and volume.