​Forex Trading for Beginner​s > ​Resource​s > ​The Ultimate Guide to Forex Factory

forex factory

The Ultimate Guide
to Forex Factory

Updated for 2020

​What is Forex Factory?

Forex Factory is a free website that provides ​​news, economic data, market analysis, and other services to ​foreign exchange (Forex) traders​.

​Founded in 2004, it's one of the longest-running and most ​popular​ ​​Forex trading ​resources for ​independent traders.

I personally ​have Forex Factory ​on display at all times on my trading desk.

​In this guide, you will learn ​how to use this ​valuable ​website to​ ​help with your trading decisions.

News Calendar

The most popular feature in Forex Factory is its economic ​calendar.

While there are other websites that offer similar calendars, the one at Forex Factory is the most presentable and offers the best user experience.

Why It's Useful

Market prices are often driven by economic news announcements, especially on the ​short term time frames.

​By knowing ​the schedule of these announcements in advance, you can ​adjust your trades​ ​to ​handle ​​increase​d ​price volatility, or to avoid trading during ​these periods altogether.

forex factory calendar

​How To Use​

​At the most basic level, the calendar ​highlights the periods when potentially market-moving events are scheduled to occur.

news events

I​t lists the:

  • ​Date and time of the scheduled event
  • ​Currency that is typically affected by the event

Additionally, if ​economic data is ​released, ​the ​the calendar will also show:

  • ​The previous release number ('Previous')
  • ​The forecast ​number for this release ('Forecast'), and
  • ​The actual release number​ ('Actual')

​​To ​gauge the expected impact ​​on the ​market, each event is ​color-coded based on how much it ​typically ​affects ​the market price.