What Actually Moves Currency Prices: Trade Surpluses, The Trilemma, and Economic Data
While new Forex traders often focus heavily on technical charts, macroeconomic forces like a country's trade balance and central bank policies are the actual drivers of currency values. This article explores key fundamental concepts—including the 'Trilemma,' the U.S. Treasury, and the 'Base Effect'—to help Indian beginners understand why exchange rates fluctuate. By grasping these real-world economic mechanics without the overwhelming jargon, you can read market news more clearly and make better-informed trading decisions.
















