Knowing what upcoming events are going to affect the values of currencies is important. Financial and political news can greatly affect global economics and the value of one currency in relation to each other either creating trading opportunities or exposing trades to additional risk.
While it is true that many market-moving events happen without notice, most major economic events happen at preselected times with governments or central banks. All of these major financial events are collected and included in what is called an economic calendar. The wealth of data found in economic calendars makes them central to a traders planning and trading research.
For more information on how to manage your risk, our education section is packed with useful information. Particular attention should go to how to read forex charts, interest rates and how they affect the forex market, and different forex order types so that you find the best trading opportunities, trade news events, and reduce the risk in your trades.