Foreign exchange and futures investment are different, but foreign exchange is easier to grasp the fundamentals. Fundamental analysts believe that the strength of the currency reflects the quality of the country's economic situation. Although its strength may fluctuate temporarily due to the interference of other non-economic factors, it may also go against the economic constitution, but in the long run, its price will eventually return to a level commensurate with the economic situation. As for how to measure a country's economic situation, we have to adopt a relatively comparative method. For example, the economic growth rate of the United States in 1996 is estimated to reach 3%. In the view of fundamental analysts, this data can't judge whether the dollar should strengthen or weaken. It must be compared with the economic growth rate of the previous year and with that of major countries such as Germany and Japan. If the economic growth rate of the United States in the previous year was 2%, and the economic growth rate of Germany and Japan in 1996 was about 1.5%, then the idea provided by the 3% data to fundamental analysts is: The American economy is improving day by day, and its? Economic growth is better than that of Germany and Japan, and the dollar should be relatively strong against the mark or yen to reflect its economic strength. Fundamental analysts use this as an indicator of foreign exchange trading decisions, buying dollars and selling yen and marks. ?

The data reflecting an economic situation, that is, the so-called economic indicators, include many things besides the economic growth rate, such as trade deficit, budget deficit, money supply, consumer price index (retail price index), producer price index (wholesale price index), unemployment rate, housing operating rate, leading indicators and so on. As the focus of fundamental analysts' bets, the data will be published by relevant government departments on a regular basis. Such investors will collect and analyze the data and further analyze and compare them as the basis for judging the future trend of each trend.