1. purchasing power parity model: this model infers the currency exchange rate level of the two countries by comparing the price levels of the two countries.
2. Interest rate parity model: Based on the interest rate difference between two countries, this model predicts the long-term trend of the exchange rate of two currencies.
3. International portfolio model: Based on portfolio theory, this model predicts the capital liquidity of foreign exchange market.
4. Deposit reserve model: This model assumes that the change of deposit reserve will affect the money supply, and then predicts the exchange rate change by affecting the money supply.
5. Expected interest rate model: This model attempts to use the expectations of market participants for future interest rates to predict the currency exchange rate.