3. Foundation #3: Follow and understand the daily Forex News and Analysis of the professional currency analysts.

Even though this system is based solely on technical analysis of charts, it is
important to get a birds-eye view of the currency markets and the news that
affects the prices. It is also important that you know and understand what the
key technical �support� and �resistance� levels are in the currency pair that you
want to trade. Support is a predicted level to buy (where currency pair should
move up on the charts), resistance is a predicted level to sell (where the
currency pair should move down on the charts).

Fortunately, all the best Forex news and analysis is offered free on the
Internet. Here is what you should do first:

* While you are reading the daily news and technical analysis, write
down on a piece of paper what direction the analysts are saying
about the major currency pair you are following and the key support
and resistance levels for the day.

A. Go to www.forexnews.com and you will find 24hr news and analysis on
the spot FX markets. The site will give you the big picture of how the
economic calendar and central banks affect the currency markets. A
great resource.

B. Then go to www.fxstreet.com and click on the �Top Forex Reports�. Here
there is a wonderful listing of all the major daily currency analysis and
forecasts with support and resistance and direction forecasts.

C. Click on www.currencypro.com and go to �Today�s Market Research� and
there you will find more excellent analysis on the Major Currency pairs.
Another great Forex Portal.