As is the case on all financial markets, psychology is also very present on the Forex. It has also a very important role in price movements. Indeed, theoretically, the prices of different currencies should depend on the economic and social environment and only of it. But in practice this is never checked because the market psychology takes over and very often alone determines the evolution of the different courses.

The economy is not and will never be an exact science, let it be said! The simplest proof of this assertion is that all traders do not have the same attitudes to markets.

Some traders base their strategies on technical analysis, others prefer fundamental analysis, which sometimes give conflicting results. It is impossible to accurately predict price trends. Moreover, it is into this breach that becomes embedded market psychology sometimes to its own law.

The result of trading is more dependent on knowledge of economic and financial data market, but simply the number of traders who will adopt the same behavior.

The announcement effects also illustrate the growing importance of psychology in Forex. Indeed, it is often sufficient that a newspaper ad economic strength of the market or a stock market crash for it to happen.

The evolution of financial markets and the Forex is such that today, many trading robots are on the market. By themselves, the trading robots more than 40% open position. These are of course identical behavior based on the same indicators and the same signals. Thus, they all react the same way and self-feed. Nevertheless, the high liquidity of the Forex is such that the market is not sufficiently influenced so that robots dictate their law.