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Sentiment Analysis

Sentiment analysis analyzes the forex market to understand how participants view a particular forex pair of the whole market. Usually, sentiment analysis is used to find reversal trading opportunities. If the market is very bullish on future prices, then the market might be overbought and due for a fall, and vice versa when the market is very bearish. Forex traders analyze the news, social media, economic data, and analyst reports to analyze the current market sentiment.

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