Any person with a shred of knowledge and understanding in finances can probably tell you that there is no “right” way to maintain a financial policy, much in the same way that they’ll likely tell you that establishing a successful one is likely twice as hard, for a lot of countries it’s a matter of trial and error, of finding what works and what doesn’t. But sometimes, some countries strike success with finances and spend decades cultivating a policy, such is the case with Norway, it’s spent many years establishing a nation that is widely regarded as having the best social care, health care, low unemployment and the highest possible standard of living.
But great as The Norway state might be, could their finances and currency be equally as strong? Or is it a case of cultivating one aspect while neglecting the other? And how will that reflect on your decision to trade Norwegian Krone binary options?
Considering some of the social benefits given to citizens of Norway it should come as no shock that the biggest employer in the market is the government itself, and by a wide margin, with oil production, agriculture and manufacturing running behind.
Comparing the two economies as a basis for prediction for the pairing might not be a good thing for you to do, with the simple reason being that the two are markedly different and only overlap in very small sections which allow for comparison.
With that in mind, trading in USD/NOK binary options should mostly be about comparing each economy to its own previous successes or failures as basis for the future direction of its currency, and as a result, the pairing.
Norway does not trade a lot with the US itself, but exports most of its goods and commodities to the UK and the EU so changes with trade to those areas can have a direct impact on the relative strength (or weakness) of the Krone as it relates to the Dollar, that may be the biggest factor impacting the USD/NOK pairing.
Unemployment is quite low in Norway in comparison, certainly by comparison to the US, and while the industries are substantially different, both economies remain quire vulnerable to changes in unemployment rates, the US is possibly more Immune to this than Norway, but changes in unemployment will also quickly impact the pairing.
Another item you may want to consider might be the performance of oil and price predictions that relate to it. Norway is not one of the true leading exporters of the black gold by comparison, however, relative to other exports, oil takes up a substantial stake of its income, and is therefore held in high regard, Norway’s relative proximity to northern parts of Europe make the sale and transport of oil easier and less time consuming than transfers coming in from, say, Russia. While the quantities are vastly different, Norway may be able to fulfill at least some of Western Europe’s need for oil should the Russian supply decline for any reason, which will, once again, impact the strength of the Krone in trading.
Pay attention to all of these factors and you can avoid being left out in the freezing cold of Norway while trading USD/NOK binary options.
You can trade NOK binary options by opening a binary options account.