1) Monetary policy. When the central bank thinks that the intervention in the foreign exchange market is effective and the intervention result will be consistent with the government's monetary policy, the central bank's participation in the foreign exchange market will affect the exchange rate. The judgment of other market participants on the influence of government monetary policy on exchange rate and the expectation of future policies will also have an impact on exchange rate.
2) Political situation. The stability of political situation is related to the stability of currency. Generally speaking, the more stable a country's political situation, the more stable its currency.
3) Balance of payments. A country's balance of payments reflects its economic status in the world and also affects its macro-and micro-economic operation. In the final analysis, the impact of the balance of payments situation is the impact of foreign exchange supply and demand on the exchange rate.
4) interest rate.
5) Market judgment. Personal feelings, judgments, and analysis and understanding of various global political and economic events all have an impact on the exchange rate.
6) speculation. Speculation will lead to the flow of different currencies, which will affect the exchange rate.
The change of exchange rate is often influenced by many factors, and a single factor cannot determine the overall trend of the foreign exchange market. As an investor, you can only judge according to the general trend of the market.