Felix Homogratus
Commander in Chief
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US NonFarm Employment Change comes on the first Friday of every month at 8:30 am New York Time.
What they do is calculate the number of jobs in US this month versus previous month. When the number is positive, it means that there are more jobs in US this month over previous month. When the number is negative, it means that there are less jobs in US this month over previous month.
Higher number signifies that US economy is doing better, which in turn means that US will be more likely to eventually increase its interest rate. When interest rate of a country is higher, it attracts investors to buy its currency, which increases the value of the currency versus other currencies.
So, when US NonFarm Employment number comes out better than expected, traders tend to speculatively buy US dollars, so GBP/USD tends to go down. When US NonFarm Employment number comes out worse than expected, traders tend to speculatively sell US dollars, so GBP/USD tends to go up.
To read more about US NonFarm Employment, visit the official website that releases it. The link is U.S. Bureau of Economic Analysis (BEA) - bea.gov Home Page
I highly recommend you see the history of this indicator and charts of how it affected USD/CAD and other currencies. You can do that by following this link: Forex News Trading | Details and History for USD Nonfarm Employment Change
If you want to receive detailed instructions on how to trade this economic indicator one day before it comes out, please sign up for my free trading signals by following this link: Forex Daily Trading Signals - Forex Peace Army Forum
What they do is calculate the number of jobs in US this month versus previous month. When the number is positive, it means that there are more jobs in US this month over previous month. When the number is negative, it means that there are less jobs in US this month over previous month.
Higher number signifies that US economy is doing better, which in turn means that US will be more likely to eventually increase its interest rate. When interest rate of a country is higher, it attracts investors to buy its currency, which increases the value of the currency versus other currencies.
So, when US NonFarm Employment number comes out better than expected, traders tend to speculatively buy US dollars, so GBP/USD tends to go down. When US NonFarm Employment number comes out worse than expected, traders tend to speculatively sell US dollars, so GBP/USD tends to go up.
To read more about US NonFarm Employment, visit the official website that releases it. The link is U.S. Bureau of Economic Analysis (BEA) - bea.gov Home Page
I highly recommend you see the history of this indicator and charts of how it affected USD/CAD and other currencies. You can do that by following this link: Forex News Trading | Details and History for USD Nonfarm Employment Change
If you want to receive detailed instructions on how to trade this economic indicator one day before it comes out, please sign up for my free trading signals by following this link: Forex Daily Trading Signals - Forex Peace Army Forum
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