Forex Signal (Fri, Feb 19, 08:30 am EST) US CPI m/m

Crazy Cat

Former FPA Special Consultant
Messages
753
Hi there :)

On Friday, Feb 19th (08:30 am New York Time) we will have US CPI m/m coming out. It is expected to read 0.3. Last month it read 0.1.

I still believe it's a waste of time but in case if you missed my email a month ago I am mostly going to repeat myself.

Please read what this indicator means and how it affects the USD/JPY by going to this link: http://www.forexpeacearmy.com/forex-forum/economic-indicator-descriptions/7507-us-cpi.html

The trigger for this indicator is 0.4. This means that if US CPI m/m comes out at 0.7 or higher, USD/JPY will probably go up by 30 pips or more in the first 45 minutes of the report. If it comes out at -0.1 or more negative, USD/JPY will probably go down by 30 pips or more in the first 45 minutes of the report. 95% chance it will not deviate by at least 0.4, and the reason why I am giving such huge trigger is because I don't want to trade it but if I don't list this report, I will get a lot of emails asking why.

Currently, the United States of America is not concerned about inflation at all. CPI used to predict possible interest rate changes in the future, but we know for sure the FED will not cut the rates, and also they will not hike the rates either. Currently, the government if more concerned about unemployment and the growth in general, so they will not hike the rates anytime soon, at least they said so.

0.4 deviation is highly unlikely to see but if we see it, that would be really weird, and therefore the price may move. May or may not... Feel free to skip it... :)

So, even if it deviates, it will be kind of random price action. Sure, it may work but if you toss a coin, it may work as well.

If you are disappointed that my signal is basically "stay away", then keep in mind that part of the business is to know when to enter and when NOT to enter. This is type of the report that used to be really hot and even 0.1 deviation was sufficient to have a nice spike. Not the best call is stay in the bed if you live in the U.S. time zones.... :)

I still recommend you study the entire history and charts of this report by following this link: Forex News Trading | Details and History for USD CPI m/m

I hope you make some money on this report.
-Crazy Cat
 
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Crazy Cat

Former FPA Special Consultant
Messages
753
Crazy Cat,

After todays Fed news, do you think this is tradeable now?

Sir Pips thinks so.
Before I put my real money on it, I want to see it performing first. Once it performs, I may start trading it again.

I prefer to spend my money on shopping rather than losing on some lame indicators that may or may not work.
 
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