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Forex Trading Signal 02/07/08

Discussion in 'Current Forex Trading Signals' started by Crazy Cat, Feb 7, 2008.

  1. Crazy Cat

    Crazy Cat Former FPA Special Consultant

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    This is Sir Pips.

    If you wish to watch the video, just click on it, and then click on "play" icon. My video version is MUCH MORE detailed so I encourage you to watch it. There are two parts today.





    Part 1: HI-res.: 02-07-2008review.swf
    Part 2: HI-res.: 02-07-2008preview.swf

    Let's first review Wednesday.

    It was a lot of snow in Chicago. It was expected it would be even as much as 16" of snow but the average consensus was around 12 inch. It came out disappointing, way less than 16" or 12" but still perfect conditions to stay home, drink a hot cup of coffee, and make some money on Forex :) Chicago O'Hare Inernational Airport canceled 300 flights, and most, if not all, schools were closed (so actually kids should not be disappointed but cannot say the same about their parents). Unfortunately, I did not give you any triggers for that snowstorm so it was a no trade.

    See how much snow we had on parking lots: Picture 1 : Picture 2


    Well, let's go back to the business.

    First report was Canadian Building Permits which came out a little bit better than expected but not enough to enter us a trade. The price moved about 20 pips but it was a no trade here.

    Then we had Canadian Ivey coming out. It was a huge trigger of 10.2, or with 47 consensus 9.7 trigger - definitely worthy trading. It gave about 45 pips of a price action so there was a big opportunity to make money on this one.

    At 4:45 we had New Zealand Employment Change. Both numbers were pointing towards New Zealand dollar strength. Depending on the broker you used, you could have made some money but some others widened the spread so some people were able to enter around 80. When you look at charts it may look great but due to spread and liquidity problems it was not a great opportunity unless you waited patiently for the retracement and entered at right price which was difficult to do. Most people made a few pips, however.

    Yesterday I mentioned shorting on GBP/JPY (especially on the video version) and I was predicting we will see 207.00. Well, we did see 207.75 but I still think it will go even lower. Watch the video for more details.

    Let's now talk about Thursday.

    1. Thursday, February 07th, 2008 (4:30 a.m. New York Time) UK
    At 4:30 a.m. New York time we will have UK Industrial Production coming out. To stay safe, especially because of the Interest Rate statement coming out later on, I will use 0.4 trigger on this. If it comes out at 0.6% or higher, I would consider buying GBP/USD, looking for 35 to 40 pips. If it comes out -0.2 or lower, then I would sell GBP/USD, looking for 35 to 40 pips as well.

    2. Thursday, February 07h, 2008 (7:00 a.m. New York Time) UK
    At 7:00 a.m. we will have UK Interest Rate decision coming out. It is widely expected they will cut the rates from 5.50% to 5.25%. Right now, the market is completely priced in. The only way to trade this one is to place the trade if they do NOT cut the rate or if they do cut the rates by 50 bp. If they cut to 5.00%, then you can sell GBP/USD and expect about 50 pips price action. I would not trade GBP/JPY because the rate cut would actually help equity market relief. If it comes out at 5.50% (so no cut), I would buy GBP/USD and look for 50 pips of the price action within 15 minutes to 1 hour.

    3. Thursday, February 07h, 2008 (7:45 a.m. New York Time) EUROZONE
    At 7:45 a.m. we will have Eurozone Interest Rate statement. It is widely expected they will leave the rates unchanged at 4.00%. If they cut by 25 bp which is pretty unlikely, then you can sell EUR/USD, looking for 45 to 50 pips, at least - maybe even 100 pips.

    4. Thursday, February 07h, 2008 (8:30 a.m. New York Time) EUROZONE
    At 8:30 a.m. we will have Trichet speech. In my opinion, writing it here would be very confusing for most people. If you are interested, watch the video, and make sure you know what you are doing. This is not for beginners.

    5. Thursday, February 07h, 2008 (10:00 a.m. New York Time) USA
    At 10:00 a.m. we will have U.S. Pending Home Sales. I would stay away from it.

    That's all for Wednesday.

    If you are interested more in trading news, go to Forex Diamonds - News Trading Education as I am trading there all of mentioned indicators live. Join the room, and get a lot of education from me and other traders that are there. I post trade plans and talk about the trades as well as give entry and exit signal live while the market moves. You can try it with no risk for 21 days so if you don't like it it is free. If you find it useful, then you can stick with us and make grow you live account with us. I am pretty sure you will be satisfied but at least give a try.

    Thank you and good luck with your trades.

    To Our Success!
    -Sir Pipsalot



    The video with the signal is recorded by Sir Pipsalot.
    For your convenience, this text is written based on the video by Crazy Cat
     
    #1 Crazy Cat, Feb 7, 2008
    Lasted edited by : Aug 15, 2015

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