Hi there
Here is the video:
03-06-2009.swf
The two interest rate decisions did not have any major surprises on the numbers themselves, so there was no trade there. Trichet's speech had some negative developments due to their drastically downgraded inflation and growth forecasts, but late in the speech Trichet implied that they were going to cut rates further in the next meeting or two, so that helped the Euro eventually find some support and rally back higher.
For tomorrow, there's just one trade worth our attention:
0830 US Nonfarm Payrolls (-650K expected) - There is very often a lot of weakness in stocks and carry trades in the days leading up to a potentially bad NFP like this one, then when the numbers actually come live, there's a lot of short covering that creates upside even though the numbers aren't great. We seem to be setting up for similar action this time around as well.
If it comes out at -750K or lower, USD/JPY should sell off 40-50 pips quickly and be good for a quick short.
If it comes out at -523K or higher, USD/JPY and/or EUR/JPY should be a great buy and could see 60-100 pips or more higher as long as there isn't a big downwards revision to last month's numbers.
Riskier potential opportunity - If it comes out somewhat close to expectations, even if a bit lower than the consensus, chances are we will see a relief rally as people cover their shorts, so consider buying USD/JPY or EUR/JPY even if there isn't a big upwards surprise.
TRADE LIVE WITH SIR PIPS FOR $39.00 FOR 2 WEEKS
Sir Pipsalot has a live trading room, in which he trades these news reports. There, he shares his trades in real time, including exact entries and exits, and detailed explanation for every entry and exit. The service costs $299 per month, but we have a 14-days $39.00 trial. Go to Forex Diamonds and take advantage of this offer. This offer is for NEW customers only.
To our success,
Sir Pipsalot
Here is the video:
03-06-2009.swf
The two interest rate decisions did not have any major surprises on the numbers themselves, so there was no trade there. Trichet's speech had some negative developments due to their drastically downgraded inflation and growth forecasts, but late in the speech Trichet implied that they were going to cut rates further in the next meeting or two, so that helped the Euro eventually find some support and rally back higher.
For tomorrow, there's just one trade worth our attention:
0830 US Nonfarm Payrolls (-650K expected) - There is very often a lot of weakness in stocks and carry trades in the days leading up to a potentially bad NFP like this one, then when the numbers actually come live, there's a lot of short covering that creates upside even though the numbers aren't great. We seem to be setting up for similar action this time around as well.
If it comes out at -750K or lower, USD/JPY should sell off 40-50 pips quickly and be good for a quick short.
If it comes out at -523K or higher, USD/JPY and/or EUR/JPY should be a great buy and could see 60-100 pips or more higher as long as there isn't a big downwards revision to last month's numbers.
Riskier potential opportunity - If it comes out somewhat close to expectations, even if a bit lower than the consensus, chances are we will see a relief rally as people cover their shorts, so consider buying USD/JPY or EUR/JPY even if there isn't a big upwards surprise.
TRADE LIVE WITH SIR PIPS FOR $39.00 FOR 2 WEEKS
Sir Pipsalot has a live trading room, in which he trades these news reports. There, he shares his trades in real time, including exact entries and exits, and detailed explanation for every entry and exit. The service costs $299 per month, but we have a 14-days $39.00 trial. Go to Forex Diamonds and take advantage of this offer. This offer is for NEW customers only.
To our success,
Sir Pipsalot
