Forex Trading Signal 05/21/08

Crazy Cat

Former FPA Special Consultant
Hi my dear Trader :)

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.

Hi res: Video preview for Wednesday

Let's first review what happened on Tuesday.

Sir Pips is out of town so I don't have video review but I was trying to trade the German ZEW myself so I can comment it. Unfortunately, it did not hit our trigger. I myself was trying to trade it with 5 trigger with the Secret News Weapon (with low spread only), but even that trigger was too high to enter a trade. EUR/USD with -4.4 deviation moved pretty well.

Then we had US PPI. It was a horrible price action as the PPI headline was in a huge conflict with the Core PPI. I hope you did not make any afterspike trade as it was written clearly to not enter a trade on conflicting numbers. I myself just overslept this report so no regrets here. Actually, it is a beautiful feeling to catch a few hours of sleep and not lose money, all at once :)

Let's talk about Wednesday.

1. Wednesday, May 21st, 2008 (4:00 a.m. New York Time) GERMANY, EURO ZONE
At 4:00 a.m. we will have German IFO. Last month the market moved by about 100 pips on EUR/USD, and Sir Pips was able to cash that move. It will be very interesting to see what the tomorrow will bring us. I would focus on IFO Business Climate which is expected to come out at 102.0. I would use 1.0 trigger here. If we get 103.0 or higher, I would buy EUR/USD, looking for 35 pips. If it comes out at 100.9 or lower, I would sell EUR/USD, looking for 35 pips as well.

2. Wednesday, May 21st, 2008 (4:00 a.m. New York Time) NORWAY
At the same time, at 4:00 a.m. we will have Norway GDP coming out. If you are interested in trading this indicator, watch the video. If you are new in trading news, don't even think about trading the Norway GDP. It is a totally different animal where 400 pips spikes are normal, but you also pay high spread, and $ value per pip is totally different there. Also, you need to make sure the number did not leak or is not late as it happens quite often and probably you don't want to enter at the end of the spike.

3. Wednesday, May 21st, 2008 (4:30 a.m. New York Time) UK
At 4:30 a.m. we will have MPC Meeting Minutes. It is a difficult speech to trade - not for beginners for sure. I will not be trading it, but if you want to learn more about this, please watch the video.

4. Wednesday, May 21st, 2008 (7:00 a.m. New York Time) CANADA
At 7:00 a.m. we will have Canadian Core CPI m/m coming out. It is expected at 0.2%, and I think it is pretty safe to trade 0.2 trigger here. If it comes out at 0.4% or higher, I would sell USD/CAD, looking for 40 to 50 pips. If it comes out at 0 or negative, I would buy USD/CAD, looking for 40 to 50 pips as well. For additional tips how to trade it, please watch the video.

5. Wednesday, May 21st, 2008 (4:00 a.m. New York Time) USA
At 2:00 p.m. we will have FOMC Meeting Minutes. This is not for beginners so I don't recommend to trade it if you are new. If you have any open trades, be aware of possible spikes that may happen around 2:00 p.m.

That would be all for Wednesday.

If you want to make some money on nice spikes, try The Secret News Weapon - they also offer 21 days money back policy so try it and see if you can grow your account that way. A nice thing about the SNW is it has not only the autoclick feature but it will also allow you to see other reports so you will immediately know if there are any conflicts, and therefore you would know if you should stay in your trade or get out, or maybe even reenter on the retracement. With a fast market moving I cannot imagine checking on-line forex calendars which are really slow.

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!
-Crazy Cat & 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
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