Hi there 
This is Crazy Cat, with the review of the week.
This week, we were watching 11 economic indicators. 1 of them hit the triggers that I sent to you. Let's review...
1. Tuesday, March 30th (20:30 New York Time) Australia
I said if Australian Retail Sales comes out at -0.4 or more negative, AUD/USD will probably go down by 40 pips or more in the first 45 minutes of the report.
It actually came out at -1.4 and AUD/USD moved down by 55 pips. The initial spike was somehow disappointing, but it gave a lot of room for manual entry at relatively good price. Unfortunately, I could not be at home at the time of the release and therefore I missed the trade - so I cannot say anything if it worked for me.
If you want to see the price action, here is the chart:
Forex news trading currency exchange charts
If you managed to grab a few pips after the spike - congratulations!
There were two nice surprises:
1) US ADP Employment Change reacted really nicely with a relatively good deviation. Maybe it was all because they expected a positive number but it came out negative. You typically have best trades when something like this happen.
Here is the chart:
Forex news trading currency exchange charts
However, in order to trade it I would need to see a few good price actions in a row - otherwise it may simply be a pure luck.
2) US ISM Manufacturing Index produced a relatively good spike although the deviation was quite big as well. It's still too little for me to treat this indicator seriously.
Here is the chart:
Forex news trading currency exchange charts
Other comments:
Of course we had U.S. Non-Farm Payroll and only -22K deviation. Initially USD/JPY spiked down by 40 pips but just a few seconds later USD/JPY retraced to a prerelease level and then within the same minute it ended up 35 pips above the prerelease price. I am not surprised it ended up that way. As I said in the previous post, negative deviation like that is not really a bad news because overall the economy added 162K jobs, and this is first time we have a positive number before revisions. So I am not surprised USD/JPY was going up and up. Of course it was too small deviation to trade anyway but it shows how careful you have to be when you trade the news.
Here is the chart:
Forex news trading currency exchange charts
I hope you got a few pips this week. For me it was a flat week.
Anyway, have a good Sunday!
--Crazy Cat
This is Crazy Cat, with the review of the week.
This week, we were watching 11 economic indicators. 1 of them hit the triggers that I sent to you. Let's review...
1. Tuesday, March 30th (20:30 New York Time) Australia
I said if Australian Retail Sales comes out at -0.4 or more negative, AUD/USD will probably go down by 40 pips or more in the first 45 minutes of the report.
It actually came out at -1.4 and AUD/USD moved down by 55 pips. The initial spike was somehow disappointing, but it gave a lot of room for manual entry at relatively good price. Unfortunately, I could not be at home at the time of the release and therefore I missed the trade - so I cannot say anything if it worked for me.
If you want to see the price action, here is the chart:
Forex news trading currency exchange charts
If you managed to grab a few pips after the spike - congratulations!
There were two nice surprises:
1) US ADP Employment Change reacted really nicely with a relatively good deviation. Maybe it was all because they expected a positive number but it came out negative. You typically have best trades when something like this happen.
Here is the chart:
Forex news trading currency exchange charts
However, in order to trade it I would need to see a few good price actions in a row - otherwise it may simply be a pure luck.
2) US ISM Manufacturing Index produced a relatively good spike although the deviation was quite big as well. It's still too little for me to treat this indicator seriously.
Here is the chart:
Forex news trading currency exchange charts
Other comments:
Of course we had U.S. Non-Farm Payroll and only -22K deviation. Initially USD/JPY spiked down by 40 pips but just a few seconds later USD/JPY retraced to a prerelease level and then within the same minute it ended up 35 pips above the prerelease price. I am not surprised it ended up that way. As I said in the previous post, negative deviation like that is not really a bad news because overall the economy added 162K jobs, and this is first time we have a positive number before revisions. So I am not surprised USD/JPY was going up and up. Of course it was too small deviation to trade anyway but it shows how careful you have to be when you trade the news.
Here is the chart:
Forex news trading currency exchange charts
I hope you got a few pips this week. For me it was a flat week.
Anyway, have a good Sunday!
--Crazy Cat
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