I wanted to recap what we did on the last live trade call and give you the criteria for two possible trades tomorrow. The last trade calls I sent out covered two Canadian reports on Tuesday.
First was the CAD CPI report. For this report, we were looking to buy the USD/CAD if the number came out at least 0.2% lower than expected. The actual number came out with no deviation, so it did not meet our safe trigger and we did not enter the trade. To view the video of this trade click on the link below:
Next was the CAD Retail Sales report. For this report, we were looking to buy the USD/CAD if the Retail Sales Less Autos number came out at least 0.3% lower than expected. Again, the actual number for this component came out with no deviation, so we did not enter this trade. To view the video of this trade click on the link below:
TRADING OPPORTUNITY TONIGHT
There is an opportunity to trade tonight when the NZD Trade Balance report is released at 6:45 pm EDT. The NZD Trade Balance is expected to be -$535 Million. We have set a safe trigger of $500 Million for this release. Our news provider has continued to report this release in millions instead of billions, so we are going to be very careful with this potential trade. To protect ourselves, we are putting our safe trigger in millions, as we have seen it initially reported the past few months. You will also want to watch for late data, as this report can come in 15-20 seconds late. If you see the market move prior to the data coming in, you will want to turn the Auto-Click off. We will not have the Live Trade Room open, but we wanted to make you aware of this potential trade opportunity.
OUR NEXT LIVE ON THE NEWS TRADE CALLS
Tomorrow we will have two opportunities to trade when the UK GDP and US Durable Goods reports are released.
First up will be the UK GDP, which will be released at 4:30 am EDT. We will be focusing on the GDP QoQ figure, which will be Row 1 on the RSS. The expectation for this report is 0.8%. We will be looking for a deviation of 0.2% to trigger a safe trade. A higher than expected number would be good for the GBP and would signal a long on the GBP/USD, and a lower than expected number would be bad for the GBP so that would signal a short on the GBP/USD.
This report very seldom meets our safe trigger, but typically provides a good move of 20-25 pips or more when it meets our medium trigger of 0.1%. Last month this trade met our medium trigger and we had traders report profits of 10-25 pips. To view the video of this trade click on the link below:
Next will be the US Durable Goods report, which will be released at 8:30 am EDT. We will be focusing on the Core Durable Goods figure, which will be Row 1 on the RSS at the time this news is released. The expectation for this report is 0.6%. We will be looking for a deviation of 1.5% to trigger a safe trade. A higher than expected number would be good for the USD and would signal a short on the GBP/USD, and a lower than expected number would be bad for the USD so that would signal a long on the GBP/USD.
The last time this report met our safe trigger was in March, and we saw a move of 20-25 pips. To view the video of this trade click on the link below:
This is our current outlook for these trades; however, it is subject to change as market conditions may change by tomorrow. Be sure to log in to the Live Trade Room 15 minutes prior to the releases to get my commentary on these potential trades.
Good Luck!!!!
