Forex Trading Signal 03/31/08

Forex Trading Signal 03/31/08 - Today, 04:13 AM
Hi my dear Trader

Let's first review Thursday first.

On Thursday we had US GDP and Jobless Claims at the same time. The Jobless claims did not deviate, and the GDP annualized came out as expected. A no trade here.

The GDP out of New Zealand came out higher than expected, triggering a buy signal on NZD/USD. Within 15 minutes the price moved by about 40 pips. I hope you made some money on it.

The Tokyo CPI came out too close to expectations to place a trade. A no trade here.

On Friday we had UK Nationwide House Prices. The m/m barely gave a sell signal but the y/y had a pretty large deviation. The price opened at 2.0007 trading down to 1.9934 within 1 hour. It was a nice, steady down move. I hope you made a good money on this.

Then we had U.S. Personal Income and Personal Spending, and Core PCE. Everything came out very close to expectations so it was a no trade. It was a little positive for the U.S. dollar; the price moved by about 28 pips. Watch the video for more details.

Let's talk about Monday.

I am going to ignore the Euro Zone CPI indicators. It seems people are more focused on the growth right now.

1. Monday, March 31st, 2008 (8:30 a.m. New York Time) CANADA
At 8:30 a.m. we will have Canadian GDP coming out. The m/m is expected to come out at 0.5%. I would trade 0.3 deviation here. If it comes out at 0.8% or higher, I would sell USD/CAD looking for 40 pips of a price action. If it comes out at 0.2% or lower, it would be much lower than expected; therefore, I would buy USD/CAD and expect about 40 pips of a price action.

2. Monday, March 31st, 2008 (9:42 a.m. New York Time) USA
At 9:45 (9:42) a.m. we will have Chicago PMI. I don't recommend trading this mainly because at 9:42 a.m. the number is released to some special subscribers, and some news agencies are able to broadcast it. Therefore, you cannot trade it at 9:45 a.m. I am personally not going to trade it.

3. Monday, March 31st, 2008 (11:30 p.m. New York Time) AUSTRALIA
At 11:30 p.m. we will have Australian Interest Rate statement coming out. Unfortunately, they just hiked the rates so there is no way they would do it three times in a row. There is also no way they would cut it. If they would either cut or hike the rates, it would be a big price action but the chance they will do is almost 0. However, if they hike the rates to 7.50% it would be a big signal on AUD/USD. If they cut the rates to 7.00%, it would be a big sell signal on AUD/USD. Look for at least 50 pips of a price action.

That's all for tomorrow.

Thank you and good luck with your trades.

To Our Success!