FX Trading Signals for Dec 19
1. Wednesday, December 20th, 2006 (4:30 am New York Time) UK
We have BOE minutes coming out of the UK. I am personally not going to be trading this report, at least not publicly. It's simply too messy and a little bit more risky than most other reports. A lot of crazy price action is going on, because a lot of different things are released out of minutes. Last time I traded it, I took a small loss. Main focus on this will probably be the vote count of how many members voted for no interest rate change earlier this month. It's expected that 9 out of 9 members voted for no rate hike. If the vote is 8-1 or 7-2 instead, that means a rate hike in future meetings is more likely, so GBP/USD may possibly increase by 30 pips or more. Such vote is extremely unlikely. Again, I am not going to be trading this report in my conference room.
2. Wednesday, December 20th, 2006 (4:45 pm New York Time) NEW ZEALAND
We have New Zealand quarterly GDP coming out, which is expected at around 0.5%, same as last quarter. If the GDP comes out at 0.8% or higher, it would match the strong growth as it was in the 1st quarter of this year, so I may possibly go long on NZD/USD. If it comes out at 0.3% or lower, I may possibly go short on NZD/USD. If my triggers get hit, I think we'll get at least 30 pips move on NZD/USD. AUD/NZD will probably give us at least 50 pips move, except remember, you have to do the opposite of what you do with NZD/USD. And if you happen to have GBP/NZD on your broker, that pair will probably move by over 100 pips.
We have BOE minutes coming out of the UK. I am personally not going to be trading this report, at least not publicly. It's simply too messy and a little bit more risky than most other reports. A lot of crazy price action is going on, because a lot of different things are released out of minutes. Last time I traded it, I took a small loss. Main focus on this will probably be the vote count of how many members voted for no interest rate change earlier this month. It's expected that 9 out of 9 members voted for no rate hike. If the vote is 8-1 or 7-2 instead, that means a rate hike in future meetings is more likely, so GBP/USD may possibly increase by 30 pips or more. Such vote is extremely unlikely. Again, I am not going to be trading this report in my conference room.
2. Wednesday, December 20th, 2006 (4:45 pm New York Time) NEW ZEALAND
We have New Zealand quarterly GDP coming out, which is expected at around 0.5%, same as last quarter. If the GDP comes out at 0.8% or higher, it would match the strong growth as it was in the 1st quarter of this year, so I may possibly go long on NZD/USD. If it comes out at 0.3% or lower, I may possibly go short on NZD/USD. If my triggers get hit, I think we'll get at least 30 pips move on NZD/USD. AUD/NZD will probably give us at least 50 pips move, except remember, you have to do the opposite of what you do with NZD/USD. And if you happen to have GBP/NZD on your broker, that pair will probably move by over 100 pips.
posted by Naveen Pantera at 9:44 AM
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