Traders if you missed the previous two days of opportunities, further volatility is expected today with four(4) high impact news releases. Will you take advantage and act? Do not forget to look up today’s Forex trading tips
18th August AtoZ Forex – If you missed opportunities over the last two days, there are further opportunities for traders today with four (4) high impact news releases. In today’s Forex trading tips we look at the AUD, GBP, USD and JPY as the main currencies under the spotlight from the high impact news releases perspective. Therefore, kick the day off with the daily Forex trading tips.
High impact news -18th August 2016
Hint: Whenever there are two high impact data news releases at the same time. Traders have to be careful of being whipsawed during the news releases as there may be mixed reaction in the markets.
# 1 AUSTRALIA -@ 2:30am BST
Employment Change – Previous 10.2K; Forecast 7.9K; Actual 26.2k; Currency affected: AUD
Forex Trading Tips – This is a very important leading indicator of consumer spending and a measure of the change in the number of employed people during the previous month. Market expectation is for a positive figure. The actual data was better than the forecast as a result the AUD appreciated.
# 2 AUSTRALIA -@ 2:30am BST
Unemployment Rate – Previous 5.8%; Forecast 5.8%; Actual 5.7%; Currency affected: AUD
Forex Trading Tips – Although seen as a lagging indicator, it is a measure of number of unemployed and those actively seeking employment for the previous month expressed in percentage terms. Market expectation was for the unemployment rate to remain the same. The actual data were less than forecast and the AUD appreciated.
Forex Trading Tips – For the AUD bias in the European session is on the bullish side until the UK news and USA data. A possible reversal on AUD could occur in the short term. Trade cautiously.
# 3 UK -@ 9:30am BST
Retail Sales – Previous -0.9%; Forecast 0.1%; Currency affected: GBP
Forex Trading Tips – This is the main indicator for consumer spending and a measure of the change in the total value of inflation-adjusted sales at the retail level. Market expectation is for a positive figure which should be good for GBP with bias on the bullish side.
Hint: We have two high impact data news releases from USA at the same time and in the so traders do be careful of being whipsawed during the news releases as there may be mixed reaction in the markets.
# 4 USA -@ 1:30pm BST
Philly Fed Manufacturing Index – Previous – 2.9; Forecast 1.4; Currency affected: USD
Forex Trading Tips – this data is released monthly and a figure above zero (0) indicates improving conditions and below means worsening conditions. Market expectation is for a positive number above the zero line. This is good for USD and bias would be on the bullish side.
# 5 USA -@ 1:30pm BST
Unemployment claims – Previous 266K; Forecast 269K; Currency affected: USD
Forex Trading Tips – This data is released weekly and seen as a lagging indicator and is a measure of the number of people who filed for unemployment insurance for the first time. Market expects an increased figure on the previous month. If the data released is less than the forecast data, expect the USD to appreciate.
Forex Trading Tips – With two important news releases at the same time, mixed information can result in a lot of traders with losing positions. Trade cautiously.
Moving on to the daily forex trading tips.
Currency Pairs – Daily Forex Trading Tips
#6 AUD forex trading tips
The AUD continued its bearish direction until the start of the Asian session after which we saw a move to the bullish side.
Forex Trading Tips – On intraday (H1 TF) the bias currently is on the bullish direction against the AUD, GBP,EUR, CAD and bearish against CHF, JPY. Look for BUY opportunities against the EUR, GBR and USD on negative UK and USA news data today.
#7 GBP forex trading tips
The GBP appreciated in the European USA and Asian sessions. With positive data expected from the UK this morning.
Forex Trading Tips – On intraday (H1 TF) the bias currently is BULLISH against the CHF, EUR, JPY, NZD and BEARISH against the AUD,USD. Bias is primarily on the BUY side. Expect a reversal on negative news.
#8 USD forex trading tips
The USD continues to be the main focus today with news data releases today. Yesterday’s FOMC meeting minutes did not help the USD and we saw the USD continued depreciation in the Asian session.
Forex Trading Tips – On intraday (H1 TF) the bias currently is on the BEARISH direction against the AUD, CHF, CAD, EUR, GBP, JPY, NZD and a correction against JPY. The overall bias is BEARISH for the USD in the European session. Look for BUY opportunities at key levels after any unexpected positive data releases from the USA today.
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