Forex Signal 4 25th Nov. 2008

1a. Tuesday, November 25th, 2008 (8:30 a.m. New York Time) USA
At 8:30 a.m. we will have U.S. GDP Annualized and Canadian Retail Sales. Last time we had U.S. GDP annualized (in August), on +0.6 deviation we had only 30 pips move on USD/JPY and eventually it retraced. Well, I think we can give a try with a buy signal on EUR/JPY or USD/JPY if it comes out at 0.0% or higher and expect 30 pips move. If it comes out at -1.0% or lower, USD/JPY may move down a little but bad news are not necessarily bad for the USD anymore so I will not be trading negative deviation at all. If anything, I want to trade only a good news with very conservative money management and very small profit target (say, around 15 pips or so).

1b. Tuesday, November 25th, 2008 (8:30 a.m. New York Time) CANADA
At 8:30 a.m. we will also have Canadian Retail Sales. I will not be trading it at all for a few reasons. The most important is we will have U.S. report at the same time. Also, we did not see decent deviations in past months so it is hard to predict how would it react. I do not want to test it on my account. I prefer not to trade than gamble. I do not gamble.

2. Tuesday, November 25th, 2008 (10:00 a.m. New York Time) USA
At 10:00 a.m. we will have U.S. Consumer Confidence. Last month it worked OK but it did not spike instantly so I don't really like trading stuff like that. Also, the deviation was huge and it took USD/JPY 5 minutes to move 45 pips. Sir Pips likes it, I am not really convinced to trade so I am going to write what he says but I will not be trading it myself. The range of expectations is between 30 to 45. If it comes out at 32 or lower, you might sell EUR/JPY or GBP/JPY. If it comes out at 44 or higher, you may buy EUR/JPY or GBP/JPY. It might work but this is not how I trade.

That's all for Tuesday.