How are you playing this today SD?
My usual idea of putting a range into consolidation during the previous hour and trading a break in either direction concerns me - there is strong trending on every USD pair. I think I will just wait til the dust settles.
Sujith, if you're here - how do you approach trading NFP announcements/days of?
well it myt go lengthy...
1st of all i am not so much concerned with datas.all i look is charts.i always advocate tht "charts tell u the news before it comes".if u read my thread,somewhere last year during cyclone season.. rumours were thr tht an oil field will be hit by cyclone.3 such news came. out of which i predicted one time it will hit oil field cos prices in oil were set to go up. other two times,strong resistance was thr above the prices and i predicted tht they wont hit the oil field.thts wat exactly happened.
i read many people talking about TA. i term it as if learning traffic rules.one can learm the rules..but while driving many unexpected twists n turns comes..n when to increase speed,when to break or shift gears..tht all u must learn from experience. similarly at any given point of time.. one can draw 20+ odd possible moves on a chart. if u Kw TA it will greatly help u in bringing the count down to 5 possible ones. but thr after to choose the best one (the correct one) -then trading it calls for experience combined with mind-eye cordiation n above all self-confidence upon wat u feel is the correct one. so ultimately it U,not the TA books or research tht tell u wat to do.
i trade commodities mostly gold-silver n crude. now onto ur question of NFP data,
i tell u all a secret key in this one with examples of commodity. on wednesday newyork session we get crude inventory data..!! let me tell u all, at tht time no charts can predict the wild move.u just cant get hold of movement correctly for 3 consecutive times.
(bet upon it with me).last wednesdays oil surged up then dump down to below 70 $ level,now at below 67 $ .
KING OF THE TIME STRATEGY>>
so on wednesday crude is king. from my analysis i can say tht,entire metals follow crude on tht day.if gold is ultra positive and has broken above all resistance,but crude is in red zone for more than 1 hour...u can bet tyt gold will eventually fall back no matter how confirmed buy trade it is.CRUDE HAS THT MAGNETIC AFFECT ON MARKET..!!
example>>last wednesday after crude data,cude showed near to 71 $ ,gold crossed 944 (it was then a damn sure buy for tgt atleast 952,since all previous resistance at 940-943 area was broken). but crude melted till 69.5 levels after 30 minutes of crude data.gold stayed thr above 940 $ tht days closing.so one sees gold to be +ve still as it has closed above 940 but crude is way down.its magnetic pull is working... yesterday thursday crude hit sub 67 $ and gold from a sure buy close above 940,fell till 926 $..!!
in indices thr must be one king too. i need to rsearch and find him. myt be thr will be a bunch of 2-3 like spx,us russell 2000,ftse100,ftse200,dax,dow jones or even USD index.
keep a sharp eye on them. one of them will lead after NFP data. find him and trade others in same direction who are still to get a ryt direction.
exapmle >>after NFP if spx500 falls quickly but ftse still went up n staying thr without a clue...short it trusting spx500. we should get ftse move ,rather than crying on missing out spx500 sell :whistling
well thts it. i think i should NEVER write a book.i go into unwanted details
. anydoubts,pls feel free to ask . but start it with "SUJITH". cos i dont read all posts here,. if u can just mention my name at start..i will read it. :smart:
