OK folks, here comes the E-12 Consumer Price Index at 2 AM (Pacific), marked red on the FF calendar.
Hang on to your hats!
Yes, it is right. And it does not look nice. We have cable data in 30 minutes.
As said, cable is the strongest and USDCHF topped with its EMA120. Its up trend is impressive.
You can wait now for you 34 pips s/l to be hit, close it right away or wait for news.
Our stop of 34 pips was not hit. And now it has made a low at 1.7819. That is 51 pips.
Now, I can say that I did not take that sell signal. I did take the second one at 1.7842. Closed 3/4 at 1.7822. The rest at b/e now.
Yeah Nina, the E-12 Consumer Price Index seems to be neutral for the EURO/USD and showing weakness with the GBP.
Very tasty! Just love the volatility of that GBP! Yum, yum!
PS: I'm gonna cash in and collect my pips. Furthermore, I'll be able to go to bed at a decent time!
See you folks tomorrow!
Unfortunately, I lost all trades coz close it early . At least I gained experience about this system.
Just a general question that I hope someone can answer,
In strategyBuilder when you go to Tools ..History centre you can export any pairs ohlc to an excel spreadsheet, does anyone know if you can do the same thing for indicator levels.
Nice GBP trade by the way, question for all, in general should we care about most data releases or should we just follow the system as the charts dictate, obviously very large releases like NFP will be a different story.
As I check through old charts and see the Nina moves I don't look back and say "that candle was CPI" or whatever, I just see that we had a Nina signal to sell and the price fell.
We do not trade CatFX50 blindly. Hence, we ought to be careful with data.
A little fun for the brave:
So with the GBP trade that just happened would you have closed the trade before the UK CPI data release, or would you maybe have closed half and moved stop on 2nd half.
That cable sell signal was not good. It went 33 pips against the sell. Then it went down with fury cause data. I did not sell it, as said. I did it after data. If you wait to be -33, why do not wait for data?
Now, lets say we are + 20 before data, ok?, then common sense says you should protect at b/e or + a few pips or close some.
you could not successfully decide that in general.
My experience: Reactions on news are never fully predictable. Even when the news go against the pair it could first run up for some seconds to minutes to go dramatically down afterwards.
This behaviour you find very often on NFPs, GDP or trading balance.
--> Only way to win this game (risky) is to envelope the price shortly before the news with buy/sell stop orders, with SL and TP. Most brokers do not support this on a long run.
On "smaller" news it is more likely that the direction depends directly on the news-quality (like today in cable).
I don't want to give an advice to you - I only can say what I do in the majority of the cases.
If I am in profit before the news, I close a part of the position and secure the other by a stop on entry (stop size and amount to close depends on the current profit level and the expected volatility on the news)
The difficult thing is if I am in a loss. Then depending on what news are coming (expected volatility) I choose different strategies:
F.e. close a part with the current loss. That reduces the risk and gives the chance to get in profit.
F.e. let it as it is, expecting it could run in profit again with the news. Important here is to confirm mentally the possible full loss (the max risk is limited by stop).
But, I have no standard process for this.
At the situation this morning in cable I had the advantage that I didn't take the signal because of I decided to get in eurusd and swissy. I got in eurusd at 8:30 because at Northfinance the close under ema was later (tha Neuimex from Nina). This one I closed on entry. More luck I had on swissy which was closed yet but got good pips for a part of the position.