4:45pm (NY Time) NZ Retail Sales Forecast 0.6% Previous 0.3%
ACTION: NZD/USD BUY 1.2% SELL 0.0%
Today we’ll trade the Retail Sales release out of New Zealand… Retail Sales release is the measurement of consumer spending in the retail sector, as it reflects the strength of the economy and the strength of consumer spending. We’ll be looking for a difference (or deviation) of at least 0.6% from the Forecasted number, therefore a positive 1.2% (or better) will be somewhat bullish signal for NZD and a 0.0% (or worse) will be a bearish signal for NZD. We’ll look for entries after the release in the direction of the signal, provided that the market shows initial confirmation in the direction of the release first, coupled with a decent retracement for proper risk to reward ratio, then we’ll make our entry.
As this is a very slow moving currency, patience is definitely a required for a successful trade. With the current market in a very uncertain state, I’ll stay out of the trade unless we get our tradable release (1.2% or 0.0%)…
DEFINITION
“Measures the value of sales at the retail level. A rising trend has a positive effect on the nation’s currency because Retail Sales make up a large portion of consumer spending, which is a major driver of the economy and has a sizable impact on GDP. Traders pay close attention to Retail Sales because it is usually the first significant indicator of the month that relates to consumer behavior and is susceptible to surprises.”
Related posts:
- New Zealand Retail Sales m/m 11/11/09
- New Zealand Retail Sales m/m 10/12/09
- Forex Trade Plan For NZ Retail Sales m/m 07/13/10
- Forex Trade Plan For NZ Retail Sales 08/12/10
- Forex Trade Plan NZ Retail Sales 09/13/10
- Forex News Trading Plan For NZ Retail Sales 01/20/11
- Forex News Trading NZ Retail Sales q/q 08/24/11
- Australia Retail Sales 02/03/10
- Australia Retail Sales Trading Plan 05/31/10
- Australia Retail Sales m/m 03/01/2010
{ 2 comments… read them below or add one }
Hey Henry,
Howcome you arent gonna be trading the CAD CPI today??
Is there a reason?
Have some personal errands to run today.
I’ll trade it next time.