The Fundamental FOREX Blog

For some reason I like to follow the Germany Factory Orders put out by Deutsche Bundesbank.   Even though the German economy is a good, strong industrial producer, it is difficult to get a handle on a report trade. But I keep following it anyway.

The German Factory Orders report is scheduled to be released tomorrow, Thursday 08-06-09 at 6:00 AM ET. The last release was on Tuesday 07-07-09 at 8:00 AM ET and there were mixed currency pair results.

Just in case you would like to expand your interest into the German  economy, here is what happened last month – the “previous” report was 0.0% and the “forecast” was 0.6%.
The “actual” came out at 4.4%, which is a big improvement  for the German economy. What was even more interesting is that the “actual” report was way better than the “forecast” – should have moved FOREX markets.

Two currency pair market did move, the EUR/CHF did move in the right direction, but the EUR/USD currency did not, the other currency pairs that involved the EUR were either “ranging” or moving erratically after the reports were released.

Here are the charts:

a one minute chart

a one minute chart

The report stats for the upcoming German Factory Orders report are – “previous” is 4.4% and the “forecast” is 0.6%, a decline in factory orders, meaning that the economy is shrinking.

I think the departure from the “forecast” is going to have to be big, maybe more than 5% either way. Could be interesting to watch.

Remember, “Past performances are not an indication of future results!”

Stay tuned!