The Fundamental FOREX Blog

On Friday 09-25-09 at 8:30 AM ET, the Census Bureau will release the monthly reports Core Durable Goods Orders MoM and Durable Goods Orders MoM.

My last “follow up” post concerning these reports was on August 30, 2009, click here for a review.

Also a “preview” post concerning this news report was on August 25, 2009, click here to review.

This time these two reports are stand alone reports, which happens quite often.

Here is how the reports are set up:

Core Durable Goods Orders m/m – Stats

Previous = 1.1%

Forecast = 0.9%

Durable Goods Orders m/m – Stats

Previous = 5.1%

Forecast = 0.3%

It appears that the economists believe that durable goods orders will show a decrease for last month.

The Core Durable Goods Orders appear to have the greatest impact on the currency market, but if they both do not come out moving in the same direction, either positive or negative, there can be a conflict, who knows what may happen then.

Last month the currency pair GBP/JPY had the most favorable reaction to the release of these reports – it moved the most and in the “predicted” direction. See the “follow up” from last month, click here.

If the Core Durable Goods comes out 2.0% above or below the “forecast” of 0.9%, I will give serious thought to a trade of GBP/JPY – of course, taking into account what the outcome of Durable Goods Orders is.

If the report comes out 2.0% below the “forecast” I will sell the GBP/JPY, and if the report comes out 2.0% above the “forecast”, then a buy of the GBP/JPY currency pair will be in order.

Soon after the reports have been released I will post a “follow up” report of the results.

Stay tuned!