The Fundamental FOREX Blog

On Monday, 11-23-09 at 10:00 AM ET 2 USD reports were released, they were the USD Existing Home Sales and USD Existing Home Sales MoM reports by the National Association of Realtors.

Probably the most important report of the 2 is the “Existing Home Sales ”.

I was set up to trade the currency pair USD/CAD, which I did, and monitored 5 other currency pairs – GBP/USD, USD/JPY, EUR/USD, EUR/JPY, and GBP/JPY.

I did a “preview” post on Sunday, 11-22-09, click here for a review.

Here are the stats and the results:

USD Existing Home Sales stats:

Previous = 5.57 M revised = 5.54 M

Forecast = 5.72 M revised = 5.71 M

Actual = 6.10 M

Good – this came out higher then “forecast” by 0.38M, higher then revised “forecast” by 0.39M, higher then the “previous’ by 0.53M and higher then the revised “previous” by 0.66M.

USD Existing Home Sales  MoM stats:

Previous = 9.4% revised = 8.8%

Forecast = 2.3%

Actual = 10.1%

Good – higher then “forecast” by 7.8%, higher then “previous” by 0.7% and higher then revised “previous” by 1.3%.

Both of these reports came out together much higher then expected and in favor of the US economy – strengthening the US dollar.

All four of the USD involved currency pairs I watch, moved in the direction I expected.

The two JPY involved currency pairs I watch lacked any real trading movement after the reports release.

Let’s take a look at the charts and see how things worked out:

a one minute EUR/JPY chart

This EUR/JPY currency pair moved down the 1st four minutes about 18 PIPS – reversed up the next six minutes about 19 PIPS and then ranged.

a one minute GBP/JPY chart

This GBP/JPY currency pair moved down the for 28 minutes about 21PIPS.

a one minute EUR/USD chart

This EUR/USD currency pair moved up/down 1st minute – then moved down the next 21 minutes about 26 PIPS – right direction.

a one minute GBP/USD chart

This GBP/USD currency pair had a minor move up the 1st minute – then moved down the next 27 minutes about 38 PIPS – right direction.

a one minute USD/CAD chart

This USD/CAD currency pair spiked down the 1st minute about 10 PIPS – ranged up the next 17 minutes.

Here I was able to execute two winning “scalp” trades .

a one minute USD/JPY chart

This USD/JPY currency pair moved up/down 1st four minutes – then moved up the next 22 minutes about 16 PIPS – right direction.

The next scheduled release of this report will be Tuesday, 12-22-09 at 10:00 AM ET. At this point in time the Existing Home Sales reports are stand alone, a month is a long time, rescheduling can occur any time.

I will probably be writing a “preview” post for this report.

So, stay tuned!