The Fundamental FOREX Blog

On Thursday, 12-17-09 at 7:00 AM ET, 4 Canadian economic reports are scheduled were released.

These are:

CAD Core Consumer Price Index MoM
CAD Consumer Price Index YoY
CAD Bank Consumer Price Index Core MoM
CAD Bank Consumer Price Index Core YoY

The CAD – Core Consumer Price Index MoM and the CAD – Consumer Price Index MoM appear to have the greatest impact on the FOREX market.

All 4 reports are released by Statistics Canada

The last time these reports were released was on Wednesday, 11-18-09 at 7:00 AM ET.

I did a “preview” post on Wednesday, 12-16-09 – click here for a review.

Here is how things went:

CAD Core Consumer Price Index (MoM) Stats

previous = 0.1%

forecast = 0.2%

forecast = 0.4%
Good – actual came out higher then the “forecast” by 0.2%
Good – actual came out higher then the “previous” by 0.3%

CAD Consumer Price Index (MoM) Stats

previous = -0.1%

forecast = 0.3%

forecast = 0.5%
Good – actual came out higher then the “forecast” by 0.2%
Good – actual came out higher then the “previous” by 0.6%

Both CPI’s came out good for the CAD and there was almost enough differences between the “forecast” and “actual” to cause traders to get excited about trading – but, there was wrong movement of the currency pairs that I monitor.

Here is how I was set up:

CAD-5-00AM-12-17-09
Looking for a 0.3% difference
Actual > Forecast = Good for CAD
CAD Core Consumer Price Index (MoM)
.        actual .            forecast .         previous
.          0.4%  .             0.2% .               0.1%
out at 0.5% or higher – SELL USD/CAD
out at -0.1% or lower- BUY USD/CAD

The currency charts did not move as I would have predicted.

Here are the charts:

a one minute CAD/JPY chart

This CAD/JPY currency pair spiked down/up/down 1st minute 6 PIPS/20 PIPS/12 PIPS.
Then ranged for 3 minutes
Moved down next 17 minutes about 18 PIPS – wrong direction

a one minute EUR/CAD chart

This EUR/CAD currency pair spiked down/up 1st minute 20 PIPS/13 PIPS.
Moved up next 23 minutes about 33 PIPS – wrong direction.

a one minute GBP/CAD chart

This GBP/CAD currency pair spiked up/down/up 1st minute 10 PIPS/33 PIPS/19 PIPS.
Then ranged.

a one minute USD/CAD chart

This USD/CAD currency pair spiked up/down/up 1st minute 5 PIPS/21 PIPS/14 PIPS.
Moved up next 7 minutes about 20 PIPS – wrong direction.

The next release of this report is scheduled for Wednesday, 01-20-10 at 7:00 AM ET.

I have noticed lately that pre-scheduled economic news releases are sometimes re-scheduled later on.

I will probably post a preview of this report a day prior.

Stay tuned!