The Fundamental FOREX Blog

On Tuesday, 12-29-09, at 10:00AM ET the USD Consumer Confidence report will be released alone, last month it was released with three other US economic news releases.

The Consumer Confidence appears to have the greatest impact on the economy.

The last “follow up” was posted on Thursday, 11-28-09, click here for a review.

The Consumer Confidence  is released by The Conference Board, Inc.

Lets take a look at what is going on with this news release:

USD Consumer Confidence Stats:

Previous = 49.5

Forecast = 53.3

The “forecast” implies that the economists may be feeling better about the future economy of the USA.

Important: During this holiday season, many of the currency traders are on leave – so there may not be much chart activity.

Here is how I am set up for tomorrow:

USD-8-00AM-12-29-09
Looking for a 5.0 difference
Actual > Forecast = Good for the USD
USD CB Consumer Confidence
.              actual . forecast . previous
.                              53.3       . 49.5
out at 58.3 or higher – BUY USD/CAD
out at 48.3 or lower – SELL USD/CAD

Again, I will be looking for a 5.0 difference between the “actual” report and the “forecast”, this time I will probably set up to trade the currency pair USD/CAD – if the “actual” is lower then “forecast” by 5.0 or more I will execute a “SELL” trade a minute or two after the  market has settled out. Of course, a “BUY” trade if the “actual” is higher then the “forecast”

Check out the last report for an idea how the market reacts to the “actual” outcome of the report.

I did post a “follow up” soon after, click here to see what happened.

The next scheduled release of this report is on Tuesday, 01-26-10 at 10:00 AM ET.

I will probably post a “preview” a day or two prior.

Past performances are not an indication of future results

So—Stay tuned!