The Fundamental FOREX Blog

On Thursday, 04-01-10 at 10:00 AM ET the USD ISM Manufacturing PMI report was released along with two other reports.

USD ISM Prices Paid
USD Construction Spending (MoM)

USD ISM Manufacturing PMI has the greatest impact on the currency markets.

The USD ISM Manufacturing PMI is released by the Institute of Supply Management
and is released monthly,

and the Construction Spending is released by the Census Bureau and is released monthly.

I did a “preview” post for this month, click here for a review.

Entered 2 losing trades of the currency pair USD/JPY

Here is the set up for this month:

USD ISM Manufacturing PMI stats:

Previous = 56.5

Forecast = 57.0

Actual = 59.9

Even though the “actual“ was not great enough of a difference over the “forecast”, I did execute 2 trades! Check the charts.

Here is how I was set up and what happened:

USD-10:00AM-ET-04-01-10
Looking for a Change of 2 to 3
Actual >  Forecast = Good for USD
USD ISM Manufacturing PMI
——actual———-forecast——-previous
_____59.9________57.0______56.5
out at 59.0 or higher – BUY USD/JPY
out at 55.0 or lower – SELL USD/JPY
Change from last month!
Good – “actual” came out higher then “forecast” by 2.9
Good – “actual” came out higher then “previous” by 3.4

Here are the charts:

(EUR/JPY)

EUR-JPY-04-01-10-8-00AM

This currency pair EUR/JPY moved up 1st minute about 20 PIPS
Ranged!

(EUR/USD)

EUR-USD-04-01-10-8-00AM

This currency pair EUR/USD moved down 1st 3 minutes about 25 PIPS – right direction
Moved up next 39 minutes about 50 PIPS – wrong direction

(GBP/JPY)

GBP-JPY-04-01-10-8-00AM

This currency pair GBP/JPY moved up 1st  minute about 25 PIPS
Moved down next 18 minutes about 32 PIPS

(GBP/USD)

GBP-USD-04-01-10-8-00AM

This currency pair GBP/USD ranged down for about 30 minutes about 22 PIPS - right direction

(USD/CAD)

USD-CAD-04-01-10-8-00AM

This currency pair USD/CAD ranged for 17 minutes

(USD/JPY)

a one minute USD/JPY chart

This currency pair USD/JPY spiked up 1st 3 minutes about 22 PIPS – right direction 2 losing trades here
Moved down for 8 minutes about 14 PIPS – wrong direction
Ranged!

The next scheduled release of  this combination of reports will be on Monday, 05-03-10 at 10:00 AM ET.

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

Stay tuned!