The Fundamental FOREX Blog

Tomorrow, Friday, 08-13-10 at 8:30 AM ET, the USD – Core Retail Sales and Retail Sales MoM reports will be released.

These two reports are released monthly by the Census Bureau.

Along with these USD reports, there are 3 other reports:

USD Core CPI m/m
USD CPI m/m
Released monthly by the “Bureau of Labor Statistics”

CAD New Motor Vehicle Sales m/m
Released  monthly by “Statistics Canada”,

I did not enter a trade last month!

I did a “follow up” post of last months news release, click here to see what happened.

The USD – Core Retail Sales MoM report is more attuned to what is currently happening in the economy – therefore it is the report that may have the greatest impact on the currency market. But – important they both go in the same direction.

Here is what is happening on Wednesday, 07-14-10:

USD – Core Retail Sales MoM stats

Previous = -0.1%

Forecast = 0.3%

USD – Retail Sales MoM stats

Previous = -0.5%

Forecast = 0.5%

The economists believe Retails Sales reports are improving and this is good for the economy.

This looks like the economists believe that the USD Core Retail Sales and the Retails Sales will show an increase in the US economy this time. I will be watching that they go in the same direction.

Here is how I am set up for tomorrow:

USD-8-30AM-ET-08-13-10
Looking for a 0.5 difference
Actual > Forecast = Good for USD
USD Core Retail Sales m/m
——actual——–forecast——–previous
_______________0.3%______   -0.1%
out at 0.8% or better – SELL EUR/USD
out at -0.2% or less – BUY EUR/USD
Actual > Forecast = Good for USD
USD Retail Sales m/m
_______________0.5%______ -0.5%

Also, pay attention to your “broker spread” when selecting currency pairs to trade.

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

The next time this is scheduled to be released is on Tuesday, 09-14-10 at 8:30 AM ET.

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

Stay tuned!