The Fundamental FOREX Blog

On Tuesday, 08-31-10, at 10:00 AM ET the USD Consumer Confidence report will be released.

The last “follow up” was posted on Wednesday, 07-28-10, click here for a review.

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

The USD Consumer Confidence report appears to have a good impact on the FOREX market.

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

USD Consumer Confidence Stats:

Previous = 50.4

Forecast = 50.9

The “forecast” implies that the economists may be feeling a little more positive about the future economy of the USA.

Here is how I am set up for tomorrow:

USD-10-00AM–ET08-31-10
Looking for a 5.0 difference
Actual > Forecast = Good for the USD
USD CB Consumer Confidence
——actual——–forecast——–previous
______________50.9_________50.4
out at 55.9 or higher – BUY USD/JPY
out at 45.9 or lower – SELL USD/JPY

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/JPY – 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 “follow up” 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, 09-28-10 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!