US ADP NFP Employment Change is definitely a tradable release, especially with the Nonfarm report scheduled on Friday. Market’s main focus will be on Friday, but today’s ADP release could change market sentiment ahead of the release, therefore a strong surprise could affect USD strength until Friday.
8:15 am NY Time US ADP NFP Change Forecast 191K Previous 235K
The Trade Plan
With the above being said, we´ll be looking for a deviation of 50K, so if we get 241K or better release, I´d be looking to BUY USD against the weakest currency based on the strength meter; if we get a 151K or worse, then I’d be looking to SELL USD against the strongest currency based on the meter…
In the event that we do get our deviation, we´ll be trading this news based on after-news Retracement Trading Method. For more information, read: http://www.currencynewstrading.com/how-to-get-started-with-news-trading/
I’d recommend using the Recommended Pairs above as they are based on my CSM and should give you the best combination of currencies to trade in the event of a better/worse news… of course, you can always trade the default pair for this release: EURUSD.
Outlook Score Outlook score is derived from market sentiment, focus, and economic indicators for the currency. It represents the long-term trend of the currency and its market perception. In short, a strong Outlook Score means more long-term demand for the currency, and a weak Outlook Score is an opposite.
Definition: ADP Employment report was developed and is maintained by Macroeconomic Advisers, LLC. It is a measure of employment derived from an anonymous subset of roughly 500,000 U.S. business clients. During 2011, this subset averaged about 344,000 U.S. business clients and represented over 21 million U.S. employees working in all private industrial sectors. The ADP NFP report is a monthly estimate of private nonfarm employment among companies in the United States with 1-49 employees and is a subset of the ADP National Employment Report. The data for both reports is collected for pay periods that can be interpolated to include the week of the 12th of each month, and processed with statistical methodologies similar to those used by the U.S. Bureau of Labor Statistics to compute employment from its monthly survey of establishments. Due to this processing, this subset is modified to make it indicative of national employment levels; therefore, the resulting employment changes computed for the ADP National Employment Report are not representative of changes in ADP’s total base of U.S. business clients. (Taken from official ADPEmploymentReport.com…)
US ADP NFP Employment Change | December 6, 2017 | Trading News
December 4, 2017 by Leave a Comment