UK Prelim GDP is the probably the most tradable GDP release out of the three since it’s the first look at the economic conditions in UK for the final quarter of 2013. A strong release will add more support for the GBP whereas a weak release could drive GBP weaker.
4:30am (NY Time) UK Prelim GDP q/q Forecast 0.7% Previous 0.8%
The Trade Plan
However, we´ll still be looking to trade the release using our after news retracement method. Our surprise factor is around 0.3% as we´ll look to possibly SELL GBP at 0.4% or worse, and BUY GBP at 1.0% or better.
Historically, if there is a 80% of chance that our S. Factor hits, the market will move up to 50~70 pips within the hour as GDP is a very high impact report.
For more information on my news trading methods: http://www.currencynewstrading.com/how-to-get-started-with-news-trading/
I’d recommend to use the Recommended Pairs from above as they are based on my CSM, which should provide the best combination of currency pairs to trade based on better/worse news… of course, you can also trade the default pair: GBPUSD.
UK Prelim GDP q/q | January 28, 2014 | Currency Trading
January 27, 2014 by Leave a Comment