June 5, 2012

Australia GDP is a quarterly release similar to the U.S. Advanced GDP or the UK Pre-lim release, but usually there is only one release per quarter, and it is scheduled about 65 days after the quarter ends. Since this is a quarterly release, it is a high impact release that may change the short term trend of AUD.
Here is the forecast:
9:30pm (NY Time) AU GDP q/q Forecast 0.5% Previous 0.4%
DEVIATION: 0.3% (BUY AUD 0.8% / SELL AUD 0.2%)

DEFINITION:
“GDP is the market value of all final goods and services produced within a country in a given period of time. It is also considered the sum of value added at every stage of production of all final goods and services produced within a country in a given period of time.” In short, if you were to reduce the entire economy into a simple number, it would be the GDP.”

The Trade Plan
We´ll be looking for a deviation of 0.3% to trade this release. If we get 0.8% or better, then BUY AUD; however, if we get a 0.2% or worse, we´ll probably see AUD start to move downward and we should SELL AUD.

Recommended Pairs : AUDUSD, AUDJPY

AUDUSD
Resistances : Weekly 0.9805 , Daily 0.977 , Hourly 0.974
Supports : Weekly 0.958 , Daily 0.9675 , Hourly 0.9715

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