AU Employment Change

December 5, 2012 

Australia Employment Change is similar to U.S. NFP (Nonfarm Payroll) and Canada Employment Change, this is an economic indicator for the Employment Changes in Australia, here´s the forecast:

7:30pm (NY Time) AU Employment Change
Forecast 1.0K Previous 10.7K
AU Unemployment Rate
Forecast 5.5% Previous 5.4%
DEVIATION: 25K (BUY AUD @ +25K / SELL AUD @ -25K)

DEFINITION“Measures the change in number of employed people during the previous month. A rising trend has a positive effect on the nation´s currency. Job creation is an important indicator of economic health because consumer spending, which is highly correlated with labor conditions, makes up a large portion of GDP.”

The Trade Plan
The deviation that we are looking for is at least of 25K. Historically a 25K~30K of difference has produced about 40~50 pips of movement in the direction of the difference about 75% of the time. Expect to see the effect of this news to last minimum 45 minutes to 2 hours; typical news effect should last under 2 hours. One other important news to pay attention to is the Unemployment Rate, which is expected to be tick up at 5.5%. If we don´t get a conflict with the Employment Change, then we will proceed with the trading plan.

We´ll look to trade this using after news retracement trading method, we´ll wait for the market to retrace and stay out of the market during the release time. If we get a +25K of release, our bias will be to BUY AUD against other currencies; if we get a -25K of release, our bias will be to SELL AUD against stronger currencies. We´ll only enter after we see a decent retracement from the initial spike and if we get those release numbers…

Recommended Pairs: AUDUSD, AUDJPY

AUD/USD - Australian dollar / US Dollar

Resistances : 

Weekly 1.055 ; 

Daily 1.05 ; 

Hourly 1.0485

Supports : 

Weekly 1.0395 ; 

Daily 1.0435 ; 

Hourly 1.045

BOOKS
Attacking Currency Trends: How to Anticipate and Trade Big Moves in the Forex Market - Greg Michalowski - EUR 40,41  

I believe 99% of the forex market "mentors" are cons and exploiters, nothing short of ruthless and heartless, the cons have burnt me out of precious moneys, however I read this book(reading again now). I have never ever been in the pips like I am now and recouped most of what the forex crooks robbed me of and it cost me all of 40 usd on Amazon...and I dont open an email about forex unless its my statement, my forex vision is purged of stochastics, RSI, MACD etc clutter and all the associated gumph, I found a simple sharp reliable strategy with this book.

Charts look so clear to me now, I feel like I am seeing inside the market makers mind, After reading this book I can look at a chart, flick thru time frames, through on fib re-tracements correctly and find entry and reentry points onto trends and the greatest thing is... I dont climb off the trend after what I use too think was respectable pips either... I now re-enter and make more.

I can honestly say that I was not profitable before I read this book. Since I got it I have put my 2 trading friends onto it, we all have bought a copy now, and is it coincidence that all 3 of us are trading in the money now...

If you would appreciate some history and roots of technical analysis development and advancement; the first 20 pages are fascinating and are a highlight of nothing less than a revolutionary technical approach to the markets in evaluating risks and identifying targets. It makes one really really grateful for the charting technology we have now at our finger tips. It took 5 reads to grasp, but even if you skipped the whole "Market Profile system" in early pages it wouldnt matter. the book is fantastic.

If I lived in the States I would try and meet the author, its so apparent that this book was not written to make money, its never going to sell enough to be lucrative, how many traders are there out there..., and I am sure he can "print" money with his trend surfing skills, why would he author a book if it wasnt for sincere interest in helping people like me. So I say thank you Greg and some guy "ChaosTrader63" on youtube that directed me to the book.