US Employment figures to determine fate of USD/JPY and S&P 500. This month, the number is expected to come in at a rise of 155,000 jobs, with an Unemployment Rate of 7.9%. Both of these figures are relatively unchanged from the previous month, but even a "no change" should be bullish for both of these assets as it does signal general strength in the labor market. The number comes out at 13:30 GMT on 3/8/2013 and since stock markets will not be open, I will look to trade the USD/JPY after the release. Later in the day, there will likely be setups for the S&P 500 as well.
Massive movement expected on this friday, UNLIKE the past 3 months where NFP didn't really make any impact on the movement.... But still, watch out for a sharp movement on THursday... I'm Bullish for Gold...
We’ll see. I think the situation is changing rapidly. Now the US Budget cutoff will have dramatic impact on the markets. There is already a rise in the dollar index and it could continue more, especially if the euro zone situation continue to escalate.
Yes, Lester there is some power in the US dollar now, visible on the JPY, CAD, GBP crosses and also less effectively on EUR and AUD crosses. It is most probably due to risk of decreasing the quantitative easing policy in the future, but all this is just a rumor and could disappear very fast, especially after some good news on the US economy, which could be the positive change in the NFP number. So I will be looking for a retracement of all the risk assets and currencies if there is such a change in the NFP. If not I will not trade.
Nice to see some specific opinions on the subject. This week's data is suggesting a positive number (ADP was very strong and showed revisions for the previous month), but this actually opens up a wider possibility for failures if the number comes in negative. The S&P500 and USD/JPY are the preferred vehicles for trades here.
Since its before the stock open, I will be looking at the USD/JPY. A break of 94.50 is a signal for short term PUTS (hourly or less). A positive number (anything above 160,000) will send prices through 96, and this is an acceptable entry for CALL options.