News trading: straddle, fade or wait?
Three families of news strategy: the straddle (orders both sides before the release), the fade (trade against the spike when it overshoots), and the wait (enter after the first structure forms). Each has its own death scenario.
Which do you trade?
- the release, the strategy and your rules
- the death scenario you've lived through
- how spreads and slippage changed your numbers
The CPI and payrolls guides explain the releases themselves.
Background: Non-farm payrolls explained: why the US jobs report moves the dollar
The monthly Employment Situation report is one of the most traded events in currency markets. What it measures, when it comes out and why the first move often fades.
When is the non-farm payrolls report released?
Usually on the first Friday of the month at 8:30 a.m. New York time. The exact dates are on the Bureau of Labor Statistics release schedule.
What is a good NFP number?
There is no fixed level. Markets react to how the figure compares with economists' forecasts, and to revisions, wages and the unemployment rate in the same report.
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