The Weekly Top 5 Binary Options Trading Forecasts 06/23-27/2014
The Must Watch Top 5 Events of the Week
1. American CB Consumer Confidence
06/24/2014 – Tuesday at 2:00 pm GMT
What will it affect: USD, US stocks and indices
Forecast: 83.6 from the previous 83.0
Where to keep an eye on the event: CommuniTraders, Forex Factory, Bloomberg, Reuters, DailyFX
Why traders care and what to expect: The Conference Board index is based upon a sample of thousands of mail-in surveys, thus having the largest unified sample of any US measure of consumer confidence. Despite these massive resources, some analysts do not like to rely on it due to its volatility and weak connection to household expenditure, and instead they turn to the University of Michigan index. Either way traders should constantly monitor consumer confidence as it is a leading indicator of consumer spending.
Directional bias: UP if the actual value is higher than 83.6
DOWN if the actual value is lower than 83.6
How I would trade this event: I would buy a one hour Call on S&P500 if the value will be higher than 84.0
2. US Gross Domestic Product (quarter over quarter)
06/25/2014 – Wednesday at 12:30 pm GMT
What will it affect: US, US stocks and indices
Forecast: -1.7% from the previous -1.0%
Where to keep an eye on the event: CommuniTraders, Bloomberg, Reuters, DailyFX, Forex Factory
Why traders care and what to expect: There are three versions of this indicator: Advanced, Preliminary and Final; all released a month apart of each other. Although the Advanced is considered to have the most impact, the Final version should not be overlooked as GDP is the most comprehensive measure of economic output and performance.
Directional bias: UP if the actual value is higher than -1.7%
DOWN if the actual value is lower than -1.7%
How I would trade this event: I would place an hourly Put on USD/JPY if the value will be lower than -2.0%
3. BOE Governor Mark Carney Speaks
06/26/2014 – Thursday at 9:30 am GMT
What will it affect: GBP, FTSE
Forecast: no forecast is announced for this type of event
Where to keep an eye on the event: CommuniTraders, Forex Factory, DailyFX, Bloomberg, Reuters
Why traders care and what to expect: Governor Mark Carney is due to hold a press conference in London, regarding the Financial Stability Report. This Report is published twice a year and it presents the outlook of the Financial Policy Committee regarding the stability and resilience of the financial sector. As we know all public appearances of BOE’s Governor tend to incite volatility and today’s Press Conference could have the same impact.
Directional bias: UP if the President’s attitude is hawkish
DOWN if the President’s attitude is dovish
How I would trade this event: I will trade after the event is over if a clear direction is in place.
4. New Zealand Trade Balance
06/26/2014 – Thursday at 10:45pm GMT
What will it affect: NZD, New Zealand stocks and indices
Forecast: 250M from the previous of 534M
Where to keep an eye on the event: CommuniTraders, Bloomberg, Reuters, Forex Factory, Daily FX
Why traders care and what to expect: Trade Balance reflects the difference between the value of exports and imports, during the reported month. New Zealand’s exports are directly linked with New Zealand Dollar, as foreigners must buy the domestic currency in order to pay their ordered goods. This is why an increase in the Trade Balance is considered fruitful for the economy and its currency.
Directional bias: UP if the actual value is higher than 250M
Down if the actual value is lower than 250M
How I would trade this event: I would buy an end of day Put on NZD/USD if the value will be lower than 250 Millions.
5. German Consumer Price Index
06/27/2014 – Friday at 12:00 pm GMT
What will it affect: EUR, DAX
Forecast: 0.2% from the previous -0.1%
Where to keep an eye on the event: CommuniTraders, Forex Factory, Daily FX, Bloomberg, Reuters
Why traders care and what to expect: We all know that German economy is an important pillar for the Euro Zone economic stability and that is why all German indicators tend to gather more attention around them. Considering ECB’s latest monetary policy changes in order to contain inflation between their comfort boundaries, we can expect that German CPI will be closely monitored as it basically measures German Inflation.
Directional bias: UP if the value is higher than 0.2%
DOWN if the value is lower than 0.2%
How I would trade this event: I would buy an hourly Call on DAX if the value surpasses the forecast.
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Note: The times, dates and values can change during the week. Also, different sources sometimes show different values. Keep an eye on the mentioned financial websites for any modifications.