What to look for? The forecast is set for an even 5%. Alright, so what does this mean to us news traders? This NFP announcement is obviously one of the biggest events in some time, so we should see movement on all currency pairs. If you were going to trade the news, you are best off trading the GBPUSD. This pair moves really well when news is released and has the potential to make you the most amount of pips.
If you have a straddle system, you need to make sure you be careful during NFP, as they like to play games right before the news is released. Of course execution is very important as well. You can see our broker list for more information.
We are going to test a breakout strategy on this one. We will let the pair develop its support and resistance within the first 15 minutes and look for a breakout from there. We will enter long or short once our buffer is hit, this way we won’t get sucked into a false breakout. No one likes those.
Good Luck Tomorrow.