Muted reaction to NFP for equities

Muted reaction to NFP for equities

by Anna Coulling Comment Closed
Muted reaction to NFP for equities Fundamental news is often cyclical, and the importance of one type will vary according to where we are in the economic cycle. In addition, such items may be overshadowed by more prescient news, and this is certainly the case at present with the coronavirus dominating world headlines and driving fear in the markets. So it was no surprise to see the monthly NFP release have little impact on US indices, which paused momentarily before continuing their journey South as we can see across the three sisters here of the YM emini, the NQ emini and the ES emini. Note the weakness in the reaction at the top of the 5 m charts. Non-Farm Payroll (NFP): A Key Economic Indicator for Traders Non-Farm Payroll (NFP) is one of the most anticipated economic releases in the trading world. Issued monthly by the U.S. Bureau of Labor Statistics, NFP reports the change in U.S. employment excluding farm workers, private household...
Read More
Great VPA lessons on the CAD/JPY

Great VPA lessons on the CAD/JPY

by Anna Coulling Comment Closed
Great Volume Price Analysis Lessons On The CAD/JPY Some classic price action on the CAD/JPY daily chart, and in particular, several volume price analysis lessons to take away. First, note the volume anomaly on the wide spread up candle. Volume is average, so the market makers are not participating, as the trap is set. Clearly, volume and price are not in agreement, and this is a sure signal of weakness ahead. The price waterfall is developing as expected, and note the rising volume in a falling market, confirming the strength of the trend. Finally, in the last few days, we have had a two-bar reversal on good volume, with the currency pair looking weak. And remember, the Canadian dollar is closely associated with oil and with the recent fall in oil prices, this has also been reflected in the currency and one of the topics I cover in my free forex webclass. Volume Price Analysis (VPA) 101: A Beginner's Introduction Volume Price Analysis (VPA)...
Read More
«‹313233