On October 7, the first Friday of the month, at 3:30 p.m. Moscow time, we are waiting again for updates on U.S. and Canadian labor market statistics, namely Nonfarm Payrolls (NFP) and Employment Change in Canada, as well as unemployment figures for the United States and Canada.
There is also a chance to earn with the pair USDCAD again.
According to forecasts, U.S. employment is projected to fall, Canadian employment is projected
expected to rise, and both countries' unemployment is projected to remain unchanged.
Possible options for entering and exiting the market:
1. The expectations in terms of employment have come true.
We trade on multidirectional changes and catch a decline in the pair USDCAD in the first 15 minutes (expected rate of return 0.1-0.2% or more).
Protective Stop Loss order is set above the maximum of the previous day.
2. In case of opposite changes in unemployment levels, i.e. US unemployment decreases and Canadian unemployment increases, we open a long position when the statistics are updated (we open a short position when US unemployment goes up and Canadian unemployment goes down), we close 3 or 8 hours later (at 6:30 p.m. or 11:30 p.m. Moscow time). Expected rate of return on a trade is 0.1-0.2% or more.
Protective order Stop Loss is exposed below the minimum / above the maximum of the previous day.
On the fundamental side, in an era of rapid rate hikes by central banks around the world, US and Canadian interest rates are currently the same, at least until the next Fed and Bank of Canada meetings. In case the Fed's hawkish policy continues and rates rise on November 2, the dollar and the USDCAD pair will resume rising.
Don't forget that as a rule, volatility increases a lot when NFP data is published!
Also remember the spread and money management rules!
Risk disclosure!
Trading in financial markets entails a high level of risk and can result in loss of investment capital. MarketCheese team is not responsible for possible loss of your investment funds.
This content is for informational purposes only and is not intended to be investing advice.
