Feb 182012

6A 03 12 (1 Min) 01.18.12

1/18/2012 Monthly Unemployment Report (1430 HI time / 1930 EST)
Non Farm Jobs Forecast: 10.2K
Non Farm Jobs Actual:-29.3K
Previous Revision: -1.2K to -7.5K
Rate Forecast: 5.3%
Rate Actual:5.2%
Started @ 1.0357
1st Peak @ 1.0307 – 1431 (1 min)
50 ticks

Reversal to 1.0343 – 1433 (3 min)
36 ticks

Notes: Strongly negative report that fell short of the forecast with a meager negative revision to the previous report causing a large spike downward. However, it could not hang on to the bottom 19 ticks due to crossing the PP line, hitting the S1 line, and digesting the improvement to the rate despite nearly 30k jobs lost. The market shot down hitting the S1 line and bounced up and down 12 ticks for about 7 seconds before pulling back. Watching the range chart and seeing it repetitively hit the S1 line, I would close out in that area.