Jan 172013

6A 03 13 (1 Min) 01.17.13

1/17/2013 CNY Quarterly GDP (2100 EST)
Forecast: 7.8%
Actual: 7.9%
Previous Revision: n/a
Started @ 1.0500
1st Peak @ 1.0514 – 2101 (1 min)
14 ticks

Reversal to 1.0467 – 2137 (37 min)
47 ticks

Notes: Moderately positive report impressed the traders. This caused a long spike of 14 ticks that peaked on the :01 bar, crossing the R1 Pivot and peaking 3 ticks higher. The market had been trending higher in the previous several hours and was in an overbought mood for the long term. This made the spike unsustainable as the HOD was extended and the R1 Pivot was hit. With JOBB, you would have filled long at 1.0505 with 1 tick of slippage, then had an opportunity to exit with about 7-8 ticks in the middle of the :01 bar before it reversed and fell. After the peak, the reversal reclaimed 24 ticks in 10 min, then stalled for a few min, then fell another 23 ticks in 5 min to eclipse the S1 Pivot and bottom out at 1.0467.