Jan 302014

6A 03-14 (1 Min)  1_19_2014 HG 03-14 (1 Min)  1_19_2014

1/19/2014 CNY Quarterly GDP (2100 EST)
Forecast: 7.6%
Actual: 7.7%
Previous Revision: n/a
SPIKE WITH 2ND PEAK (Early release)
Started @ 0.8743 (2159:14)
1st Peak @ 0.8758 – 2200 (1 min)
15 ticks

Reversal to 0.8743 – 2201 (2 min)
15 ticks

2nd Peak @ 0.8772 – 2106 (7 min)
29 ticks

Reversal to 0.8753 – 2123 (24 min)
19 ticks

Notes: Nearly matching report that was 0.1% better than forecast released about 6 sec early to cause a long spike of 15 ticks that reached the R1 Pivot, then chopped between the origin and the R2 Pivot 2 times. With JOBB and a properly synchronized clock, you would have seen the bracket activate after the initial burst and a small retreat. Fortunately there was a lull in the movement for about 5 sec to allow the orders to be cancelled before a fill would have happened. If you had not cancelled the order, with JOBB, you would have filled long at 0.8755 with 1 tick of slippage. It hovered near the R2 Pivot for about 15 sec, so look to exit near break even. After the reversal to the origin on the :01 bar, it rebounded for a 2nd peak of 14 more ticks as it eclipsed the R2 Mid Pivot on the :06 bar. Then it reversed for 19 ticks in the next 17 min, back to the 50 SMA. We also advise placing a manual order on the HG in the same direction as the 6A reacts with the anticipation of a delayed move about 2-4 min later. In this case, buy the HG at about 3.3480 and look for about 6-8 ticks since it was a narrow offset on the result.