Oct 102012

6A 12 12 (1 Min) 10.10.12

10/10/2012 Monthly Unemployment Report (1430 HI time / 2030 EDT)
Non Farm Jobs Forecast: 5.1K
Non Farm Jobs Actual: 14.5K
Previous Revision: -0.3K to -9.1K
Rate Forecast: 5.3%
Rate Actual: 5.4%
Started @ 1.0171
1st Peak @ 1.0197 – 1431 (1 min)
26 ticks

Reversal to 1.0183 – 1434 (4 min)
14 ticks

2nd Peak @ 1.0211 – 1450 (20 min)
40 ticks

Reversal to 1.0191 – 1510 (40 min)
20 ticks

Notes: Mostly positive report that exceeded the forecast on jobs created with the unemployment rate increasing 0.1% due to 40,000 people joining the labor force, and a small downward revision to the previous report caused a moderate long spike of 26 ticks. With JOBB you would have filled long at about 1.0179 with 1 tick of slippage. After the fill you would have seen a quick pop to 1.0197 in 3 sec, then a retreat and hovering between 1.0180 and 1.0190 area. The increase in the rate caused the initial reluctance to go long, but after the reason was understood, it continued to rally. I set my sell limit at 1.0196 (1 tick below the 1st peak) and my order filled on the :32 bar for a 17 tick profit. All of the major SMAs were already below the trade action at the origin, so it only crossed the PP Pivot on the spike, while the 2nd peak eclipsed the R1 Pivot for another 14 ticks in 20 min. The reversal was able to garner 20 ticks in 20 min after the 2nd peak.