Free Forex Signals for 02/20/2007
Hi there 
I hope you are having a wonderful day today Today’s trading was slow due to the President’s day in the US and the Asian holidays. However, tomorrow is a very big day that could potentially bring well over 100 pips But before I go there, let’s quickly review what happened today.
I personally didn’t trade today, because there were no important economic news announcements. Rob Grespi took three trades today. One was a break even, another one made +24 pips, and another one lost -2 pips. So the total for today for Rob was +22 pips, which brought his performance for February to +907 pips total. I suggest seeing his live trading videos by going to this link:
http://www.kingforexsignals.com/tradedetails/0207
Now, let’s talk about the exciting day tomorrow
1. Tuesday, February 20th, 2007 (7:00 am New York Time) CANADA
We have Canadian CPI figures coming out for the month of January. As you may already know, CPI is the most watched inflation measure out of Canada, and its reading may eventually affect interest rate policy for Canada. My focus will be on core monthly CPI core, which last month came out at -0.2%. Because of such drop last month, they are expecting a slight recovery in January to 0.1%. If the number comes out again at -0.2%, it would be the biggest back to back core CPI drop since end of 2001, and therefore may be bad for the Canadian dollar short term, so you may possibly go long on USD/CAD. If the number comes out at 0.4% or higher, it would signify that previous month’s drop was a fluke, and inflation is still strong, and would probably be good for the Canadian dollar short term, so you can possibly go short on USD/CAD. You can try holding the position either way for around 30 minutes or so, or until around 50 to 60 pips target is reached from pre-release price. I will personally be trading with less conservative triggers, and will be providing less conservative triggers to members of forexdiamonds.com and secretnewsweapon.com, but that’s not because I am trying to be mean to you. Unless you are a member of those services, you probably won’t be able to catch initial spike, and you will need more conservative triggers like I provided here in order to catch second wave trade after initial spike and retracement.
2. Tuesday, February 20th, 2007 (10:00 pm New York Time (tentative))
Then we have probably one of the biggest events happening for the month of February. We have Bank of Japan announcing their interest rate statement. Remember, there have been a lot of controversy and uncertainty of whether Bank of Japan (BOJ) will raise their interest rates this month. Unfortunately there is no really specific time of when the rates will be announced, so I’ll start watching at 10:00 pm New York Time, and will keep watching until the rate is announced…I hope they don’t announce it before 10:00 pm. Or maybe I should say fortunately that there is no specific time Because their interest rate statement will come unpredictably, brokers won’t be able to hike their spreads and there will still be more than normal amounts of speculative liquidity. If Japan hikes the rate to 0.50%, it would be good for the yen, so I may possibly go short on USD/JPY, and plan to hold on to the position for several hours, or even overnight…depending on the price action. If Japan keeps the rate unchanged at 0.25% or cuts it (cut is nearly impossible), but if they keep the rates unchanged, it would be bad for the yen, and I may possibly go long on USD/JPY. If you are in any cross yen carry trades, and they hike the rate, I would possibly suggest reversing, and then re-entering at a better price.
This maybe a tricky trade like it was last month. There is all kind of information that comes in through news wire of different leaks and speculations from different news companies, so all I can say is be careful of where the price is at before the report, and look at price action for several hours prior, to see if there were already any big moves…
That’s all I have to say about tomorrow
To Our Success!
-Felix Homogratus
1617 Broadway St., Suite 1001
New York, NY 10002
USA