Trading Signals and News Update For Monday and Tuesday

Next week we have nothing going on on Sunday as well as on Monday so you can have a nice, long weekend.

1. Tuesday, September 25th, 2007 (4:00 a.m. New York Time) GERMANY, EURO ZONE
At 4.00 a.m. we will have German IFO. I suggest you skipping that one unless you really know what you are doing. A lot of factors such as price sentiment need to be taken under consideration if you want to trade that one. If you do know what to do, you do not need my assistance to do it.

2. Tuesday, September 25th, 2007 (10:00 a.m. New York Time) USA
At 10.00 a.m. we will have U.S. Existing Home Sales and U.S. Consumer Confidence coming out. Home sales is pretty much number 1 topic right now, and I believe Existing home sales is going to be more important than the consumer confidence; however, the consumer confidence has to be in tune with home sales. If it is conflicting too much, that would be a little messy trade. Existing Home Sales are expected to come out at 5.5 M. If they come out at 5.8 M or higher, that would actually be a significant rebound, better reading than the last two months, and I think based on that GBP/USD may possibly go down by 40 pips or more in the first hour of the report. On the other hand, if the home sales disappoints, and reads 5.2 million, that would actually be a quite big jump down from 5.75 million last month, and a reading of 5.2 million or lower would probably drive GBP/USD up by 40 pips or more in the first hour of the report. Again, if U.S. consumer confidence conflicts, and that there is some really important price levels, the move may be a little bit choppy, however, if they don't conflict, there is a pretty good chance to hit my price projections.

SUMMARY:
* Report: U.S. Existing Home Sales
* Sell on GBP/USD if the number will be 5.8 M or higher.
* Buy on GBP/USD if the number will be 5.2 M or lower.
* If the trigger is hit, expect 40 pips or more in the first hour of the report.

3. Tuesday, September 25th, 2007 (6:45 a.m. New York Time) NEW ZEALAND
Then at 6.45 p.m. New York time we will have New Zealand trade balance coming out. It is expected to read at -1 B. This should be a pretty simple one. There is no conflicting indicators at the same time. If it reads -1.5 B, that would be a very negative reading, way more negative than the expectations are, and I think NZD/USD may possibly go down by 35 pips or more in the first hour of the report. On the other hand, if the New Zealand trade balance comes out reading -500 million or less negative, I think that would be a relatively positive reading, and NZD/USD may possibly gain 35 pips or more in the first hour of the report. On this one, most of the movie may happen on the first spike so wait for retracement for a good entry. Try to get an entry within 10 pips or better of the pre-release price. If you cannot get it, do not trade it. What also would be very important is how the trade balance is driven: whether it is export or import, meaning whether the export is better than expected, or import is worse than expected. Obviously, a positive trade balance driven by export is a lot better than a positive trade balance that is driven by same export and decreased import. I hope I did not confuse you with this import-export stuff.

SUMMARY:
* Report: NZ Trade Balance
* Sell on NZD/USD if the number will be -1.5 B or more negative.
* Buy on NZD/USD if the number will be -0.5 B or less negative.
* If the trigger is hit, expect 35 pips or more in the first hour of the report.

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