NFP coming up : Non-Farm Payrolls

help meIn just under 2 hours (12:30pm GMT) the USD monthly NFP (Non-Farm Payrolls) is released, the major news release of all. The NFP measures the change in the number of employed people during the previous month, excluding the farming industry. This is vital economic data released shortly after the month ends. The combination of importance and earliness makes for hefty market impacts.

Adjusting market movements will start approximately 5 to 10 minutes before release and only the very brave, or traders with open positions that forget them, will trade this release. The forecast is for 231k (231 thousand extra jobs created) traders care because Job creation is an important leading indicator of consumer spending, which accounts for a majority of overall economic activity.

Triggers of approx plus or minus 60k are used by some traders to determine entry levels.  Most traders will wait approx 15 to 30 minutes after release before entering trades. Be mindful of sharp spikes on trailing stops.

If you are new to trading Forexsites recommends you don’t try to trade the NFP it is not for the faint hearted and can cause serious heart conditions. Watch and learn from the movements that may happen depending on the number. If it comes in close to forecast then any movements will be less.

Also called Non-Farm Payrolls, NFP, Employment Change.

Source info Forex Factory.

 

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