UK GDP and Current Account

Pair: GBP/USD
Bias: Long
Result: No Trade
Spread: 25 pips

Not enough deviation to make a trade. Oanda put their spreads up to 25 for 5 seconds at release time. They have shown that it is pretty much impossible to news trade with them at this time. I will therefore stop live trading until it settles down and we have a clear direction as to how to trade the news. With 25 pip spreads and the risk of big slippage it is impossible to trade the news now without losing money.

If you find a good consistent broker please let me know – consistency is the key.

Forex25 Comments
This is made up of 2 numbers. if both GDP and Current account are in the same direction then it’s pretty safe. If Current account is the same and GDP moves then it’s worth 30. If GDP stays the same and Current account deviates by a lot then it’s pretty safe.

Description
Gross Domestic Product (GDP) measures the total value of all goods and services produced by the economy. A rising trend has a positive effect on the nation’s currency. GDP is the broadest measure of activity and the primary gauge of the economy’s health. To foreign investors, a strong economy is viewed favorably because it spurs investment opportunities in the domestic stock and bond markets. More importantly, the central bank is more likely to raise interest rates in the face of a strong and growing economy. The combination of these effects can have a large impact on the demand for the nation’s currency.