Consistent Market-Moving News for the GBP/JPY | Forex Factory

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Consistent Market-Moving News for the GBP/JPY

  • #1
  • First Post: Oct 1, 2007 4:43pm Oct 1, 2007 4:43pm
Hi,

I have been observing this pair for a while and it has constantly fascinated me. During the month of September, I have seen some fantastic moves resulting from news such as the U.S. interest rate, CPI and the GBP Retail Sales. On the other hand, other news such as U.S. Trade Balance to even the Existing Home Sales did not produce any large favorable movements.

Do any of you guys know what news consistently create large movements for the GBP/JPY?
  • #2
  • Oct 1, 2007 9:24pm Oct 1, 2007 9:24pm
I suggest you browse through 2 years worth of GBPJPY chart on M1 resolution and if you notice any big price action, cross reference it with any news that came out on that exact minute. I personally havent done this on GBPJPY, but thats how I did it on other news.
  • #3
  • Oct 2, 2007 9:49am Oct 2, 2007 9:49am
The NFP often moves GBP/JPY.. I have known it move 200 in a very short time frame.
  • #4
  • Oct 2, 2007 1:46pm Oct 2, 2007 1:46pm
BurgerKing, do you know where I can use free charts to see up to 2 years back on a minute-by-minute to hourly basis? I currently use netdania, but have used other free charts such as metatrader. Although most of the free ones can go back for years, they do not allow me to look at the smaller time frames to accurately see the movements from the news.

Definitely, PeterM, the NFP is always a big mover! On the last NFP, the GBP/JPY moved 400 pips! I can't wait for this week's NFP!!

By the way, thank you Merlin for correcting the thread's error!
  • #5
  • Oct 2, 2007 11:20pm Oct 2, 2007 11:20pm
Saxy, I think, and anyone can correct me if im wrong, but after working with the GY over the past few months, it seems the GY follows the UY more than the GU, yet for UK news it will follow the GU.

I trade the GY for UK news for sure. I am still undecided about US news. It definitely gets a little trickier.. I agree though, 400 points is amazing.. its like how the NFP would move the GU back in the day from what I have heard.. now days your lucky to grab 50 points..

Quoting saxytrader
BurgerKing, do you know where I can use free charts to see up to 2 years back on a minute-by-minute to hourly basis? I currently use netdania, but have used other free charts such as metatrader. Although most of the free ones can go back for years, they do not allow me to look at the smaller time frames to accurately see the movements from the news.

Definitely, PeterM, the NFP is always a big mover! On the last NFP, the GBP/JPY moved 400 pips! I can't wait for this week's NFP!!

By the way, thank you Merlin for correcting the thread's error!
  • #6
  • Oct 2, 2007 11:48pm Oct 2, 2007 11:48pm
Quoting saxytrader
BurgerKing, do you know where I can use free charts to see up to 2 years back on a minute-by-minute to hourly basis? I currently use netdania, but have used other free charts such as metatrader. Although most of the free ones can go back for years, they do not allow me to look at the smaller time frames to accurately see the movements from the news.

Definitely, PeterM, the NFP is always a big mover! On the last NFP, the GBP/JPY moved 400 pips! I can't wait for this week's NFP!!

By the way, thank you Merlin for correcting the thread's error!
Alpari offers a databank of charts on many pairs.
Dukascopy also albeit you'd be able to retrieve only a few weeks' worth before they disable you.
I have listed the pro/cons of each provider on a diff thread.

For simple study, just go with Alpari'; saves you the thinking on how to fetch the data from Dukascopy
  • #7
  • Oct 3, 2007 10:45pm Oct 3, 2007 10:45pm
Quoting cheezehead
I trade the GY for UK news for sure. I am still undecided about US news. It definitely gets a little trickier.. I agree though, 400 points is amazing.. its like how the NFP would move the GU back in the day from what I have heard.. now days your lucky to grab 50 points..
I used to trade the GBP/USD, but like you, got annoyed with the much lower output. Although I have only collected one month of data for the GBP/JPY, it does look very promising. But definitely, I am going to need a chart that will let me research up to 2 years worth of data to actually see what news truly "stimulates" the GBP/JPY.

Quoting BurgerKing
Alpari offers a databank of charts on many pairs.
Dukascopy also albeit you'd be able to retrieve only a few weeks' worth before they disable you.
I have listed the pro/cons of each provider on a diff thread.

For simple study, just go with Alpari'; saves you the thinking on how to fetch the data from Dukascopy
Thanks for the info BurgerKing! I'll be sure to check them out!
  • #8
  • Oct 5, 2007 1:04am Oct 5, 2007 1:04am
thankx guys for starting this discussion. This pair is very volatile and retreaces very fast and that's money for the smart guys. I'm still on the study, when i'm done too, i'll discuss it here. U.S. data moves the pair greatly.
  • #9
  • Oct 5, 2007 2:10pm Oct 5, 2007 2:10pm
I decided to trade the NFP news using the GBP/JPY, and surely enough, it gave me a 70 pip profit. Profit-wise, this was great, however, it paled in comparison to last month's NFP move of 400 pips.

I was able to check up to 3 months of data, and yes, this pair would trade well with a good number of U.S. news. Although this data provides a clearer picture, I will still need to dig deeper to see which news consistently makes a move on this pair.
  • #10
  • Oct 6, 2007 12:27am Oct 6, 2007 12:27am
iam new in forex . hope to help me to start will . what is meaning of NFP .where i can get a help of how i can trade with news with the pair GBP/JPY plz help me
  • #11
  • Oct 6, 2007 8:09pm Oct 6, 2007 8:09pm
Saxy,
What did it follow, the GBP/USD or the USD/JPY?


Quoting saxytrader
I decided to trade the NFP news using the GBP/JPY, and surely enough, it gave me a 70 pip profit. Profit-wise, this was great, however, it paled in comparison to last month's NFP move of 400 pips.

I was able to check up to 3 months of data, and yes, this pair would trade well with a good number of U.S. news. Although this data provides a clearer picture, I will still need to dig deeper to see which news consistently makes a move on this pair.
  • #12
  • Oct 7, 2007 8:49am Oct 7, 2007 8:49am
I would be cautious when it comes to mating the words "consistent" and "Market Mover" together. The fact is, news items can often change significance from year to year.
Binary Options Trader
  • #13
  • Oct 7, 2007 11:19am Oct 7, 2007 11:19am
NFP means non form Payroll. Donot say thanks(Iam also new in fx just like u).
Let's trade together.
  • #14
  • Edited 2:02pm Oct 7, 2007 1:44pm | Edited 2:02pm
Quoting cheezehead
Saxy,
What did it follow, the GBP/USD or the USD/JPY?
In exception for the large spike, the GBP/JPY seemed to follow the USD/JPY for this news. (Now that's one huge spike!)

Quoting Yoda_Glenn
I would be cautious when it comes to mating the words "consistent" and "Market Mover" together. The fact is, news items can often change significance from year to year.
Most definitely, news significance can change. What I am looking for is the news that provides a greater number of movement in relation to time compared to the others. When we all have that knowledge, I definitely think that we can all start building a steady, growing source of cashflow.

To all that are new to forex, please visit www.babypips.com. It is a very informative site that will help you understand the fundamentals to forex trading. (Surprisingly, many vendors charge thousands for the free, educational info you get on this site!)
  • #15
  • Oct 7, 2007 3:48pm Oct 7, 2007 3:48pm
Quoting cheezehead
Saxy,
What did it follow, the GBP/USD or the USD/JPY?
I dont know if anyone has ever notice the correllation between g/j and gbp/chf? usd/jpy moved closely with gbp/chf for d NFP spike. bUt let's talk about the PPI and its reconciliation with industrial production. Well i want to trade this with some level of moderacy as this did not hit my target last month. To me i think industrial production is not a big move in the uk for now. But let's watch out.
  • #16
  • Oct 7, 2007 7:44pm Oct 7, 2007 7:44pm
Quoting forexscalp
I dont know if anyone has ever notice the correllation between g/j and gbp/chf? usd/jpy moved closely with gbp/chf for d NFP spike. bUt let's talk about the PPI and its reconciliation with industrial production. Well i want to trade this with some level of moderacy as this did not hit my target last month. To me i think industrial production is not a big move in the uk for now. But let's watch out.
I wouldn't be surprised if pairs using the GBP & JPY currencies had similar movements. Reminds me of some hedge funds many wall streeters love to use. It works for some...others no. Some years ago, I tried this type of hedging with the EUR/USD & USD/CHF. Yes, they move in exact opposites, however, it isn't exact, which I "painfully" found out through experience.

PPI & Industrial Productions seem to have some potential for tomorrow. Last month, these news moved the market about 140-150 pips respectively. However, I probably will not trade these, for many news sources seem to be showing different news priorities. Fortunately, they all agree that the U.S. Trade Balance & U.S. Retail Sales will be the key events of the week.
  • #17
  • Oct 8, 2007 1:49am Oct 8, 2007 1:49am
Quoting saxytrader
In exception for the large spike, the GBP/JPY seemed to follow the USD/JPY for this news. (Now that's one huge spike!)



Most definitely, news significance can change. What I am looking for is the news that provides a greater number of movement in relation to time compared to the others. When we all have that knowledge, I definitely think that we can all start building a steady, growing source of cashflow.

To all that are new to forex, please visit www.babypips.com. It is a very informative site that will help you understand the fundamentals to forex trading. (Surprisingly, many vendors charge thousands for the free, educational info you get on this site!)
Sorry, I can't answer your question directly. What I advise is that you simply pay attention to market sentiment towards a pending announcement. If something is going to move the market, traders will be talking about it as if it were either Santa Clause or Godzilla. The News Trading section is a start.
Binary Options Trader
  • #18
  • Oct 8, 2007 8:42pm Oct 8, 2007 8:42pm
Quoting Yoda_Glenn
What I advise is that you simply pay attention to market sentiment towards a pending announcement. If something is going to move the market, traders will be talking about it as if it were either Santa Clause or Godzilla. The News Trading section is a start.
I agree with you about market sentiment. Finding the most important news to trade for the week will definitely help any trader out. However, I do not think that we need to talk to other traders about which news will move for the week. From my observation, you just need to gain a consensus from various, reliable news sources. My last post is an example:

Quoting saxytrader
PPI & Industrial Productions seem to have some potential for tomorrow. Last month, these news moved the market about 140-150 pips respectively. However, I probably will not trade these, for many news sources seem to be showing different news priorities. Fortunately, they all agree that the U.S. Trade Balance & U.S. Retail Sales will be the key events of the week.
These news (GBP PPI & Industrial Production) did move today, but it was very marginal. We probably would have just gotten a small 20-30 pip profit.
  • #19
  • Oct 8, 2007 10:35pm Oct 8, 2007 10:35pm
Thanks guys let see what other indicators have got for us for the week.
  • #20
  • Oct 9, 2007 6:12am Oct 9, 2007 6:12am
Any future outlook for g/j from President Trichet's speech? Let's see your view particularly on g/j. I feel strongly that the impact will not be felt too strong on g/j but will affect US pairs more like eur/usd, gbp/usd, etc. Pls put me right if i'm wrong.
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