Twinkle, twinkle currencies.......(after the NFP report)

Last Friday was the release date of the monthly Non-Farm Payroll (NFP) report in the US. This is one of the most influential report on the forex market as far as the USD is concerned. As a newbie in Forex trading, I was advised to stay on the sideline and watch the fireworks that will result from this report as nobody will know for sure how the market will react. This is the time where scalpers will make a killing or be killed. So I closed all my floating positions and waited in front of my laptop. Sure enough the market reacted and the USD shot up against all the major currencies in the next fifteen minutes after the release of the report, like a rocket launch.

Being in a creative mood and since the market was closed for the weekend, I took inspiration from Lewis Carroll, one of the greatest creator of parodies, to record the reaction of the market after the NFP report. Carroll's piece was twinkle, twinkle little bat....... and mine is twinkle, twinkle currencies.......(This is best sung to the tune of twinkle, twinkle, little star.....)

Prologue

Twinkle, twinkle N-F-P
What you get’s not what you see.
Where more is low and less is high,
When I see sell, you turn to buy.
Twinkle, twinkle N-F-P,
Please don’t bring me to my knees.

The reactions

Twinkle, twinkle E-U-R,
Like the plunging Niagara.
I’ve been praying for your rise,
I have paid a heavy price
Twinkle, twinkle E-U-R,
You will need some Viagara.

Twinkle, twinkle G-B-P
What a trick you played on me.
When I sold, you took a bend;
Now I have to say amen.
Twinkle, twinkle G-B-P
Thanks to you, I’m lost at sea.

Twinkle, twinkle C-H-F,
When you dive, there’s nothing left.
Lower, lower down you go,
I’ve been battered, blow by blow.
Twinkle, twinkle C-H-F,
You have put me in deep cleft.

Twinkle, twinkle J-P-Y,
On the downward path you fly.
All my profits, they are gone;
I’m better off to trade the won.
Twinkle, twinkle J-P-Y,
My poor pocket, you wring dry.

Epilogue

Twinkle, twinkle U-S-D,
How I wonder where you’ll be.
Up the charts you rise so high,
Oh as if you’ll reach the sky.
Twinkle, twinkle U-S-D,
I just wander, woe is me.

So much for pips. More on my PIPS in my next post.

Ronald Kwok
http://cbpirate.com/s/cbp/ronaldkwok