Learn how to Trade the Spring Statement!
Platinum Analysts have predicted that we shall revisit the 1.5000 levels by end of December 2018 and today after the Spring statement is delivered we could see a nice move towards the upside.
Chancellor Philip Hammond is expected to deliver a spring Statement based on better than expected economic figures.
THE SPRING STATEMENT
The Chancellor of the Exchequer, Philip Hammond, has announced that the government will respond to the forecast from the Office for Budget Responsibility (OBR) in a Spring Statement on Tuesday 13 March 2018.
Following the Chancellor’s announcement at Autumn Statement 2016, there will now only be one major fiscal event in each year, held in the Autumn.
Yesterday the markets were quiet with the pound only up by 0.25% against the euro and around 0.40% against the dollar. Being a trader, it is good to assess the markets from both a fundamental and technical perspective before we decide to take the trade. Today we expect the Chancellor to deliver a message based on stronger economic footing compared to that of November.
Richard Flax, CIO of MF Stated “the Spring Statement is likely to be delivered with a positive spin following stabilising economic growth and a cut in public borrowing forecasts for 2017/18.
Platinum Analysts believe that the economy is in a better than expected state post-referendum and that the government is in a stronger position than the last 15 months. When we look at the UK economic growth for 2017 we hit 1.7% compared to the 1.5% predicted by the OBR.
As a trader we should go into this market news event with a positive bias as you know fundamentals always come first in trading forex compared to technicals.
Being optimistic we should not forget that it has been a very difficult time for the UK with so much uncertainty and this also affects inflow of Investments into the economy and with this comes a breakdown in consumer confidence.
NEWS EVENTS TIME AND EXPECTATIONS
Annual Budget Release:
Tuesday, 11:30. The Chancellor of the Exchequer Phillip Hammond will present the new UK budget.
This event, also known as the Spring Statement, will consist of new forecasts for the economy. In the event, growth forecasts were below 2% annually for all of the years in the forecast’s horizon.
The reason we have chosen to trade this news post-event is any upgrade or downgrade could move the pound drastically. We should be ready to take advantage of a 200-pip trade if this is the case.
The money hours for the 14th of March 2018 starts at 07:00 GMT and once you book your appointment you shall get an SMS to confirm your booking to learn how to trade this Forex News Event. This event is free on acceptance of consultation
FOREX TRADING STRATEGIES FOR TRADING THE SPRING STATEMENT:
This is a risk event and we suggest you use no more than 1% of the risk capital of your overall trading account for your personal trading purposes.
Important Pointers for Fx traders:
- Know the ranges of your currency pairs.
- Know the critical times of when to stop trading
- Do not revenge trade
- Do not trade GBP/USD between 16:00 and 17:00.
- If you are new to trading take out 50% of your balance to protect impulsive behaviour and risk.
To reveal how a platinum elite traders, take over 2000 pips a year on the other two strategies Book your interest rate decision session absolutely free!
I hope you found this blog informative and it assists you in trading the market with confidence.
At platinum, We trade everything live with our elite traders
Don’t be in the 90% let us help you be in the top 10% that Succeed!
Have a great week, be smart, stay sharp.
The Platinum Formula:
Perfect Fundamentals + Perfect Technical Analysis + Perfect Logic + Perfect Risk Management = Perfect Trade
Hopefully, you have enjoyed today’s article. Thanks for reading!
Have a fantastic day!
Live from the Platinum Trading Floor.
Get latest Forex and Cryptocurrency market reports and views, trading videos and forecasts of trading opportunities delivered straight to your Inbox.
The information you’ll find in this article is for educational purpose only. We make no promise or guarantee of income or earnings. You have to do some work, use your best judgement and perform due diligence before using the information in this article. Your success is still up to you. Nothing in this article is intended to be professional, legal, financial and/or accounting advice. Always seek competent advice from professionals in these matters. If you break the city or other local laws, we will not be held liable for any damages you incur.