Durable Goods Orders: How To Trade With Crowd Indicator?
We had published the question about Durable Goods Orders in the United States a few days before the report was released:
New orders for U.S. durable goods shrank 4% in June from May of 2016. Will July’s durable goods orders rise more than 3.7% according to August 25 report?
Cindicator users made the prediction that durable goods orders would not rise above consensus (crowd indicator for that event was 43%). Therefore, we had bought one million EUR/USD at 1.12875 at 8:28 am on Wednesday, August 24 right before the report was revealed.
Durable goods orders rose 4.4%, topping estimates of 3.7% so our users gave us the wrong signal that time. American dollar depreciated against the Euro; nevertheless, the loss was not as drastic as it could have been. We closed our EUR/USD position at 1.12827 for $480 loss (about 0.26%).
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