Trade Tip For US Manufacturing Info Coming Out Friday

The US Capacity Utilization Rate and Industrial Production News is being released at 9:15 AM ET on Friday, May 15, 2015. Capacity Utilization is a measure of the percentage of available resources being utilized by manufacturers, mines and utilities. The Industrial Production News is the change in total inflation-adjusted value of output produced by manufacturers, mines and utilities. They are released monthly and when the actual numbers are greater than the forecast it’s good for currency.

A Profit Potential Of $30 Or More For Trading Nadex EUR/USD Spreads

The tip to trade these scheduled releases includes using Nadex EUR/USD Spreads to set up an Iron Condor strategy. You need a profit potential of $30 or more for your Iron Condor where you buy the lower spread and sell the upper spread. The ceiling of the lower spread should be where the then current EUR/USD underlying market is trading and the floor of the upper spread should be where the then current EUR/USD underlying market is trading.

If Not Enough Profit Potential, Then No Trade

Once the news is released, it’s anticipated the EUR/USD will react and move, however it’s unknown in which direction it will move, hence, the tip for an Iron Condor strategy. After the move the market usually pulls back. The closer it pulls back to the center of the two spreads the higher the profit potential. You can leave your trade on until expiration, letting it play out. If there isn’t enough implied volatility in the pricing of the spreads to give you a profit potential of $30 or more, then don’t place the trade.

For this trade the market can move up to 60 pips in either direction and you will still have a max 1:1 risk reward ratio. Nadex can be traded from 49 different countries. To learn more about how to trade the news using Nadex spreads, you can go to www.apexinvesting.com. Apex Investing provides a complete news calendar with strategies.