US Pending Home Sales Report: Time To Schedule An Iron Condor

The US Pending Home Sales is reported approximately 28 days after the month ends. It comes out monthly from the National Association of Realtors, and measures the change in the number of houses under contract to be sold but not having closed yet, and does not include new construction. It is released approximately a week after existing home sales. Contracts are signed several weeks before a home is considered closed so, therefore this report is forward looking. It is a leading indicator of economic health as a home sold can trigger more expenditures throughout the economy including home renovations and sale of the mortgage, as well as brokers and title companies being paid. This week on Wednesday, December 31, the next report comes out at 10:00 AM. During news times premium is often inflated providing trading opportunities for Nadex spreads.

Based on news trading research on this particular report, an Iron Condor strategy on the EUR/USD, with a minimum profit potential of $30 is recommended on the Apex News Trading Plan. An Iron Condor is perfect for range bound trading when little movement or no particular direction is anticipated, or after a move the market settles back to roughly where it was. You sell an upper spread and buy a lower spread, with the floor from your upper sold spread being the same as the ceiling of your lower bought spread. You enter both sides at the same time and can hold until expiration. The closer to center or middle of the spreads the market is when the spreads expire, the greater the profit, making this a premium collecting trade. For this trade, it is recommended that you find spreads on the EUR/USD with a minimum possible profit potential of $30 and entering as early as 9:00 AM with an 11:00 AM expiration. The further out from expiration and the earlier you get into the trade, generally the more premium there is making it easier to setup your desired minimum profit potential. If the recommended premium is not available then there is no trade. The range is too tight for there to be high probability of profiting on the iron condor strategy. Below is the list of dates the monthly report was released during 2014.

A complete monthly news plan is available at Apex, to trade a variety of markets based on numerous news events. If you would like to learn more on how to trade Iron Condors or trade other news events, go to www.apexinvesting.com, a service provided by Darrell Martin. Apex Investing Institute offers free education, and free access to the Nadex Binary and Spread Scanner Analyzers. Member traders are invited to trade in the rooms, take advantage of trade signal services, have key indicators and access the Apex Forum. The forum content is updated daily and includes over 9000 members. In a supportive learning community of seasoned as well as up and coming traders, traders of all levels learn how to trade Nadex binaries and spreads in depth, as well as futures, forex, stock and options, and gain an edge for successful trading overall.