Put A Trade On And Say Goodnight

This is a trade tip you can do in the evening at 11:00 PM ET on Monday, July 6, 2015, for a scheduled news event. You can actually put the trade on, go to sleep and check on it in the morning. Don’t worry, it’s a low risk trade using an Iron Condor strategy and Nadex Spreads.

The news release is the Switzerland Federal Statistical Office releasing their CPI, Consumer Price Index. The CPI measures the change in the price of goods and services purchased by consumers from one month to the next. The price of goods and services affects inflation which if it is seen as going up can then affect interest rates.

Trade Nadex USD/CHF Spreads With Limited Defined Upfront Risk

To set up this trade using Nadex USD/CHF Spreads you want to buy the lower spread and sell the upper spread. The floor of the upper spread should be where the ceiling of the lower spread is and where the underlying USD/CHF market is trading at that time. You can enter the trade at 11:00 PM ET Monday, July 6, 2015, right before bedtime and leave the trade on until Tuesday morning, July 7, 2015, for expiration at 7:00 AM ET. Nadex Spreads offer defined up-front risk. You will pay your risk up front which is your total margin for the trade, but when it closes you receive your profit plus what you put up for the trade, or if you lose you receive what you put up for the trade less your loss. Your risk cannot exceed that.

An Iron Condor With A Wide Max Risk Reward Ratio

The Iron Condor is low risk because it has a wide max risk-reward ratio. For this trade you want a profit potential of $25 or more. To get that you need to buy the lower spread for around $12 - $13 or more and sell the upper for around $12 - $13 or more, so that for the two you pay around $25 or more. On this news event the market tends to react and move and then pull back. The trade can be left on until expiration. The closer to the center of the Iron Condor it returns the greater your profit. For this Iron Condor the market can move in either direction 50 pips and remain around there and you will still have a max 1:1 risk reward ratio.

Based on 12 - 24 past reports and market analysis it was found that an Iron Condor strategy with a profit potential of $25 or more made for a high probability trade on this news event. Apex Investing provides a weekly calendar of scheduled news events along with strategies to trade them at www.apexinvesting.com. Nadex can be traded from 49 different countries. To see a full example of an Iron Condor trade read The Awesomeness Of An Iron Condor.