Gross Domestic Product For Canada Is Trade Opportunity

Friday morning at 8:30 AM ET, May 29, 2015, the Canadian Gross Domestic Product (GDP) report comes out. The GDP report tells the increase in the inflation-adjusted value of all goods and services produced in Canada since the last report which comes out monthly. The report comes out 60 days after the month ends. A monthly report is unique to Canada, usually countries report this quarterly, although Canada also reports GDP quarterly by summing the previous months’ reports. GDP is a widespread way to measure economic activity and is still used as the primary method for assessing economic health today.

Set Up For A Profit Potential Of $25 Or More

This report is a trade opportunity using Nadex Spreads and an Iron Condor strategy. For this trade it is recommended, based on past market reaction from previous report releases, to set up an Iron Condor strategy using Nadex USD/CAD Spreads. You can enter as early as 8:00 AM ET for 10:00 AM ET expirations. To do this you buy the lower spread and sell the upper spread. The ceiling of the lower spread should be where the floor of the upper spread is, and where the then current underlying USD/CAD is trading. Your strategy should have a profit potential of $25 or more. Try to buy the lower spread for around $13 or more and sell the upper spread for around $13 or more. You can trade more spreads as long as there are the same number of spread contracts on each side.

Again, based on research from previous releases, it was found that the USD/CAD usually reacts after the news is released and then normally pulls back. This reaction is enough for prices in the spreads to have “implied volatility”, allowing for the profit potential. However, if prices don’t reflect that, and you aren’t able to find spreads with the right pricing, then don’t take the trade. If you do find the right pricing and right spread setup, then once the market pulls back the closer to between your two spreads the market gets, the higher your profit.

Nadex Spreads Defined Limited Risk

Nadex Spreads provide limited defined risk. When you enter a spread you put up the total amount of risk for the trade. When exiting a spread, you are returned that amount, less your actual loss or plus your profit from the trade. Therefore, you know right at entry the defined amount of max loss you could incur. The Iron Condor strategy also offers low risk. For this trade the market could move 50 pips in one direction and the trade would still have a 1:1 max risk reward ratio. For this trade, based on research and analysis by the news research department at Apex Investing, the market tends to move an estimated 25 pips and pull back. For more information on trading Nadex and to learn more about Apex Investing visit www.apexinvesting.com. Nadex is traded from 49 different countries.