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Building robots using MetaTrader to exploit the simplicity of the world

Why is the USD heading down after 3.5% GDP increase? Insider information?

I was reading an article in the financial times I believe on Monday.  The author of the article was saying how nobody could figure out why the USD was gaining ground against major currency pairs.  Having 5 short USD positions and losing 12% in my ”Whittaker Wealth Builder I” strategy I was wondering the same thing to myself earlier this week.  Why are all of my positions tanking.  There have been no reports that came out for reason of this drastic change.  Then last night, almost a week later, I was reading the reports that were supposed to be released today.  I noticed the advanced GDP report was coming out today.  Then everything began to make sense.  Either there are people with insider information like Raj Rajaratnam or there are just really smart investors out there that new this report was going to come out better than expected today.  It is funny if you try to trade currencies based on fundamental values you could never succeed.  Because the currency never does what it is supposed to.  Typically when a report like this comes out it is supposed to be good for the currency.  But instead the dollar started gaining ground a week before the report came out!  Now today the EUR/USD is almost 400 pips off of its high.  So with this being said if you are trying to develop a trading system based on fundamental values of economies or reports then perhaps you should offset your entry date 7 days previous to the reports.  Or at least consider people know what the reports are going to be before they come out.

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