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Old 02-07-2007, 05:02 PM
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Re: Trading The PPI and CPI

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Has anyone actually tried this straddling method on a live account?
Hi Notouch,

Yes, I have.

I wait till about 20 seconds before the announcement and place an entry 10 tics above the 10 tics below the last price. Market not limit.
I am taking advantage of the knee jerk reaction that usually follow the news. Thats why I will sell as soon as I see a pullback because at that point the market can be unpredictable in my opinion. I've never tried fading this.


I have been studying the Ym's reaction to the PPI and CPI since last year and have traded this strategy for 3 out of the last 4 months. I am still fine tuning the technique but out of 6 trades, 5 were profitable, the 6th, Jan. CPI, I canceled the orders because the price was gyrating between the two entries for too long, too much indecision.

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