SE CPI [y/y]
The Sweden’s consumer price index. Its annual expression is used for trading. Despite the EURSEK (or USDSEK) trading pair “incomprehensible” for newcomers, it may be quite enjoyable in trading.
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How to trade SE CPI [y/y]
If the data exceeds the forecast, EURSEK falls
Often we pay attention not only to major Forex trading pairs, but we also work with such “exotic” ones as EURNOK and EURSEK, in which the Euro is presented in the neighborhood with the national currencies of Norway and Sweden, respectively.
The first thing one notices when considering SEK (Swedish krona) and NOK (Norwegian krone) is the “huge” spread. But it's not for nothing that the spread is quoted, because “the devil is not so black as it is painted”.
We can open a demo account, open the order by the deal with a standard 1K lot and we can see that the price of the point is quite acceptable and is almost equal to the standard operations with popular EURUSD or GBPUSD, for example.
We see that, in principle, 10 points of EURSEK are similar to traditional 1p of any other pair that we used to trade, of course with a correction to the current rate (see the pledge and do not forget that this is an account in US dollars). We have $1,374 pledged (and 1K lot is traditionally $ 1,000), the profit is 132 $ (after the entry, an instant spread loss is 8).
That is, 1 traditional point (1K lot) for this pair is $13.2, which is commensurate with the open lot.
But, since this is an exotic pair, it certainly contains its additional risks:
1. Spread expansion.
2. As a conclusion, knocking out close stops, in the case of their use.
3. The high probability of slippage and signal delays from providers combined with the spread expansion can again become disastrous for stops.