How to use the economic calendar
The calendar below lists this week's high and medium impact releases for the major economies, shown in your local time. Scan it before you plan a trade, note any release due while your position would be open, and pay most attention to the countries whose currencies you trade.
How to read each line
- Time: when the figure is published, converted to your time zone.
- Country or currency: the economy the data belongs to, such as the US, the euro area, the UK or Japan.
- Event: the name of the release or decision.
- Impact: the calendar's rating of how much the release usually moves the market. High impact items deserve the most attention.
- Actual: the published figure. It stays blank until the release.
- Forecast: the consensus estimate of what the figure will be.
- Previous: the last reading, which is sometimes revised.
Markets react to the difference between the actual figure and the forecast, not to the number on its own. A strong figure that was fully expected may barely move price, while a modest figure that misses the forecast by a wide margin can cause a sharp move. Revisions to the previous reading can also matter.
Releases that usually move markets most
US Non-Farm Payrolls
The US jobs report is published on the first Friday of most months. It covers job growth, the unemployment rate and wages, and it often brings some of the largest moves of the month in US dollar pairs, gold and stock index futures.
Inflation (CPI)
Consumer price index figures show how fast prices are rising. Central banks target inflation, so a CPI surprise can quickly change what traders expect from interest rates, and currencies move with those expectations.
Central bank rate decisions
Decisions from the Federal Reserve (FOMC), the European Central Bank, the Bank of England, the Bank of Japan and the Reserve Bank of Australia set interest rates for their currencies. The statement and press conference that follow can move the market as much as the decision itself, sometimes for hours afterwards.
GDP, PMIs and retail sales
Gross domestic product measures overall economic growth. Purchasing managers' indexes (PMIs) are surveys of business activity that give an early read on the economy. Retail sales track consumer spending. These releases usually move markets less than payrolls or a rate decision, but a large surprise can still move a currency sharply.
Why spreads widen and slippage increases
Just before a major release, many liquidity providers pull their prices or quote wider to avoid being caught on the wrong side of the move. Just after it, price can jump several levels at once. Two things follow for retail traders. The spread can widen sharply, and orders can be filled at a worse price than requested. The second effect is slippage, and it applies to stop losses too. A stop loss becomes a market order when it is triggered, so in a fast market it fills at the next available price, not at your stop level.
Worked example: slippage on a tight stop
You buy 1 standard lot of EUR/USD with a 10-pip stop loss. On a standard lot, one pip of EUR/USD is worth $10, so your planned risk is 10 × $10 = $100. A payrolls figure comes in far from the forecast, price drops through your stop, and the order fills 15 pips past it. Your loss is now 10 + 15 = 25 pips, or 25 × $10 = $250. That is two and a half times the risk you planned, from a single release.
The position size calculator helps you size trades from your stop distance, but its result assumes the stop fills at its level. Around big releases, leave room for that assumption to fail.
Simple rules for trading around the news
- Check the calendar before every entry. Know what is due during the time you expect to hold the trade.
- Avoid holding tight stops through big releases. Close or reduce the position beforehand, or size it so that a slipped stop is still a loss you can absorb. Our guide to risk management in trading covers how much to risk per trade.
- Let the first move settle. Spreads usually drift back toward normal once the initial reaction has passed, so many traders wait before entering.
- Check prop firm news rules. Some funded account programs restrict trading in a window around high impact releases or apply other conditions. Read the rules of any prop firm before trading the news on an evaluation or funded account.
- Know which session you are in. Releases are published at set local times, so they cluster in particular market sessions. Most US data arrives during the New York morning.
Limits of the calendar
The calendar is supplied by a third party. Times, forecasts and impact ratings can change, and unscheduled events such as speeches, policy announcements or geopolitical news do not always appear. Treat it as a planning aid, and confirm the time of an important release with the official source when it matters to your trade.
Trading risk
Trading around economic releases can lead to rapid losses, including losses larger than your planned stop. Leverage magnifies both gains and losses. This page is for education only and is not financial advice. Please read our risk disclaimer.