The U.S. jobs data is a vital indicator for investors. Here’s how to make the most of this data in the markets.

The jobs data from the United States is one of the indicators on the economic calendar indispensable. And this fact is one of the most significant signs of the state of the U.S. economy, the economy of greater global weight. On Friday this data, which include jobs created monthly excluding those in agriculture, revealed that January and February were 236,000 jobs created in the United States, where analysts had expected between 150,000 and 160,000 jobs.

To be expected over the translation of the results was taken by the markets in a very positive, as it is a sign of economic recovery Obama states. In fact the U.S. futures traded in positive moments before the opening of the session: S & P500 Futures: +0.44% (1,551.25) Dow Jones Futures: +0.6% (14,414) Futures Nasdaq: + 0.34% (2,810).

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Across the Atlantic, the result was also taken as positive and European shares marked its intraday high of 4 ½ years. The Euro Stoxx 50 gained 1.3% to 2.726.83 and the Ibex 35 rose 2.7%. We see how markets plagued the green with the results of non-farm payrolls in the U.S. last Friday. Now let’s see how an individual investor can trade the markets considering this economic indicator. For this we will explain an example of operational binary options on this indicator.

How does the operational binary options

Based on the good results shown this month, an investor expects the trend to continue and decides that the next jobs data, which will be Friday, April 5, will be above the 150,000 jobs created (a result above the 120,000 already is considered positive). So the investor chooses to purchase binary options on this proposition (‘The jobs data will be above 150,000) due on Friday, April 5 at 8:30 am.

The investor chooses three contracts to the purchase price of 55.00. And each contract worth $ 1 per point. From this point the investor knows that the maximum earnings that can get is $ 135, and $ 165 maximum losses (below show how these figures were calculated).

Scenario 1: The proposition is true and the investor makes a profit

On April 5 at 8:30 am, the Employment Office of the United States reveals that job creation has remained above 150,000. The inverter operating level would be 100. The difference between the opening price (55) and the settlement price (100) is 45. To calculate gross profit multiply 45 by the number of contracts (3) and the contract value per point ($ 1): 45 x 3 x $ 1 = $ 135.

Scenario 2: The proposition is not met and the investor makes losses

On April 5 at 8:30 am, the Employment Office of the United States reveals that job creation has fallen below 150,000. The inverter operating level would be 0. The difference between the opening price (55) and the settlement price (0) is 55. To calculate the gross losses multiply 55 by the number of contracts (3) and the contract value per point ($ 1): 55 x 3 x $ 1 = $ 165.