How a Hedge Fund Trader Prepares to Trade NFP
Aatu Kokkila’s routine is a masterclass in turning news into edge.
Happy 4th of July to my friends across the pond 
Fun Fact: Americans will enjoy 150 million hot dogs today.
That’s a lot of hot dogs…
The US stock market is closed, with a half-day for futures.
And NFP? That was pushed forward to yesterday.
Which brings me nicely to this…
HOW A HEDGE FUND MANAGER PREPS FOR NFP
Remember Aatu Kokkila?
I interviewed him on the podcast a while back:
Listen here
He runs a fund that trades FX around mispricings during key news events.
Here’s the lowdown on his strategy, taken directly from his fund prospectus:
“The strategy seeks to exploit mispricings in the currency markets in relation to unexpected monetary policy decisions that could trigger further momentum or overreactions related to expected information that could trigger mean reversion. The competitive edge lies in proprietary in-depth research on historical price behavior and the pretrade planning process. Every trade follows a plan containing an in-depth scenario analysis and a pre-defined reaction function to unexpected or mean-reverting scenarios that could trigger mispricings.”
Well, yesterday, he live-streamed his full NFP preparation routine, a key event for this strategy…
What it included:
Reviewing past NFP price reactions Mapping potential momentum and mean reversion scenarios Selecting the right currency pair for each idea Allocating conviction levels Researching expected volatility and outcomes
Unlike typical live streams, you won’t find him perched on a Lambo, or full porting some exotic before the number drops. 
Just a methodical, clinical process: planning, prepping, and workshopping scenarios like a pro.
A decent insight into the real work needed to carve out a long-term edge in this business.
Watch it here
I love this stuff, thanks Aatu for sharing!
Right, have a good weekend, back at it on Monday.