News Trading

Discussion in 'Forex' started by JimmyChoo, Dec 19, 2021.

  1. As a beginner trader should i trade during news ? its appropaite for what kinds of trader ?

    advice needed
     
  2. You should trade reactions to the news, not during the news.
     
    CannonTrading_Ilan, toucan and Fonz like this.
  3. d08

    d08

    These days news trading is automated, you're unlikely to be fast enough doing it by hand. The reactions, absolutely but that's not straightforward.
     
    777 and Bugsy like this.
  4. Bugsy

    Bugsy

    As d08 said news, such as reports that drop on daily economic calendar, is all traded via hedge fund algos. You're likely to get whipsawed 10 times in 5 minutes. Add to that you have no idea how the market is going to ultimately react once the music has finally died down. For all you know an outstanding report could send the market down and a terrible report could send it rallying. The market may have already priced in that good or bad news before it even came and now it is moving the opposite way, 'Buy the rumor, sell the news'.

    For the important news, like FOMC, I would suggest being flat, even if you're in a winning trade. We watched the ES Futures rally 100 points in 2 hours the other day. That's $5,000 for one contract. But in the first 15 minutes it traveled back and forth 25 to 50 points before finally committing.
     
    DevBru likes this.
  5. it depends on your knowledge , market never knows who is beginner or not. knowledge and experience fact.
     
  6. Nor does the market care about you. Some people get "attatched" to the market. On a deep, visceral level.
     
  7. Don't come on a random forum and expect to be given everything.
     
  8. maxinger

    maxinger


    Most of the time, forex hardly moves even after the major economic data release.

    anyway, forex should be good for beginners
    as forex moves relatively very very slowly and it moves relatively very very little.
    So don't be surprised if you can't get
    reward:risk ratio > 1.5

    years ago when there were currency wars,
    things were very different.
     
    Last edited: Dec 21, 2021
  9. Bugsy

    Bugsy

    https://ibb.co/QYVHCtK
     
  10. As a new traders, there are some major new events that you should be aware of like NFP or FOMC. You probably will need proper money management and discipline to trade the news.
     
    #10     Dec 21, 2021