Hi Brandon,
Market is the reflection of traders psychology. the second point is that news are discontinued. Insiders know the stuff in advance, before us. You don't want them to be gambling with billions of dollars...Do you?
they know that. that's why most of the time, you see good news for dollar, but dollar goes down or vice-versa. The technical aspect of the market is too important, and so powerful to understand the crowd behavior.
One thing, i have also noticed is that: before the release of an important news like NFP, you will see the technical set up ready to move in a clear direction. I say the set up is totally completed. this happened on gold and euro last Friday with NFP.
Concerning my entries before news, when the set up is obvious. i will take the trade anytime the pattern is ready. But as insiders like doing fake trades, they can take your stop loss before making the market move in your direction.
so what ? you can do all your technical analysis, set everything (before the news), and then put your entry order after the release of the news FOLLOWING YOUR TECHNICAL SET UP, BUT NOT THE NEWS.
Some great traders don't even look at them...all depends on your trading style. whether you are aggressive or conservative.
In my case i don't bother myself with these news. News have only 3 impacts. Wether they bring a retracement, reinforce the trend or reverse the trend. If you know how to read candlesticks, you will see clear market turning points, and make your decision according to the market direction of that very moment....
cheers...
Market is the reflection of traders psychology. the second point is that news are discontinued. Insiders know the stuff in advance, before us. You don't want them to be gambling with billions of dollars...Do you?
they know that. that's why most of the time, you see good news for dollar, but dollar goes down or vice-versa. The technical aspect of the market is too important, and so powerful to understand the crowd behavior.
One thing, i have also noticed is that: before the release of an important news like NFP, you will see the technical set up ready to move in a clear direction. I say the set up is totally completed. this happened on gold and euro last Friday with NFP.
Concerning my entries before news, when the set up is obvious. i will take the trade anytime the pattern is ready. But as insiders like doing fake trades, they can take your stop loss before making the market move in your direction.
so what ? you can do all your technical analysis, set everything (before the news), and then put your entry order after the release of the news FOLLOWING YOUR TECHNICAL SET UP, BUT NOT THE NEWS.
Some great traders don't even look at them...all depends on your trading style. whether you are aggressive or conservative.
In my case i don't bother myself with these news. News have only 3 impacts. Wether they bring a retracement, reinforce the trend or reverse the trend. If you know how to read candlesticks, you will see clear market turning points, and make your decision according to the market direction of that very moment....
cheers...