How Did You Trade the NFP?

I used a straddle for first wave trade to enter long GBP at 1.9984 and exited on initial spike at 1.99.
Then entered again on the retrace at 1.9984 but exited for only a few pips profit. I realise that I did not play this second wave trade very well and this was mainly due to that I could not see properly the NFP numbers that came out. I normally read the numbers from a broker's news or Forex Factory but both did not work well. Given that the news were dollar negative, there was much more potential in this second wave trade than what I got for it.

I'm trading my own book full-time too and i'm trading the larger macros on a longer term basis all the time. Why macros? Because I have the finest team of economists in the world working full time for me-and it doesn't cost me a cent. Want to know who these economists are? The Federal Reserve.

Last summer, at the height of the real estate boom, they predicted housing was going to weaken and was likely to be a drag on the GDP for several quarters. Imagine where you'd be if you would have shorted the $ and the stocks of every home builder and sub-prime lender at that point!

NT you the man!
GG nice work.
I took 2 trendline breaks and made 14 pips after my trailing stop knocked me out both times. There just was not a good sustained move due to very little deviation in the actual or the revision. If you are a good tech trader then you can trade this release. put on the ole 1minute chart and use your skills. it's just really fast. kinda fun. you guys might hone some skills by playing 1 lot on this thing.

Newz is for loozers.

OK maybe a little harsh.

But how many times do you hear a traders say "Man that Macd (or substitute any other technical gizmo) really screwed me."

As opposed to "Man that news spike, broker freezed me out, big boys knew about news in advance etc etc etc etc. screwed me".

I've found the market doesn't care what we blame our losses on. And thats why I did as some others here have said, its a good time to go flat.

I know for myself it is not a good time to look for a trade, but those of you who can well and those who can't thanks for adding to the pile of that are available after the dust settles.

i agree that people complaining of platform freezes gets annoying because retail brokers are just covering their a$$ because they cannot offset all the losses they incur on news spikes.
there are technical entries after news spikes. if you have an understanding of fundamental dynamics you can trade post news spikes. today we knew within 2 seconds of listening to TTN at 8:30am EST that the USD was negative so there was no way you were getting me to sell GBPUSD or EURUSD. what i did was trade long breakouts of trendlines. tell me your macd allows for a 5 pip stop loss. This is very high probability trading we are doing. I guess i should not be talking so much as any system dies when everyone does it. but consider this...has anyone stopped to realize that not everyone could possibly do the same system if it's simple trendline breaks. have you ever been in a crowd of people and taken note of the conscious people in the crowd?
hey i like these new tech systems that Phillip Nell and Felicia aka Lever 70 are rolling out. These are rock solid systems that crank out pips. I love to trade fundamental aftermath and these TA strats. I have a template that combines cornflower with Phillip's 5min system.

Personally I played it profitably!!!

The system??? Barbecue baby - burger all the way! Pickles, mustard, ketchup & a slathering of PIPS!!!

Don't know what I am talking about?? Check here:

http://www.forexfactory.com/showthread.php?t=22157



D.

Her is a system that is rather accurate.
TEST IT FIRST BEFORE REAL MONEY!

Safe News Trading Strategy

This is about the best system I have ever used for trading the news. About the best system I have in my arsenal. Does not get as many pips as you can get if you can manage to get in before the spike but much safer. I've spent a bunch of money figuring I could make more money if I got a news service and would be able to ride big spikes up and down. Sometimes I did but sometimes I rode spikes down on a buy and vice versa. Other times the spike started before I could get a trade in and was not filled or filled at the top of the spike. Putting all things together this system right here has been the best news trading system for me. I've made money with this system and will never be greedy and try for more with news.

To be honest, I did not come up with this system, someone else did and posted it on the forums at Oanda. It worked so well he deleted all his posts and started his own site. I will give you the jest of the system and if you want to see the system finely tuned, you might want to sign up at this guys site. I believe it is called Tradedthenews.com or something like that.

I call it the 1 minute candle breakout system. Can be used for news or anytime an abrupt event happens to move the 1 minute candle more then 10-15 pips.

When you have a news announcement that makes the one minute candle spike, that will be the first reference point we set. The opening of that candle will be Point A. If it is a bull candle the bottom will be pt A if it is a Bear Candle the top will be point a. Point A is figured out simple enough.

Point B is figured out by the first retrace point. If the Point A candle goes up and then the next candle goes up and then the 3rd one minute candle goes down, then Point B is the beginning of that 3rd candle.

Now after Point B has been established the current price should be between point A and Point B. As soon as the price of the pair breaks outside of Point A or Point B you go short or long, but only when a or b is broken. If it is a news even that causes the news candle to go up, then if it retraces but then continues to go up and breaks through Point B you go long. If it comes all the way back and breaks through point A you go short.

That is it. It works more often then not. If A or B is not broken in several minutes, don't trade. This way you don't have to figure out if such and such a number comes out the pair should drop or rise, etc etc. You let the market figure all that out. You don't have to fight trying to get a good fill, by the time you place your trade, you will have no problem with slippage and such.

Try it, fine tune how you like. Some people don't place a trade until a candle closes outside a or b, others place a trade as soon as the price is broken. Some people use the wicks and if the news candle spikes up 50 pips and then retraces 20 pips leaving a long wick, that counts as the retrace and then the news candle would contain both A and B points. Give it a try, develop it and spread the word. The more people use it the stronger it will become and the better it will work for me.

I'll post a pic or two if someone needs it. But for reference look at the NFP that came out Oct. 6. Lot of people took a beating. I used this system and the revision did not bother me, I did not even know about it. But I followed these rules and when Point A was broken on the retrace I went short.



Q.) What if there are no retrace points in the first 5 minutes?
A.) Then look at the 6th, 7th, or 8th minute

When you straddle depending on your broker you are leaving yourself wide open for anything to happen. If you straddle you will get hammered sooner or later, guranted.

I opened a Hedge before the announcement. Got a 10 pip Profit both ways.

Kurka, i have read some of your stuff on other boards and you are a profitable trader from what i see but this idea of entering a hedge and taking 10 pips is not a good idea for NFP. did you mean 80 pips for NFP and maybe 20 pips for US CPI? that would work most times unless you hit a big deviation and then you are in a world of hurt.
NFP moves very fast when we have a 50k dev and no revision to go against it. you'll see 90 pips drawdown in 5 minutes that won't come back until monday or tuesday the following week.
please explain a little more.

Stan is that rick's system or 4dluv's system?
both guys have a signal service i believe and both are similar with entries.

the one thing you have to watch on these entries is a false break that will slaughter you fast. to avoid getting smacked many times i watch more than one pair. sorry to be redundant but this will help your trading a boat load. i mentioned this already in this thread. sorry.
anyway, watch gbpusd, eurusd, audusd, usdchf. all have different volumes pumping into them after news. make sure you have confirmation with 2+ pairs before jumping into this trade.
i prefer to jump in on the TD line break on a confirmation of 2+ pairs. this typically results in a break of highs or lows and gets you in profit by 5+ pips by the time you hit previous highs/lows.
Jeff Swanson

The Federal Reserve does not work for you....LOL. They just supply you with information, as with everyone else.

Actually, my point was that I don't think enough traders read things like this at all.