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News Trader proof of profits?

  • #21
  • Jan 8, 2007 7:22am Jan 8, 2007 7:22am
I see what your saying, and your right if you try and trade the actuall news spike it is unlikely that you will make money, but that is not news trading you may as well get a monkey and tell him at 1.30 GMT on the first friday of every month press that button leave it and you will make money.


On december the 04 nfp i was willing to trade the spike but was only willing to place a long position, I like many other news traders waited for the magic word, upward revision then entered my positions in the opposite direction to the spike, normally my positions are in place hours before any news release to take full advantage

and made a good 100 pips, if i remember correctly Moe also predicted the fade, i closed my position, was happy and walked away, but again i think moe bagged another 160 pips on the fade. Thats news trading!

I use support, resistance and economic news to predict entry points and direction, then trade accordingly. that is also news trading, trading spikes will loose you more money than you can make. Last fridays nfp i had an entry order waiting whilst i was asleep at 1.3064 i think, then banked at
1.3100 as i was happy with the profit on the table and had no clear idea
about the nfp results.

hope that helps
  • #22
  • Jan 8, 2007 7:57am Jan 8, 2007 7:57am
Quoting magicfx
I see what your saying, and your right if you try and trade the actuall news spike it is unlikely that you will make money, but that is not news trading you may as well get a monkey and tell him at 1.30 GMT on the first friday of every month press that button leave it and you will make money.


On december the 04 nfp i was willing to trade the spike but was only willing to place a long position, I like many other news traders waited for the magic word, upward revision then entered my positions in the opposite direction to the spike, normally my positions are in place hours before any news release to take full advantage

and made a good 100 pips, if i remember correctly Moe also predicted the fade, i closed my position, was happy and walked away, but again i think moe bagged another 160 pips on the fade. Thats news trading!

I use support, resistance and economic news to predict entry points and direction, then trade accordingly. that is also news trading, trading spikes will loose you more money than you can make. Last fridays nfp i had an entry order waiting whilst i was asleep at 1.3064 i think, then banked at
1.3100 as i was happy with the profit on the table and had no clear idea
about the nfp results.

hope that helps
mostly true ... but this all really just applies to those on retail platforms. Move up into the wholesale mkt and proper institutional platforms or even futures and it's a complelety diff ball game. Can you trade news profitably? Yes. IF you have the approrpiate set up ... you can do anything ... and I'm not talking about some shitty autoclikc software knocked up by some guy trading with a retail broker.

You can choose to accept or ignore my comments, even the validity of them, but I've come from a solid background in technology, worked at a company providing front and back office s/w for hedge funds, two of the largest financial consulting firms, and a top 5 european convertible and credit arb hedge fund ( in terms of aum ). Along with a few of the quants I helped develop a systems that specifically trades news events .. .whether they are scheduled or not ... and to say that one cannot trade news and be consistnetly profitable is plain ignorant. Sure you need to think outside the box and trade in a way that is not intuitive (that's what the quants are there for) but you really dont need a phd in physics, a good degree in a quantitative subject is all that is needed
  • #23
  • Jan 8, 2007 8:07am Jan 8, 2007 8:07am
Quoting sccz97
mostly true ... but this all really just applies to those on retail platforms. Move up into the wholesale mkt and proper institutional platforms or even futures and it's a complelety diff ball game. Can you trade news profitably? Yes. IF you have the approrpiate set up ... you can do anything ... and I'm not talking about some shitty autoclikc software knocked up by some guy trading with a retail broker.

You can choose to accept or ignore my comments, even the validity of them, but I've come from a solid background in technology, worked at a company providing front and back office s/w for hedge funds, two of the largest financial consulting firms, and a top 5 european convertible and credit arb hedge fund ( in terms of aum ). Along with a few of the quants I helped develop a systems that specifically trades news events .. .whether they are scheduled or not ... and to say that one cannot trade news and be consistnetly profitable is plain ignorant. Sure you need to think outside the box and trade in a way that is not intuitive (that's what the quants are there for) but you really dont need a phd in physics, a good degree in a quantitative subject is all that is needed
It is just me or did you miss the #3 post
"I think everyone here know what I'm talking about... This is directed to the folks that realistically think they will be able to write only the news events on the calendar during those days open up the trading platform for about 2min and become a successful and profitable trader"

I think the retial is the majority here at the factory other wise I woudn't have started this thread.

Do you mind sharing your institutional setup... My self is Currenex and HotspotFXi


Turbo

ps. Now i know why i left the Factory for a few months.
  • #24
  • Jan 8, 2007 8:16am Jan 8, 2007 8:16am
Great thread Turbo.

I couldnt agree more concerning retail platforms. Months ago I was enticed into news trading and honestly thought I could trade just an hour a week and make good money doing it. I have access to an autoclick if I want it, though I do not have the money to afford the proper ECN as of now. Currenex, HSFXi etc.

It is a fair warning to the newbies out there. If you are trading with anything less than a currenex white label, I would just forget it. Oanda can get you in but at 20 pip spread round trips. That leaves about 3 trades a month to trade. Then continuing to win trades will get a little phone call from some certain someone.
The market is my nation. Traders, my family. Hello, brothers and sisters!
  • #25
  • Jan 8, 2007 8:20am Jan 8, 2007 8:20am
I agree with your comments, but wasnt the thread author talking about noobies using retail platforms, seeing the spike and then placing the trade (monkey see, monkey do) on a retail platform that is not a very good trading strategy. And i dont know of any retail broker that will allow that on an ongoing basis, and as he correctly pointed out you will not get very good fills using oanda or fxcm trading the spike. since they revised there trading platform to announce "awaiting dealer descision" or "price has moved" etc.. rumour has it if your an old windows/dos hack you will find in the depths of one of the retail platforms a dealer message "gone to pee"

good eh!
  • #26
  • Jan 8, 2007 8:21am Jan 8, 2007 8:21am
Quoting StockKJay
Great thread Turbo.

I couldnt agree more concerning retail platforms. Months ago I was enticed into news trading and honestly thought I could trade just an hour a week and make good money doing it. I have access to an autoclick if I want it, though I do not have the money to afford the proper ECN as of now. Currenex, HSFXi etc.

It is a fair warning to the newbies out there. If you are trading with anything less than a currenex white label, I would just forget it. Oanda can get you in but at 20 pip round trips. That leaves about 3 trades a month to trade.
Thanx StockKJay

I have tested the auto click on the retail and so far it does all right but I think this short lived even w/ having acess to currnex or hotspotfxi you won't find me pressing mkt order in the middle of a votile news number...lol

If you read my journal you will see just how I benifited from someone mkt order during NFP on Currenex


Turbo
  • #27
  • Jan 8, 2007 8:45am Jan 8, 2007 8:45am
I see whats really going on here Turbo. You are so desperate for a good news broker that you are willing to buy a trip if someone will tell you who to use!!!!!!!!

Just kiddin' buddy. :

I am trying to arrange a trip there in the spring. It is okay though I will buy the tix all by my big self. I do, however, expect to be shown around the town.
Profit is where readiness meets Opportunity
  • #28
  • Jan 8, 2007 9:02am Jan 8, 2007 9:02am
cool, so its all off to turbo's house all welcome as long as you can afford your

own tickets.

hey turbo have you got a microwave oven and what colour is it?
  • #29
  • Jan 8, 2007 9:03am Jan 8, 2007 9:03am
Quoting magicfx
cool, so its all off to turbo's house all welcome as long as you can afford your

own tickets.

hey turbo have you got a microwave oven and what colour is it?
No worries stainless steal
  • #30
  • Jan 8, 2007 9:10am Jan 8, 2007 9:10am
Ace one turbo, mine is stainless too, you got style

anyway the original question you raised is a very good one, i have seen it many times before but in various guises, and in short i dont know of any retail broker that will allow you to trade the news spikes with good fills, no slippage, and no problems when closing the trade, not on a retail platform.

if there is one he wont last long because you could otherwise make billions in no time at all
  • #31
  • Jan 8, 2007 9:18am Jan 8, 2007 9:18am
Quoting magicfx
hey turbo have you got a microwave oven and what colour is it?
You gotta lay off the Hot Pockets Magic!!
Profit is where readiness meets Opportunity
  • #32
  • Jan 8, 2007 9:34am Jan 8, 2007 9:34am
hot pockets? not sure what thats all about, the colour thingy is just
a part of old english humour.

but seriously turbo has made an excellant thread here, and is pointing out that forex trading is a serious game, its not a get rich quick scheme and takes a lot of time patients, knowledge, practice, heartache and loss to become a good trader. your not gone make a living trading spikes.
  • #33
  • Jan 8, 2007 9:40am Jan 8, 2007 9:40am
Quoting magicfx
hot pockets? not sure what thats all about, the colour thingy is just
a part of old english humour.

but seriously turbo has made an excellant thread here, and is pointing out that forex trading is a serious game, its not a get rich quick scheme and takes a lot of time patients, knowledge, practice, heartache and loss to become a good trader. your not gone make a living trading spikes.
Thanx mate,

That what I was looking for... The brain can be a funny thing and once you hit a few of those spikes all logical thinking goes out the window so i wanded to bring some awareness back to some of those folks.

turbo
  • #34
  • Jan 8, 2007 9:46am Jan 8, 2007 9:46am
Quoting magicfx
hot pockets? not sure what thats all about, the colour thingy is just
a part of old english humour.

but seriously turbo has made an excellant thread here, and is pointing out that forex trading is a serious game, its not a get rich quick scheme and takes a lot of time patients, knowledge, practice, heartache and loss to become a good trader. your not gone make a living trading spikes.
I can't imagine trading that way exclusively. It also must be said that to be truly good around data you need a ton of screen time doing it. It is always a shock when I see brand new people in the forum that want to start in data trading - the most dangerous and difficult game in town.
I often get get PM's from new traders asking advice on data trading: brokers, straddle settings etc. I do my best to let them know that it is not a good place to start. One mistake or a confused momement can kill you around data. Who knows if anyone seriously considers my offerings but I hope so.
By the way, Hotpockets are a popular american microwave food. Common for people who are in the too busy to eat right mind set. I guess it is stereo type humor that would be lost on someone not familiar with american culture- sorry
Profit is where readiness meets Opportunity
  • #35
  • Jan 8, 2007 9:51am Jan 8, 2007 9:51am
my very first introduction to the forex was from a colleague, all he knew or thought he knew way back then was something funny happens at 1.30GMT on a friday and you can make millions from it.

it was very addictive to start, and i opened a real account on that basis, only $300 dollars, think it took me about 1.5 weeks to loose the lot.

and i know that sounds crazy, but many people do the same thing, loose a little or in some cases a lot, and never get to learn how to trade properly, glad i stuck at it but it took over a year before i made any descent amounts and blew about 6 more lots of $300 in the process.
  • #36
  • Jan 8, 2007 10:13am Jan 8, 2007 10:13am
Hi Turbo,

Regarding the subject of newstrading, the autoclick is being hyped for the masses like never before! BUT, all those masses who think they can become rich by part time trading are in for a shock. The retail platforms will make sure you enter at the top/bottom of the spike. Ive been hearing of some people complaining from currenex spreads lately, a sign of things to come? i dont know. After all, not everybody affords currenex!

In the end, after the news trading bubble bursts, (will it?) only those with both feet on the ground will be trading...

just my 2 cents,
Sma
  • #37
  • Jan 8, 2007 12:10pm Jan 8, 2007 12:10pm
Quoting turbokaos
It is just me or did you miss the #3 post
"I think everyone here know what I'm talking about... This is directed to the folks that realistically think they will be able to write only the news events on the calendar during those days open up the trading platform for about 2min and become a successful and profitable trader"

I think the retial is the majority here at the factory other wise I woudn't have started this thread.

Do you mind sharing your institutional setup... My self is Currenex and HotspotFXi


Turbo

ps. Now i know why i left the Factory for a few months.
firstly ... while i said it mostly applies to the retail sector of the mkt i never siad you coulndt be profitable. I can think of a few ways that will allow you to consisntely make money while avoiding a lot of the broker issues that have appeared since this started becoming more mainstream. Will I share them no .... as i mentioned in my first reply there is no sense in sharing a strategy if extra ppl will diminish the returns. Welcome to the real mkt ... get and edge, dont tell anyone about it and milk it for as long as possible.

Wrt to what I helped develop for my previous employer ... I dont know who you are or what your background is but if you've ever worked for a financial institution, or any company for that matter, any software and logic designed nad implemented for the company is the property of the company and hence not mine to share.
  • #38
  • Jan 8, 2007 1:23pm Jan 8, 2007 1:23pm
If there is a slim chance in the fx market, it is news straddle-
But guess what, brokers know this and they won't allow it in several different ways ...wide spead, and slippage.

Any thing else- bogavino, WW, sidus, ( though i am amazed at their dedication and hard work) won't work ALL THE TIME - it is all gambling...any system may give you profit for now, but you will be wiped out one day. Mark my word.

The only hope we the community have is news straddle.

One has to just come up with a way to perfectly straddle news - or find a dumb broker that will allow it.

straddle, straddle, straddle

Trust me.

.... pipin is not for the weak at heart.
Pipology 101 student
  • #39
  • Jan 8, 2007 2:44pm Jan 8, 2007 2:44pm
Quoting amanuel
If there is a slim chance in the fx market, it is news straddle-
But guess what, brokers know this and they won't allow it in several different ways ...wide spead, and slippage.

Any thing else- bogavino, WW, sidus, ( though i am amazed at their dedication and hard work) won't work ALL THE TIME - it is all gambling...any system may give you profit for now, but you will be wiped out one day. Mark my word.

The only hope we the community have is news straddle.

One has to just come up with a way to perfectly straddle news - or find a dumb broker that will allow it.

straddle, straddle, straddle

Trust me.

.... pipin is not for the weak at heart.
How much whiskey did you drink this morning?
Mr. Trend
  • #40
  • May 21, 2007 11:14am May 21, 2007 11:14am
The day has come.
Just like Turbo has suggested all brokers will no longer allow spike trading. If you think your broker is going to allow spike trading for more than a month you are as delusional as I was.
I just talked to another broker. I've talked to 20-25 brokers that own FCM's or work at the desk to find the best places in the world to deal around numbers. I know for a fact where the best places are and it's not with banks on currenex. Currenex is one of the worst places to deal around numbers. There is another level that you don't hear about advertised because you truly have to know someone to get in with these brokers. These are the biggest aggregators in the world. You have to do 500mio per day to deal on their platforms. Most are 3rd party proprietary software. These are the only entities allowed to news trade by banks. They get access to maybe 100-200 lots per release per pair per trader so they have to find trades for the rest of their 500mio requirement per day.
I have traded spikes for 1.5 years on institutional platforms from various brokers. I've been shut off and kicked out of brokers for what I do. I have only in the last month decided to focus >75% of my trading efforts on technical trading vs news spike. There are very solid systems available here on FF. One would only be a fool to pass up FXiGoR's chat room for free where he hands out pips to everyone or Phillip Nell's systems on 4hr or 5min both of which are excellent and very profitable. I now login with Igor and trade Phillip's systems as well for profits. I have managed money for 8 months for other people and only now am I excited to make consistent gains in forex. Prior to this I was hoping for news trades every week and then hoping to get in the trade with the broker. My skills were not considered. It was only software working for me which does not allow me to control my own destiny. I spent time and money moving to different brokers and pleading with their owners and desk personel to allow my news trading. They all said the same thing. Why would we let you do it when we could do it and make all the money available? The market is not there. You have to be faster to get in and you can't deal with banks at all because they won't take you at those times.
I used to sit down for 20 minutes during every news release and trade an automated signal. If no signal i might get in afterwards and take 10 pips on a trendline break which is very high percentage as well. I made 10-20% per month for a few months then my brokers shut me down left and right. They would let me get in after the spike on a trend line break but then they did not let me out of the market. These are all institutional brokers. When you piss off the banks they will hurt you. Banks are untouchable by us. When I finally irritated the banks so much I was unable to trade at all around news events. Now I'm backing away from the spike and focusing on other technical systems that do better than news anyway. I'm much happier now to be in control of my life rather than wait for news and hope for a good outcome.
A partner of mine and I have started a quant fund as of this week as well. Things are looking very good for us. None of it is related to news trading. I am almost elated at this point based on our testing and live trading with these systems. I plan now to trade discretionary for another year or two until I reach a certain dollar figure in my account and then let our automated systems take control of everything and I'll work on creating foundations or donating my time.
I would like to thank FF for hosting great systems like Phillip Nell's and FXiGoR's.
Thank you, you've changed my stress level and in effect my life
It really is that easy.
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