News straddling with Amazing EA, revisited | Forex Factory

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News straddling with Amazing EA, revisited

  • #1
  • First Post: May 28, 2008 4:38pm May 28, 2008 4:38pm
http://www.forexfactory.com/showthre...?t=6854&page=3

I would like to bring attention to the "Amazing" Ea listed on the above page.
Details on the system it is based on are here:

http://www.forexfactory.com/attachme...4&d=1155317132

Probably the biggest issue not addressed on that thread was which broker to use for newstrading. If anyone has any suggestions that would be great.

I am new to news trading. So, to get a feel for the magnitude that certain announcements create, I will create an excel file, one sheet per news event/major pair, starting at some previous point in history. On each sheet, I will describe market sentiment, expectations, etc., along with a tick chart showing price movement.

As mentioned, TP depends on the currency and situation. Howerver, SL is static at 10 pips. With a default target of 20 pips, risk reward is clearly defined with this EA.

Please post any ideas or contributions you may have. Thanks

-DB
Skype: heliosphan187
  • #2
  • May 28, 2008 4:45pm May 28, 2008 4:45pm
hi

i would beg to differ that 99% of brokers will stop your news trades simply because when you win, they lose. time and again this has been discussed on the boards.

straddling news gives you an advantage, but brokers have to same advantage of knowing when to freeze the platform.

in fact, even ECNs will frown on you for doing this because they think you are a taking a "cheap shot."

if you trade news successfully, let us know who you trade with....


the fact that felix homo has a news trading service baffles me.... because although news trading is an edge, it is not feasible to execute thus he is taking advantage of newbies.
  • #3
  • May 28, 2008 4:55pm May 28, 2008 4:55pm
Quote
straddling news gives you an advantage, but brokers have to same advantage of knowing when to freeze the platform.

They don't have to, most automatically widen spreads substantially. If you have a narrow straddle or SL the spread will knock you into or out of the trade. Most news events don't move enough to even warrant this, and the markets themselves are pretty good at pre-pricing news events such that the actual release is largely whipsaw. Last week I saw the EURUSD w/ an 8 pip spread.

There are better ways to trade news. Trade the momentum, trade the fade, trade the unpriced opens, just to name a few.
  • #4
  • May 28, 2008 5:01pm May 28, 2008 5:01pm
Quoting Rabid
They don't have to, most automatically widen spreads substantially. If you have a narrow straddle or SL the spread will knock you into or out of the trade. Most news events don't move enough to even warrant this, and the markets themselves are pretty good at pre-pricing news events such that the actual release is largely whipsaw. Last week I saw the EURUSD w/ an 8 pip spread.

There are better ways to trade news. Trade the momentum, trade the fade, trade the unpriced opens, just to name a few.
I hear you.. guess I would just prefer to have some kind of "set and forget" strategy so I can trade london releases when I'm asleep or ny during work daytime EST without manual intervention. Would be comfortable giving away some upside potential in exchange for automation.
Skype: heliosphan187
  • #5
  • May 28, 2008 5:12pm May 28, 2008 5:12pm
Quoting tdion
hi

i would beg to differ that 99% of brokers will stop your news trades simply because when you win, they lose. time and again this has been discussed on the boards.

straddling news gives you an advantage, but brokers have to same advantage of knowing when to freeze the platform.

in fact, even ECNs will frown on you for doing this because they think you are a taking a "cheap shot."

if you trade news successfully, let us know who you trade with....


the fact that felix homo has a news trading service baffles me.... because although news trading is an edge, it is not feasible to execute thus he is taking advantage of newbies.
I know of at least one ECN broker that does not discourage news trading whatsoever. I have seen about 3 programs that can somehow interface MT to a supported ECN broker. I tried one as a trial but couldn't get it to work.. the other 2 had no free trial, wasn't ready to buy anything yet
Skype: heliosphan187
  • #6
  • May 28, 2008 5:13pm May 28, 2008 5:13pm
i can build an interface from scratch...

what's the ECN?

Quoting Dirtybrown
I know of at least one ECN broker that does not discourage news trading whatsoever. I have seen about 3 programs that can somehow interface MT to a supported ECN broker. I tried one as a trial but couldn't get it to work.. the other 2 had no free trial, wasn't ready to buy anything yet
  • #7
  • May 28, 2008 5:14pm May 28, 2008 5:14pm
MB Trading
Skype: heliosphan187
  • #8
  • May 28, 2008 5:16pm May 28, 2008 5:16pm
hmmmm.... interesting....

mb is NOT a wise choice for day to day trading, IMO..... because they black out for 15 minutes a day to do system maintanence....

during the blackout, you can not exit or enter trades, even if you call the dealing desk! very dangerous


HOWEVER


using them for newstrading might be an option. let me see what i can do.
  • #9
  • May 28, 2008 5:35pm May 28, 2008 5:35pm
Quoting tdion
hmmmm.... interesting....

mb is NOT a wise choice for day to day trading, IMO..... because they black out for 15 minutes a day to do system maintanence....

during the blackout, you can not exit or enter trades, even if you call the dealing desk! very dangerous


HOWEVER


using them for newstrading might be an option. let me see what i can do.
thanks!
Skype: heliosphan187
  • #10
  • Aug 5, 2012 6:51am Aug 5, 2012 6:51am
"the markets themselves are pretty good at pre-pricing news events such that the actual release is largely whipsaw"

Nonsense. I agree that straddling is not a got methodology but to say that the markets are good at pre-pricing news has absolutely no foundation in fact.
He was looking for the card so high and wild hed never need to deal another
  • #11
  • Mar 26, 2014 7:50am Mar 26, 2014 7:50am
Hello,

I don't understand the programmation I see on this forum. I see TP=300 for example, so 30 pips. It's enormous for a news.
How can amazingea works, if the news give only 10 pips, we lose. So what's the interest to set TP=300 ?

Thanks for your help.
  • #12
  • Last Post: Jun 2, 2014 3:19am Jun 2, 2014 3:19am
only if you get a good fill, and need to keep on the trade for hours
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