Monitoring instantaneous risk as part of a system?

Hi Group,

last night I stumbled accross this:

http://blog.forex-trading-ideas.com/?p=8


The author calls variable spreads a 'good thing' and interprets it as a 'message from his forexbroker', one that tells him when to stay put. Would this indeed be a good method to gauge current risk the market is throwing at us?

bye
MiniTrader

brokers increase spreads whenever they feel like it. Most brokers reserve that right in their terms of service.

In order to stay competitive, brokers change spreads usually during very unsure periods and volatile times. The most obvious example is news time. With that in mind, unless you know the news beforehand, you have no idea if the price will change direction. So, I'm not really following the logic of this blogger.