How do you trade news?

The biggest mistake I ever made as a FX trader is pay attention to news events. The only news events that I pay attention to are FOMC rate decisions and the NFP. I have traded through news for a year with no problem whatsoever. You will freak out as a trader paying attention to news events....don't do it. If you are trading with the right system, with the right set ups, the news won't matter at all.

Hi to trade news you need to first see what important news are in the day/night, and what currency will it affect. To do that is easy just need a good economic calendar news that provide the impact of the news. They are several tactics to do when you trade a news, how to put your stop loss, your trading profit or your trailing stop. Then you should really stick to your rules, because with some news the pair can move 50-100 pips in seconds, so please concentrate while you are doing or you may end up losing eveything. Also is important to know if your broker allow trading news, before you decide to do it.

If you trade using random entries....then you should follow news events diligently because you could get caught. If you trade systematically...all you have to do is respond to the news event and plan your low risk entries accordingly. If a pair moves 150 pips based on a news event....I have no desire to get all 150 pips. By trading systematically, I look to pick up maybe 50 pips. Rarely have I seen good patterns to trade just before major news. If I don't have a good pattern to trade...I will not trade.

well i think when you can make your money with the less risk based on technical signs why should you put your money at danger.i think all the people who trade at forex try to take down the risk of trade and trading with news is full of risk.
we should attention to a very important note that trading at forex is not like gambling although it can be done at that way.

so if you want my advise dont try to make money with news.

Many traders trade on news, because this time is the biggest volatility. And if you can quickly react on news, it's good chance to earn. Especially big volatility is when when account rate is changed or report of gross national prouct.

Measures the value of sales at the retail level. A rising trend has a positive effect on the nation's currency because Retail Sales make up a large portion of consumer spending, which is a major driver of the economy and has a sizable impact on GDP. Traders pay close attention to Retail Sales because it is usually the first significant indicator of the month that relates to consumer behavior and is susceptible to surprises. Core Retail Sales excludes gasoline, auto dealers and workshops.

Forecast: Core .4

A deviation of 1 should move the market 30 to 60 pips

A 78% retracement is common in the following 15 minutes. If no conflicts this entry should be good for 78% of the initial reaction.

Retail positioning stands at 1.1 as there are 1.1 buyers for every 1 seller.
The retail positioning ratio signifies that if there is a - deviation > 1 and price breaks .7019 stops will be hit and price will continue lower.

Warning: Due to low liquidity at the time of this release spreads can be > 15 pips on interbank platforms

Side Note: There is a golden cross (crossing of 50 ma and 200 ma) imminent on NzdUsd and near on AudUsd

The Consumer Price Index (CPI) measures the rate of inflation (i.e., the rate of price changes) experienced by consumers when purchasing goods and services. A rising trend has a positive effect on the nation's currency. The primary objective of the central bank is to achieve price stability; when inflation rises above an annualized rate of approximately 2%, they will respond by raising interest rates to bring prices down.

Y/Y Forecast: 3.1

A deviation of .3 should move the market 20 to 30 pips
A deviation of .5 should move the market 30 to 50 pips

A 50% retracement is common in the following 30 minutes. If no conflicts this entry should be good for 100% of the initial reaction.

Retail positioning stands at -1.1 as there are 1.1 sellers for every 1 buyer.
This is a relatively flat level and represents no immediate opportunity.