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Attachments: Trading the news
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Trading the news

  • #1
  • First Post: Edited Mar 11, 2015 7:25pm Feb 12, 2015 5:06am | Edited Mar 11, 2015 7:25pm
Revised 03/11/15

Trading the news can be very rewarding...if done the right way! Here are the rules...

1. Five minutes prior to the high impact news item...Open up your charts and look at the 10 second and the 5 minute time frames

2. Wait for report to be released

3. Once report is released, you will see an initial spike. You will then most likely see a pull back. Watching the 10 second time frame verify direction and then place your order!

4. Keep your position until sideways movement occurs on the 5 minute chart(please see this post for an example----http://www.forexfactory.com/showthread.php?p=8129897#post8129897_

5.PROFIT!!!!!

Good Luck Traders! Please share your results using this system! I look forward to your success!!
Good luck and may the odds be ever in your favor!
  • #2
  • Feb 12, 2015 5:17am Feb 12, 2015 5:17am
Here is my trade on the GBP/JPY this morning. I have a target around 187 based on the H4 chart. You can lock in profit as it goes up! I recommend you lock in profit every 50 pips. So when you are up 50 pips, move SL to BE. Up 100 pips move SE to +50 and so on
Attached Image (click to enlarge)
Click to Enlarge Name: 2015-02-12_5-10-56.png Size: 39 KB
Good luck and may the odds be ever in your favor!
  • #3
  • Feb 12, 2015 5:29am Feb 12, 2015 5:29am
Another method used to exit is once you start to see sideways movement, like this! It looks like we got hung up at the top of yesterdays high, so I went ahead closed my position for a 90+pip profit!
Attached Image (click to enlarge)
Click to Enlarge Name: 2015-02-12_5-28-03.png Size: 19 KB
Good luck and may the odds be ever in your favor!
  • #4
  • Feb 12, 2015 5:30am Feb 12, 2015 5:30am
The key to remember here is that you don't want to force a trade! This is how you lose money. If you aren't comfortable, then don't trade! There is always another trade coming!
Good luck and may the odds be ever in your favor!
  • #5
  • Feb 12, 2015 6:14am Feb 12, 2015 6:14am
Quoting dbutton1990
Here is my trade on the GBP/JPY this morning. I have a target around 187 based on the H4 chart. You can lock in profit as it goes up! I recommend you lock in profit every 50 pips. So when you are up 50 pips, move SL to BE. Up 100 pips move SE to +50 and so on {image}
great tip man thanks!
  • #6
  • Feb 12, 2015 4:16pm Feb 12, 2015 4:16pm
RBA Governor Stevens will be speaking in about 15 minutes. Will he say anything that will draw down the aussie? Using our rules. I have placed a buy limit at 77.70 and a sell limit at 77.20. I will identify targets once I have been taken in. I'm guessing he will try and draw down the aussie, so I will target .7653 which is 10 pips above the last low made at .7743. Remember, that you don't want to place your limit orders until about 5 minutes heading into the news report.
Attached Image (click to enlarge)
Click to Enlarge Name: 2015-02-12_16-10-28.png Size: 23 KB
Good luck and may the odds be ever in your favor!
  • #7
  • Feb 12, 2015 4:24pm Feb 12, 2015 4:24pm
FYI my return today does not relfect trading this plan...it reflects me not being careful. I made 90 pips on this plan this morning!
Good luck and may the odds be ever in your favor!
  • #8
  • Feb 12, 2015 4:43pm Feb 12, 2015 4:43pm
Quoting dbutton1990
RBA Governor Stevens will be speaking in about 15 minutes. Will he say anything that will draw down the aussie? Using our rules. I have placed a buy limit at 77.70 and a sell limit at 77.20. I will identify targets once I have been taken in. I'm guessing he will try and draw down the aussie, so I will target .7653 which is 10 pips above the last low made at .7743. Remember, that you don't want to place your limit orders until about 5 minutes heading into the news report. {image}
This is a no trade for me...maybe we will see some action after Japan open. Happy Trading guys
Good luck and may the odds be ever in your favor!
  • #9
  • Feb 13, 2015 3:39am Feb 13, 2015 3:39am
This morning we have the CAD manufacturing sales. I will be personally watching the USD/CAD for this news item. Stay tuned!
Good luck and may the odds be ever in your favor!
  • #10
  • Feb 13, 2015 3:55am Feb 13, 2015 3:55am
I have decided to post a trade on the EUR/JPY. I see bullish consolidation on this pair so I am long. But we will trade this pair for the 4:00(Time may very depending on your time zone) Flash GDP. I have identified consolidation on the 15 minute and placed my buy limit 15 pips above the highs of consolidation and 10 pips below the sell. Refer to rules for more details.
Attached Image (click to enlarge)
Click to Enlarge Name: 2015-02-13_3-53-49.png Size: 21 KB
Good luck and may the odds be ever in your favor!
  • #11
  • Feb 13, 2015 4:04am Feb 13, 2015 4:04am
The report beat expectations, but no movement yet. I will keep these orders until one is hit.
Attached Image (click to enlarge)
Click to Enlarge Name: 2015-02-13_4-03-20.png Size: 4 KB
Good luck and may the odds be ever in your favor!
  • #12
  • Feb 13, 2015 4:28am Feb 13, 2015 4:28am
breakout to the south! I have been taken in, my target will be 134.80...10 pips above the third low on the 15 min
Good luck and may the odds be ever in your favor!
  • #13
  • Feb 13, 2015 4:53am Feb 13, 2015 4:53am
I went ahead and Tpd for now...took 5 pips at 1 standard lot! Always take what you can get. If you are uncomfortable in a trade then exit. No need to squeeze every pip out of a trade. Remember, there is always another trade coming!
Good luck and may the odds be ever in your favor!
  • #14
  • Feb 13, 2015 7:20am Feb 13, 2015 7:20am
I've identified consolidation on the one hour tf. My buy limit is at 1.2550 and my sell limit is at 1.2494. Once I get taken in, I will identify a proper exit point. Again we are trading the CAD manufacturing sales.
Attached Image (click to enlarge)
Click to Enlarge Name: 2015-02-13_7-16-08.png Size: 20 KB
Good luck and may the odds be ever in your favor!
  • #15
  • Feb 13, 2015 7:21am Feb 13, 2015 7:21am
As I posted this it broke out to the south already, I did not have a chance to place my entries yet...therefore I will wait until the news is released before entering this trade.
Good luck and may the odds be ever in your favor!
  • #16
  • Feb 13, 2015 7:24am Feb 13, 2015 7:24am
Actually here is what I believe is the actual consolidation pattern....please note my buy limit at 1.2550 and my new sell limit at 1.2475. The fact that this is moving south tells me that this report might sink the USD/CAD further.
Attached Image (click to enlarge)
Click to Enlarge Name: 2015-02-13_7-23-46.png Size: 18 KB
Good luck and may the odds be ever in your favor!
  • #17
  • Feb 13, 2015 7:34am Feb 13, 2015 7:34am
Report beat expectations! USD/CAD is breaking out to the south as I type this. I expect to be taken in. We saw USD weakness across the board yesterday. I expect that to continue today. I have a target set at 4H support at 1.2354
Attached Image (click to enlarge)
Click to Enlarge Name: 2015-02-13_7-32-30.png Size: 4 KB
Good luck and may the odds be ever in your favor!
  • #18
  • Feb 13, 2015 7:37am Feb 13, 2015 7:37am
I've also been taken in on the AUD CAD as well
Good luck and may the odds be ever in your favor!
  • #19
  • Feb 13, 2015 8:00am Feb 13, 2015 8:00am
Quoting dbutton1990
I've also been taken in on the AUD CAD as well
dbutton1990, how about entry after 10min. of news time to avoid huge slippage, what is your observation on this. thanks.
  • #20
  • Feb 13, 2015 9:17am Feb 13, 2015 9:17am
Quoting jops
{quote} dbutton1990, how about entry after 10min. of news time to avoid huge slippage, what is your observation on this. thanks.
This is a good idea if you don't want to take an initial risk. Remember there is almost always a pullback, the straddle method gurantees you a good entry in the market. However looking at the USDCAD, you can see that it pulled back before finally dropping!
Good luck and may the odds be ever in your favor!
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