Trading Retraces???!!??

HI all,

Everyone knows that trading news spikes is very profitable, heck if done correctly and safely, it can yield of over 99% winning trades. But with the current exposure of news trading and buckled down attampts by brokers, i want to ask some people here 'how to trade retraces?' I am currently having good, not great, success at this type of trading, but would like how other do or determine at the exact time when retraces happen after news events (if any for some news).

Thankx, J

Hey hunter!

The problem is, that you never know will there be a retrace, or at least where is the peak of the spike. I saw few times when after spike you see a begining of movement down, and you go like - HEY I wanna trade this one, it will drop alot after that spike... and guess what, it went a bit down and then once again spiked up 20-30 pips... And from THERE it began the movement down... So if I was trading it, I'd loose big time.

This is basic problem I see... When it comes to the news, you know EXACTLY when the movement starts... Go and guess where it ends...

I trade spikes when the news announcments affect the market, say over 40+ pips in spikes. By then i would try to trade retraces, of course i just dont jump on it, i would wait first. My main goal is to gain abou 10-20 pips, nothing significant. It is very dangerous trading retraces. But i would like to hear others on their story trading news retraces.