how to trade in high volatility (NEWS TRADING) - Page 54
Page 54 of 56 FirstFirst ... 44450515253545556 LastLast
Results 531 to 540 of 558

Thread: how to trade in high volatility (NEWS TRADING)

  1. #1
    Registered user erox's Avatar
    Join Date
    Sep 2016
    Posts
    369
    Promo (¢)
    0
    Thumbs Up
    Received: 58
    Given: 40

    how to trade in high volatility (NEWS TRADING)

    what is news trading ?

    there are different typs of economics news like fomc (faderal open market committee) (Monetary Policy Statement)
    (BOE Inflation Report) etc,,, when they take some decision and changes there policies it create a major impact on
    particular currency pair it can increase the volatility in the market .

    trading forex ia a risky business as we are all know about it but when there is a high volatility in the market
    it makes it more and more risky and most of trader don't want to trade in news releases.

    but today i'm gonna show you a simple strategy that can help you in news trading .

    (STRATEGY):

    normally in major news (nfp or in fomc) market moves 80 to 100 pips in no time or more
    if market moves 100 pips then my this strategy can help you.

    1. first open tow trade with same lot size on same currency pair for example (1lot buy gbpusd 1lot sell)
    2. set stop loss 20 to 25 pips range on both position on sell and buy
    3. set take profit 80 to 90 pips range on both positions

    Attachment 15691


    if market goes either direction you can still earn 60 to 70 pips profit



    note:

    1)this strategy only works in major news
    2)open trade just before the news release 30 sec or 1 minute before

    it may not always work but most of time i have earn some good money by using my this strategy.

    Not allowed!
    Last edited by erox; 11-13-2016 at 05:48 PM.

  2. #531
    Registered user
    Join Date
    Aug 2014
    Posts
    6,496
    Promo (¢)
    1,590
    Thumbs Up
    Received: 56
    Given: 35
    Quote Originally Posted by Silhouette View Post
    Timing to trade with news is crucial, we must able to enter accurately before market leaves us behind and we'll missed the opportunity to make big money. What's the most important rule to trade with news in order to eliminate its high risk is to use stop loss, a tight one I must say. We know we'll be trading with fast movement and one wrong mistake could lead us into serious problem. But that's all soon be vanished because as long as there's stop loss, we can trade with no worry.
    Quick decisions and ability to act quickly and smartly is necessary so that we grab the required volatility of the news in our favor. High volatility is mostly associated with news and that thing is never easy, unless we have high proficiency in using fundamental analysis we cannot earn with it. Higher profits comes with experience and betterment of our trading but some traders try to increase their profits by taking high risks or by trading in high volatility news.

    Not allowed!

  3. #532
    Registered user layigold's Avatar
    Join Date
    Dec 2013
    Posts
    10,150
    Promo (¢)
    1,372
    Thumbs Up
    Received: 162
    Given: 90
    This strategy prepares for both possibilities and if the news drags the market up , your buy order will be running in your favor while the sell order would have been taken out by stop loss. If eventually the buy order hits the target , the net profit will then be your gross profit less the loss recorded on your short positions. The only area where this strategy fails to consider is when there is spike which could cause the stop loss on both position to be hit .

    Not allowed!

  4. #533
    Registered user
    Join Date
    Aug 2015
    Posts
    5,091
    Promo (¢)
    2,955
    Thumbs Up
    Received: 31
    Given: 21
    I believe we should avoid news trading until we actually are experienced and capable of that. Risks surely haunt those traders more who are not able to manage risks properly or those who don't trade with a good strategy. We have to first make good of any market conditions and then based on our analysis decide whether to trade or not. We must able to enter accurately before market leaves us behind and we'll miss the opportunity to make big money.

    Not allowed!

  5. #534
    Registered user
    Join Date
    Aug 2013
    Posts
    12,830
    Promo (¢)
    0
    Thumbs Up
    Received: 94
    Given: 1
    Trading in the news will need a full understanding about what is going on currently with the news and we also need to understand how they will affect the market as well. This will not be easy at all since we need a lot of knowledge and deep understanding in order to make the correct decision with the news. And that is why traders will need to gather a lot of experience about the insight and the way of thinking for most.

    Not allowed!

  6. #535
    Registered user Sascha's Avatar
    Join Date
    Dec 2013
    Location
    Racoon City
    Posts
    3,573
    Promo (¢)
    1,275
    Thumbs Up
    Received: 64
    Given: 56
    Quote Originally Posted by sekiryutei View Post
    Trading in the news will need a full understanding about what is going on currently with the news and we also need to understand how they will affect the market as well. This will not be easy at all since we need a lot of knowledge and deep understanding in order to make the correct decision with the news. And that is why traders will need to gather a lot of experience about the insight and the way of thinking for most.
    for a truly fundamental traders i think this is necessary to learn first and know about whole thing of market in detailed. meanwhile, according to what i always do everytime when i trade with news, i only put a basic habit of my trading to read the news in common way and compared it to previous releases. there are many reasons i must analyze first before i take into trade or else i don't take the news and skip it.

    Not allowed!

  7. #536
    Registered user
    Join Date
    Oct 2018
    Posts
    2,376
    Promo (¢)
    6,090
    Thumbs Up
    Received: 10
    Given: 7
    Quote Originally Posted by Sascha View Post
    for a truly fundamental traders i think this is necessary to learn first and know about whole thing of market in detailed. meanwhile, according to what i always do everytime when i trade with news, i only put a basic habit of my trading to read the news in common way and compared it to previous releases. there are many reasons i must analyze first before i take into trade or else i don't take the news and skip it.
    fundamental trading is not good because in fundamental trading we can not survive for long, market make huge movement in time of news so we can not handle if we have small capital, that is much risky order and we can lose all in no time so avoid it and use some technical way of trading its good and safe way for us, otherwise we can lose on real money with news trading

    Not allowed!

  8. #537
    Registered user
    Join Date
    Aug 2015
    Posts
    12,806
    Promo (¢)
    5,595
    Thumbs Up
    Received: 122
    Given: 24
    Quote Originally Posted by touqir View Post
    fundamental trading is not good because in fundamental trading we can not survive for long, market make huge movement in time of news so we can not handle if we have small capital, that is much risky order and we can lose all in no time so avoid it and use some technical way of trading its good and safe way for us, otherwise we can lose on real money with news trading
    who said we cannot survive for long, from my experience when we do fundamental e can earn more pips easily here, because in fundamental trading we can have some proper orders market move in volatile also, so we can gain more pips in short period, so first of all we need to understand nature of news, if we know how it works and how we can predict market from it i am sure its best, but keep in mind management matter more in news trading more then our analysis

    Not allowed!

  9. #538
    Registered user
    Join Date
    May 2018
    Posts
    6,357
    Promo (¢)
    3,825
    Thumbs Up
    Received: 38
    Given: 4
    Why are you thinking about a hedging strategy with volatility news trading, you are not helping at all, news have become the best time to make quick money, but can we keep this amount that we have collected and use it as it should be, news is no longer attractive to me, there was a time that I would never trade in this market except it has to do with news, but now I have matured enough to know the dangers I face because all my concentration was channeled to news trading.

    Not allowed!

  10. #539
    Registered user Yayami's Avatar
    Join Date
    May 2016
    Posts
    2,279
    Promo (¢)
    1,395
    Thumbs Up
    Received: 36
    Given: 25
    Quote Originally Posted by Leonvic View Post
    Why are you thinking about a hedging strategy with volatility news trading, you are not helping at all, news have become the best time to make quick money, but can we keep this amount that we have collected and use it as it should be, news is no longer attractive to me, there was a time that I would never trade in this market except it has to do with news, but now I have matured enough to know the dangers I face because all my concentration was channeled to news trading.
    doing so will only make further problems where we'd hold one losing trade and one winning trade. this situation will suffer ourself as a trader where we must make a decision to close one of the trade. i prefer trading with one direction then accept the fact if news is going against my analysis. as long as there's stop loss, nothing should become a big deal and losses we're going to receive has accepted amount according to our risk management.

    Not allowed!

  11. #540
    Registered user
    Join Date
    May 2018
    Posts
    6,357
    Promo (¢)
    3,825
    Thumbs Up
    Received: 38
    Given: 4
    This is yet another way that news can be approached but I am afraid that the FOMC example you have given is the worse case scenario because you are saying people should set their take pending orders with about 25 pip when you know that this news can do at least 80 pips within the first minute of releasing it, that is a careless mistake because you would have your stop loss taken out immediately as the news comes.

    Not allowed!

Page 54 of 56 FirstFirst ... 44450515253545556 LastLast

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •