Currency Trading and News Question

[sicktrader 10]

I have a system that is geared to the release of market moving news. After I just got crushed on today's employment report (thought I could get a least a 50 point drop in the euro), I realized something that maybe others have encountered. My data shows that my win percentage is the worst for the US news releases, actually so bad that I will now take a break on the US news. When I trade any other currency I simply trade it against the dollar. Works fine. When the US news is released, I now have a choice amongst all other currencies. Obviously not all the currencies react the same, so in this scenario may data has shown that some would win in my system and some would lose. It doesn't matter if the markets are open or closed. In fact, today I got crushed in the Euro but would have won in the Aussie. I was wondering if anyone else ever encountered this problem? I am going to hold off on trading the US news until further notice.

[DugDug 10]

i am not smart enough to work out if the market is going to react positively or negatively (OR positively then negatively OR negatively then positively ) to any news items.

Unless I have a global macro viewpoint its a game that I dont play deliberately.

[Tams 20]

Life is a journey of lessons...

[sicktrader 10]

Life is a journey of lessons...

 

True. All my lessons of late have cost me some serious cash. :crap: Then again, that's probably the only way to improve oneself. Still, I hope to be lessons free for the next few weeks.

[speres 10]

I have a system that is geared to the release of market moving news. After I just got crushed on today's employment report (thought I could get a least a 50 point drop in the euro), I realized something that maybe others have encountered. My data shows that my win percentage is the worst for the US news releases, actually so bad that I will now take a break on the US news. When I trade any other currency I simply trade it against the dollar. Works fine. When the US news is released, I now have a choice amongst all other currencies. Obviously not all the currencies react the same, so in this scenario may data has shown that some would win in my system and some would lose. It doesn't matter if the markets are open or closed. In fact, today I got crushed in the Euro but would have won in the Aussie. I was wondering if anyone else ever encountered this problem? I am going to hold off on trading the US news until further notice.

 

good, stay away from news for now. Pro's will use a good news release to unload their position, this is just 1 example.

[Tams 20]

True. All my lessons of late have cost me some serious cash. :crap: Then again, that's probably the only way to improve oneself. Still, I hope to be lessons free for the next few weeks.

 

Lesson #1

Those who do not learn their lessons are doomed to repeat them.

 

tips:

do not proceed to lesson #2 until you have learned lesson #1.

 

.

[randy1953 10]

I trade Forex and trade the news. It's really very simple. Okay first news truth "it makes no difference what the news is the market can go up or down" so do not try to predict the market or you will likely loose.

My method is on a 15 min chart wait until the candle is closed and open up a straddle trade with a 20 pips from price both ways when one becomes filled cancel the pending trade.

 

Only one rule if the currency your trading has moved at least 70 pips in the last hour do not trade. With this method I have a hit rate of 63%. Last Friday I made 80 pips trading the NFP of course it was very week and pretty much a non event.

 

If you want to trade the news it will pay to get a EA to manage your trades they are much faster than humans and will do just about anything you program into them.

 

Hope that helps

Happy trading

Randy

[BlowFish 10]

Whats your initial stop...20? maybe 40? Do you stop and reverse at 40 perhaps? Also wondering what you target. cheers.

[randy1953 10]

I have a trailing stop placed at 20 pips so I just let the baby run.

 

The key to making this work well is to have a EA(forex robot) manage your trades for you.

You can input everything into the EA so when you turn the EA on bingo it will open up the trades, close the one not filled and placed the trailing stop on the filled trade in less time than it takes to snap your fingers. EAs are wonderful at managing trades.

Randy

 

 

 

Whats your initial stop...20? maybe 40? Do you stop and reverse at 40 perhaps? Also wondering what you target. cheers.

[BlowFish 10]

Hehe imho MT4 is so bad at managing trades you pretty much have to use EA's unless you are a masochist!

[randy1953 10]

no it's not at all you just need to know how to use it and also you need a very good connection and also a good data feed from your broker you ahve that and it's almost perfect

 

 

 

Hehe imho MT4 is so bad at managing trades you pretty much have to use EA's unless you are a masochist!

[BlowFish 10]

no it's not at all you just need to know how to use it and also you need a very good connection and also a good data feed from your broker you ahve that and it's almost perfect

 

Then I respectfully disagree. I am used to platforms where you can place a trade or cancel a trade with a single click on a price ladder or chart. I am used to be able to move a trade/stop/target with a single click drag and drop. I am used to splitting or merging orders with a single click. I am used to being able to simply scale in and scale out. All can be accomplished in a split second (literally) on other platforms. MT4 is horrible to place and manage orders quickly (imho). No price ladder no real chart trading.....horrible by any objective measure.

 

Charting fine but for serious trade entry and management third rate without helper scripts. With helper scripts it is just about bearable.

 

This is nothing to do with brokers or connections this is just about order entry software. Actually I don't know of a single real broker that has MT4 for order entry (a broker as opposed to a bookie). MBT where talking about it have they delivered yet? If you are comparing with other bookies software I guess it might compare favourably.

 

I am not sure how you can say that with a straight face. Have you used TT or even Jtrader? How about Ninja or even IB / booktrader or one of the many excellent 3rd part IB add ons? Still if you are happy with it that's all that matters.

[randy1953 10]

I wrote you a long message and then a light went off and now I understand what you mean.

Yes I will admit the actual order entry can be a problem for some. It simply does bother me because when I enter a trade I am not a scalper and I looking to get more than 10 pips from the trade. This is why I place the entry order on deviation 2 or 3 pips and it gets done instantly. However if you find a platform with a broker that gives you what you entered as all the time in the Forex market it's a lie they will take that back from somewhere else.

thinks a about it for a sec it does not take a lot of brain power to see how fast the Forex market can move. It can move 10,20,50 pips in a millisecond. If the brokers always had to give you what you entered as they would not be in business too long not because they are bookies but because of how fast the market moves..

Happy Trading

Randy

 

 

 

Then I respectfully disagree. I am used to platforms where you can place a trade or cancel a trade with a single click on a price ladder or chart. I am used to be able to move a trade/stop/target with a single click drag and drop. I am used to splitting or merging orders with a single click. I am used to being able to simply scale in and scale out. All can be accomplished in a split second (literally) on other platforms. MT4 is horrible to place and manage orders quickly (imho). No price ladder no real chart trading.....horrible by any objective measure.

 

Charting fine but for serious trade entry and management third rate without helper scripts. With helper scripts it is just about bearable.

 

This is nothing to do with brokers or connections this is just about order entry software. Actually I don't know of a single real broker that has MT4 for order entry (a broker as opposed to a bookie). MBT where talking about it have they delivered yet? If you are comparing with other bookies software I guess it might compare favourably.

 

I am not sure how you can say that with a straight face. Have you used TT or even Jtrader? How about Ninja or even IB / booktrader or one of the many excellent 3rd part IB add ons? Still if you are happy with it that's all that matters.