sexta-feira, 12 de agosto de 2011
Straddle Stop
Project Forex & Brokerage 5BKP24RS6NCR Straddle Stop
Straddle a stop is put to BUY and SELL Stop order Stop orders, about 30-60 seconds before the news was released with a distance of 10-15 pips from current price.
The goal is to catch up or down spikes that occur when news was released.
Straddle the stop in use if it is felt that the News Service that are used less rapid news release number so it is not possible for traders to take positions before the initial spike (initial spike) occurs.
Indeed there is a loss when we use this style, where traders can not obtain maximum benefit from the price spikes that occur.
However, with continuous practice, this style can provide consistent profits.
If you do not want to come out of capital for News Service subscription, you can use the following as a news service site2:
ForexFactory.com - access via a browser, perform continuous refreshes detik2 news released. Delay> 30 seconds of the initial spike.
http://news.efxnow.com/en/commentary/index.html - auto refresh browser. Delay> 30 seconds of the initial spike.
NewsStrike.com - Audio service, exclusively for U.S. News only and must install software to listen to the news - Delay> 3 seconds of the initial spike.
At least 100 pips per month or 5 pips per day is not difficult to obtain. You can just continue to increase the volume of transactions lot bit by bit to get a bigger profit.
Keep in mind that usually each broker has a different policy for STOP orders. STOP orders normally require that brokers be 10 pips away from current price (some are below it but rarely). Thus it is definitely missed 10 pips profit.
Not to mention the existence of spreads and also the possibility of slippage, then this style feels less profitable.
To do this stop straddle style should use a broker that allows us to straddle with ease. Brokers with MetaTrader platform is highly recommended.
With Metatrader who has the ability to execute the script and the shortcut button would greatly help us in straddle.
With Metatrader, do straddle News released 30 seconds before it is entirely possible to do.
For information, there is also news that does not require us to order or too fast pairs straddle, which is like the ISM Manufacturing News.
Movement of history, news is often cause early spike whipsawed. So we do not need too quickly into the market.
For news-news like this we just do the simple market order when the market clear direction and we can get a decent pips.
Fade The News
Project Forex & Brokerage 5BKP24RS6NCR Fade The News
Contrary to Trade The Number who installed position in the direction of the spike, Fade The News just put up a position opposite to the spike. Entry made after the initial spike was considered the maximum and the hopes of profit-taking action that makes the price immediately move against the direction of the initial spike.
This method is very effective to face the News class that usually has a spike not more than 30 pips as U.S. Durable Good, U.S. New Home Sales, ADP, PPI. Do not use this method to deal with the Great News as the NFP, Interest Rate Change, CPI, GDP and News of which has a history can move more than 50 pips.
Trade the Number
Project Forex & Brokerage 5BKP24RS6NCR Trade the Number
Traders who use the style / styles of this trading is the trader who do order positions after the News was released.
There are two ways of doing this type of trading.
1. Take a position before the surge (spike) price occurs.
2. Or if the late entry and the spike has occurred, then the other way is to wait for a retrace and then take a position after the visible retrace is completed and the movement began to move in the direction again with the data released.
With the first way a News Traders can take maximum advantage of price spikes that occur.
But this style is not easy to do. We know that only a micro second later after the News was released then the price hikes will occur.
To use this style is needed:
1. The best news service, classmates Bloomberg, Reuters or SecretNewsWeapon, which is certainly not cheap. Minimum $ 750 / month.
2. Fast internet connection. If possible connected to a Network thier International. ISPs who have it rarely. Even so there must be expensive.
Therefore, if you do not have a Forex account worth $ 30,000 (300jt) should not try to be a Trader with this style. Because the cost is likely not quite fit.
There are other weaknesses of this way of trading that is, if there are 2 digits of data released and turned out to both the conflict it is very possible spike that occurs will be distorted and the price goes up and down very quickly like a yo-yo: D Where can we swept Stop Lost.
While this second way, is less promising high profits, but if done properly and the data values in the releases is strong enough then it is likely much higher profit than the first way because the price movements tend to be relatively more stable and calm.
Traders who use the style / styles of this trading is the trader who do order positions after the News was released.
There are two ways of doing this type of trading.
1. Take a position before the surge (spike) price occurs.
2. Or if the late entry and the spike has occurred, then the other way is to wait for a retrace and then take a position after the visible retrace is completed and the movement began to move in the direction again with the data released.
With the first way a News Traders can take maximum advantage of price spikes that occur.
But this style is not easy to do. We know that only a micro second later after the News was released then the price hikes will occur.
To use this style is needed:
1. The best news service, classmates Bloomberg, Reuters or SecretNewsWeapon, which is certainly not cheap. Minimum $ 750 / month.
2. Fast internet connection. If possible connected to a Network thier International. ISPs who have it rarely. Even so there must be expensive.
Therefore, if you do not have a Forex account worth $ 30,000 (300jt) should not try to be a Trader with this style. Because the cost is likely not quite fit.
There are other weaknesses of this way of trading that is, if there are 2 digits of data released and turned out to both the conflict it is very possible spike that occurs will be distorted and the price goes up and down very quickly like a yo-yo: D Where can we swept Stop Lost.
While this second way, is less promising high profits, but if done properly and the data values in the releases is strong enough then it is likely much higher profit than the first way because the price movements tend to be relatively more stable and calm.
Forex News Trader Trading Style
Project Forex & Brokerage 5BKP24RS6NCR Forex News Trader Trading Style
Trading style of a news trader depends on:
1. News faced.
2. Speed News Service is used.
3. Internet speeds are used.
Basically there are 3 trading style used by News Trader:
1. Trade The Number, which is done AFTER News released.
2. Fade The News made and released AFTER News
3. Stop or trap pairs Straddle Batman, who carried out BEFORE News released
Trading style of a news trader depends on:
1. News faced.
2. Speed News Service is used.
3. Internet speeds are used.
Basically there are 3 trading style used by News Trader:
1. Trade The Number, which is done AFTER News released.
2. Fade The News made and released AFTER News
3. Stop or trap pairs Straddle Batman, who carried out BEFORE News released
Misconception about Trading News
Project Forex & Brokerage 5BKP24RS6NCR Misconception about Trading News
- News Trading is a quick success in Forex.
- News Traders only need to be online 10 minutes when news was released and gain a lot.
Assumption above usually have in mind the new Trader News:) Although News Trading has a far smaller risk than other methods but is not as easy as turning his hand to succeed as a News Trader. It takes hours of flying high, experience, and speed in thinking to be successful as News Trader.
Observed one by one characteristic of all tradeable News is the first thing to do a News Trader. And this will cost, determination, willing to sacrifice their time and willingness to learn and gather historical data of each news. So a fickle do not expect to succeed as News Trader. Make News Trading as one of your appendages at the trading system.
- News Traders do not need to learn Technical Analysis.
- News Trading does not need to pay attention to trends, because of news events can change the trend.
No one ever denied "Traders Trend is Friend" because that's the reality. It is usually caused by a number direleasenya Economic Indicators can make currencies move against the trend but it is certain that it is temporary. Therefore, observing the prevailing trend and see the current market sentiment News about released is a must so that we can be more vigilant when it comes to a reversal occurs.
Knowing a valid Support and Resistant too, a necessity, especially when we are dealing with News Class II, is almost certainly the effect of such news would not be able to penetrate the numbers support and resistant to the possibility of reversal is also very high.
- News Trading is a quick success in Forex.
- News Traders only need to be online 10 minutes when news was released and gain a lot.
Assumption above usually have in mind the new Trader News:) Although News Trading has a far smaller risk than other methods but is not as easy as turning his hand to succeed as a News Trader. It takes hours of flying high, experience, and speed in thinking to be successful as News Trader.
Observed one by one characteristic of all tradeable News is the first thing to do a News Trader. And this will cost, determination, willing to sacrifice their time and willingness to learn and gather historical data of each news. So a fickle do not expect to succeed as News Trader. Make News Trading as one of your appendages at the trading system.
- News Traders do not need to learn Technical Analysis.
- News Trading does not need to pay attention to trends, because of news events can change the trend.
No one ever denied "Traders Trend is Friend" because that's the reality. It is usually caused by a number direleasenya Economic Indicators can make currencies move against the trend but it is certain that it is temporary. Therefore, observing the prevailing trend and see the current market sentiment News about released is a must so that we can be more vigilant when it comes to a reversal occurs.
Knowing a valid Support and Resistant too, a necessity, especially when we are dealing with News Class II, is almost certainly the effect of such news would not be able to penetrate the numbers support and resistant to the possibility of reversal is also very high.
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