However, what you might not know is that I pay little to no attention to Forex news and fundamentals. Generally speaking, the reason is because the big players in the markets; the guys who REALLY make the market move, mainly trade based on their expectations of the future, NOT so much on facts that have just been released. Thus, upcoming economic news releases are almost always factored into the price of a bad. Well, in short, the actual economic number is almost totally irrelevant. Well, because by the time the number is released, all the big boys have already traded their beliefs of how the expected number will affect the market. For example, if ourNon-farm payroll number comes in at exactlyit could actually make the market go down, because everyone already bought into the market with an expectation ofjobs or more being a positive sign. I am trying to explain to you guys that trading Forex news releases is essentially the trade as gambling your money in the market. As a price action trader, I believe that all fundamentals and Forex news releases are reflected and can be traded via the price action on a plain vanilla price chart. The main reason why I believe this is because news events and other variables are nothing more than catalysts that cause the market to move. But, HOW the market ultimately moves as a result of them is a different story, and this story is ultimately reflected via the price movement on a price chart. Price action is essentially its own language, and this language can be thought of as a reflection of what every market variable has caused the market to do, as well as which direction the market is most likely to move next. More is not always better, and especially as it relates to analyzing forex news and economic data. The effectiveness and practicality of trading solely off the price action of a market cannot be ignored. However, I do need to mention how news releases can affect open trades…because I literally get emails about this everyday. So, for all of forex wondering, here is my official statement on what to do times open trades prior to big news releases like Non-Farm payrolls or GDP…. Now that you know why trying to trade the news or even concentrating on bad too much can actually hurt your trading, what will you do? The ball is in your court. Are you ready to accept that trading off the news is irrational and pointless? The truth is that you can never figure out what will happen next, all you can is trade the market with a high-probability trading edge and make sure your winning trades out-pace your losers, as well as not over-trade or over-leverage your account. Trading the market without any news variables influencing your decisions takes a huge amount of pressure and confusion off your shoulders. Less information to digest means less confusion and the elimination of analysis-paralysis, A. But, what if you have an open position, still near your break even point, and some fundamental will be released next hour, for example?. Do you close your trade? I will close my positions if the fundamental is soon and I have a near to break even position. I will let you know how things turn out later. Thanks our leader, really which you learn us forex fact in the market, today we have some keys to trade over the year couse of good person like you. Thank you NIAL, Good stuff. Continued bad news, or good news will affect any currency. You r too generous. HAPPY ARE YOUR MEMBERS WHO PRACTICE WHAT YOU PREACH. Thinking that it will help me with my trading. Thanks Nail, The biggest losses I ever made trading were as a result of trying to trade the news. Price action is the proven way to go. Keep up the good work. For those of you new to forex like bad, stick with one mentor and learn their style of trading. When I learned how to water ski, there were 3 experts in the boat. I did not get up on the slalom ski that day. Bad many experts were giving me advice on what to do. With a one on one instructor, I was skiing in 15 minutes the next day. Too many cooks in the kitchen ruin the soup…. Its really really an informative and useful article for the forex trader. It will be improved our thinking and will be make much careful to make any entry in the trading platform. So thanks Nial to share it and to show us the right ways to trade in forex market. Quite agree Nial, Bang on again. Thanks a lot for this useful and informative article. Keep up the good work; it always puts me in a good mood after reading your any article or commentary. NAIL This gives me more help than you can perceive,please keep the focus on price action and teach me to follow your example I have certainly been wrong on my reading and television gulibility. I have always held firm my disdain towards the business news and its political or corporate bias. Its just a huge distraction designed to put you off your trade and put money into the pockets of their beneficiaries. Why do you think Goldman call their clients muppets? There might be allot of information out there, but also allot of misinformation aswell. We look for justification, for direction. We want to prove ourselves wrong, either to bank early profit or take an unnecessary hit. To generate a self discipline free from distraction, and generate self belief to such an extent that they become impervious to negative outside influence. Knowing the schedule of news announcements is part of trading to protect oneself from surprises. That news are often priced in before they occur is true. Traders may observe that many times the price is already on the way in the direction the spike will go at the time of the announcement. Thanks a lot for this informative and useful article Nial, hope to implement this lesson in my trading, also wish to take the course from you some day. You are a teacher indeed as you were able to make your point clear. From my experience on a lower time frame like 5mins or 15mins,making 20pips on a consistent basis without much stress forex possible if you trade after major FA. Hello Nial, I think this advice is just cool for beginer traders. But we all know that developing or advanced traders dont actually try to predict any news outcome-they simply use the straddle strategy. The problem however, has always been slippage and trade whipsaw. But we all know how to handle this problem, dont we? I think using straddle on only high impact news releases is a comfortable adjunct to any other good strategy such as the price action strategy you teach, and this can be proven just by looking at the equity curve! Thanks all the same for the article. It has been my experience trade far that, when I was new and un-informed i. Then, I became experienced?? Nial, what you have just said, was one of those AHA! P but in the end, I realized that price action trading is the best. As I write this EUR will probably hit my stop loss and Nzd will hit my target. Will see at the next 4 hr bar. Hi Nial, I have noticed that your price action set ups often occur just prior to the larger impact news releases e. On this occasion, sure enough, the news WAS negative and the eurusd nose-dived the bearish fakey playing itself out on the charts. Best Advise Ever — never try and figure out what happened, you can try, but guaranteed times fail. Less is more, 1 trade with good reward, is all you need. Your times address will not be published. Notify me of follow-up comments by email. Notify me of new posts by forex. Any Advice or information on this website is General Advice Only - It does not take into account your personal circumstances, please do not trade or invest based solely on this information. 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The high degree of leverage can work against you as well as for you. You must be aware of the risks of investing in forex, futures, and options and be willing to accept them in order to trade in these markets. Forex trading involves substantial risk of loss and is not suitable for all investors. Please do not trade with borrowed money or money you cannot afford to lose. Any opinions, news, research, analysis, prices, or other information contained on this website is provided as general market commentary and does not constitute investment advice. We will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information. Please remember that the past performance of any trading system or methodology is not necessarily indicative of future results. Beware Of Trading Forex News And Fundamentals By Nial Fuller in Forex Trading Articles 48 Comments. What will you do now? The truth is that you can never figure out what will happen next, all you bad is trade the market with a high-probability trading edge and make sure your winning trades out-pace your losers, as well as not over-trade or over-leverage your account Trading the market without any news variables influencing your decisions takes a huge amount of pressure and confusion off your shoulders. Now I want to hear from you! July 30, at April 29, at 2: October 31, at 2: October 2, at 1: July 15, at 6: May 26, at 3: July 13, at 3: March 30, at 1: March 29, at 6: Times 28, at 4: March 26, at 6: March 26, at March 25, at March 25, at 7: March 25, at 3: March 25, at 2: March 25, at 1: March 25, at 9: March 24, at March 24, at 9: March 24, at 7: March 24, at 5: March 23, at Muhammad Mamun Hossain says: March 23, at 9: March 23, at 8: March 23, at 7: March 23, at 6: March 23, at 5: March 23, at 4: Leave a Comment Cancel reply Your email address will not be published. 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While many of the stories were insightful and inspiring, the one that most stuck with me was when she talked about one of her aids on Good Morning America that told Joan that she could start her day over whenever she liked, when she felt that Joan was off to a bad start in the early morning hours when most of us are still in bed.
Nowhere is the myopic New York-centrism that Saul Steinberg so famously captured in his March 29, 1976 cover of the New Yorker as ubiquitous as it is in the art world.
While many of the stories were insightful and inspiring, the one that most stuck with me was when she talked about one of her aids on Good Morning America that told Joan that she could start her day over whenever she liked, when she felt that Joan was off to a bad start in the early morning hours when most of us are still in bed.
Nowhere is the myopic New York-centrism that Saul Steinberg so famously captured in his March 29, 1976 cover of the New Yorker as ubiquitous as it is in the art world.