Day Trading News

Trading  Non Farm Payroll 4-05-2013

Find Yourself Trading News?

When financial news is released, the prices of Forex pairs, commodities and Stocks are prone to volatile movements. These movements depend on the intensity of the announcement.

As the volatility increases it allows for better scalping opportunities, but can also create some tricky trading if one is not prepared. -

As prices move and stops are taken out the momentum may increase very fast .  Since these moves come fast and can catch you off guard, you may want to stay flat into these news announcements. What you should try to avoid is the urge to buy or sell based on what you think may happen. If you interpret the news as positive or negative, in my opinion this is irrelevant. What matters most is how the street interprets the News. Day Trading news is not easy, many traders fail at this, but many also excel at day trading news.

If the news is significant, the price will go up or down - it doesn't matter which way it goes. You can react to whatever direction it decides to head in.

Personally, I  do not normally trade based on news. When I am in a trade during day trading news, I am sure to be prudent when the announcement comes. My main goal is protection of capital.

Today we had a great day as we took 4 trades. Three trades were in the AUD/USD and one was on the AUD/JPY.

We made over 67 pips in total. Stocks traded lowered as the  US economy disappointed investors adding only 88K jobs in March, much lower than the  200K that was expected. February had a 268K . The US Dollar Index is closing the week with  losses.

The EUR/USD closed above that psychological mark of 1.3000, propped by the ECB’s inaction on Thursday and the negative results from today’s NFP.

The AUD/USD fell, however not by much as commodities did not erupt in much of a downfall. Here is a link to our twitter and facebook.