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Forex News Trading Plans for Week 34, Aug 17 – Aug 23 2014

Discussion in 'Current Forex Trading Signals' started by Peter O, Aug 17, 2014.

  1. Peter O

    Peter O Special Consultant to the FPA

    Joined:
    Jan 14, 2013
    Messages:
    3,320
    Likes Received:
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    What is news trading? How does forex news trading work?

    Forex News Trading can be extremely profitable if you have an understanding of fundamental analysis and have access to low latency forex trading software. Sounds too complex or expensive? Do not worry, Forex Peace Army analyst will help you to identify high-probability tradable economic news reports and advise on the trading strategy. Best of all: Forex News Gun - automated forex trading software is free for all. You find all details on Forex News Gun forum and if you want make pips easier you can find additional tools at Forex Tactical Squad.

    -–––———————————————————————————————————–––-

    Hello Fellow Traders,

    On this week (August 17 - August 23) we have 5 tradable releases:


    -–––————— Tuesday, August 19 —————–––-
    (brief summary)

    UK CPI 4:30am NY time FNG + DTS
    USA Core CPI 8:30am NY time FNG

    -–––————— Thursday, August 21 —————–––-
    (brief summary)

    UK Retail Sales 4:30am NY time FNG + DTS
    USA Existing Home Sales 10:00am NY time FNG + DTS

    -–––————— Friday, August 22 —————–––-
    (brief summary)

    Canada Core Retail Sales 8:30am NY time FNG + DTS


    Sincerely,
    Peter
     
    #1 Peter O, Aug 17, 2014
    Last edited: Aug 21, 2014
  2. Peter O

    Peter O Special Consultant to the FPA

    Joined:
    Jan 14, 2013
    Messages:
    3,320
    Likes Received:
    1,434

    --–––––——————————————————————————————————————–––––--

    Forex News Gun Trade Plan

    UK CPI - 4:30am NY time (Tuesday, August 19)

    --–––––————————————————————–––––--​

    Traded pair Expected figure Deviation trigger
    GBPUSD 1.8 (%) ±0.3 (%)
    Buy GBPUSD if actual figure is or is above 2.1 (%)
    Sell GBPUSD if actual figure is or is below 1.5 (%)
    Expected move during first 30 minutes after the release is 20 pips or more.


    --–––––————— FNG Configuration —————–––––--

    Release name in FNG client: UK CPI EU Harmonized YoY

    Clicks: first row is for Sell GBPUSD button, second one is for Buy GBPUSD button:




    --–––––————— Detailed Trade Plan —————–––––--​

    1. Start trade terminal
    - Open your trade terminal and open an order sending dialog with Buy and Sell buttons.​
    - Select GBPUSD pair.​
    - Set your lot size - use your constant risk level on balance.​

    2. Start Forex News Gun client
    - Open your Forex News Gun client ( and ) and click 'Connect...'.​
    - Drag the FNG window aside in order to make trade terminal's Buy and Sell buttons visible.​

    3. Set a click
    - Click the 'Set Click' button in the row of UK CPI.​
    - Double click on first row's 'Range To' cell. Type '1.5' and hit Enter.​
    - Click first row's 'Click Location' button.​
    - Drag the mouse cursor over the terminal's Sell button but don't click. We just show FNG where it is by pressing 'S' key while mouse cursor is over the Sell button. You will see the screen coordinates appearing in the FNG client.​
    - Double click on second row's 'Range From' cell. Type '2.1' and hit Enter.​
    - Drag the mouse cursor over the terminal's Buy button but don't click. Press 'S' key there to register button location in FNG client.​
    - Click OK on this 'Set Clicks' window​

    4. Keep trading environment intact
    - Make sure that your pc, trade terminal and FNG client is running at the time of the release: Tuesday, August 19, 4:30am NY time.​
    - Make sure that trade terminal's Buy and Sell buttons are visible at that time in order to catch screen clicks from FNG client.​

    Now you have an automated news trading entry environment that will enter the market in a fraction of a second if this release figure hits the deviation. Nevertheless, don't forget to be at the PC at the time of the release in order to manage your position and to take that pips on the first spike that lasts no longer than several minutes.

    I cannot tell you where to exit in relation to your entry, because entries during news vary greatly, due to different spreads, slippage, and other factors. For this reason, it’s extremely important that you review historical charts for UK CPI, where the same deviation of at least 0.3 occurred. Click here to see such history: UK CPI history of charts.

    If the release figure doesn't hit the deviation then FNG client won't click so you can either close it or set the next release. In this case don't forget to change currency pair if needed according to the new release details. Don't be surprised if most of the releases don't trigger. This is a conservative strategy and according to my statistics only every 4th or 5th release opens a position by hitting the deviation.

    You can try to make money "while you sleep" with this. To do that, set it up on stable computer or server with stable internet connection, and pre-set your stop/loss and take/profit targets with your broker. As long as the platform and FNG remain open, your trade will be executed and exited automatically.

    To get even more creative with FNG, when setting up clicks, you can set up first click instantly on let’s say "Buy". Then you can set up second click with let’s say 20 minutes delay on let’s say "Sell" to automatically close your buy trade 20 minutes later. To do that, simply put 20 into the MM field next to the second click, and identify the "Sell" location. HH stands for hours. MM stands for minutes. SS stands for seconds. MS stands for milliseconds. The software will delay any click by your specified desired time parameters.

    Due to so many releases not hitting the specified parameters, and due to them being released at such different time frames, being able to set it up, and leave it on auto-pilot may be attractive to some people, though it will be more risky.

    --–––––——————————————————————————————————————–––––--
    O O O
    --–––––——————————————————————————————————————–––––--

    Diamonds Trading Signals Trade Plan

    UK CPI - 4:30am NY time (Tuesday, August 19)

    --–––––————————————————————–––––--​

    Traded currency pair : GBPUSD
    Initial spike duration limit : 20 seconds
    Initial spike price action threshold : 15 pips
    Triggering retracement percentage : 50 %
    Retracement duration limit : 60 seconds
    Maximum trade hold time after release : 15 minutes
    Stop loss : 10 pips
    Take profit : 10 pips
    Maximum spread : 2 pips

    1. Set up single click execution on your broker platform, and if possible, pre-determine default stop/loss and default take/profit to 10 pips, so that when you click to execute your order, your platform will automatically set your stop/loss and take/profit at 10 pips from your entry price. Do not try this with brokers that don’t offer single click execution.

      If your platform does not allow to pre-determine default stop/loss and take/profit, then after entering the trade, simply set the stop/loss and take/profit points manually.

    2. Pull up either tick, 1-second, 3-second, or 5-second chart, and at 04:29:45am, so 15 seconds before the announcement, start paying very close attention to the price action of GBPUSD on your chart.

    3. If between 04:30:00am and 04:30:20am, so during the first 20 seconds after the report, you see GBPUSD move up or down by 15 pips or more, then enter in the direction of the initial spike at the very first 50% retracement if it occurs in 60 seconds from release time (till 04:31:00am) – and if spread at the time of your entry is at 2 pips or less. Set stop/loss at 10 pips, and set take/profit at 10 pips.

      The retracement will happen within seconds. Don’t draw anything on your chart, and don’t try to get a perfect entry. As soon as you see approximately 50% retracement on your chart, compared to the initial spike, click to enter without any hesitation.

      If the move either up or down was less than 15 pips during the first 20 seconds, then the actual number of the report did not generate sufficient interest in the market, and you simply skip the trade. If your spread at the time of desired entry is more than 2 pips, then skip the trade.

    4. If by 04:45:00am, so 15 minutes after the report release, neither your stop/loss nor your take/profit points were hit, then close the trade automatically at market price of the time.


    Previous Example: on January 25 2013, at 4:30am, UK CPI number was released, so in the first 20 seconds, the price of GBPUSD spiked down by 42.1 pips from 1.58097 to 1.57676. Then price started retracing, and within about 90 seconds retraced to 20% level of 1.57759 but it didn't continue retracing. This retracement was lower than trade plan's minimal 50% level so we didn't enter the market.


    Be patient, and do at least 20 "second wave" trades, before getting frustrated and quitting.

    Once you become good at it, you will be able to win on average 7 to 8 out of 10 trades.

    Keep win to loss ratio at 1:1. Tweak it only after you are consistently profitable with 1:1.

    Remember, it does not matter whether you make or lose 10 pips or 100 pips on a trade. What matters is how much money you make or lose on a trade. When risking 10 pips, simply put up 10 times more lots than you would when you risk 100 pips, and at the end you will make or lose the same amount of money. Yes, spread to pips targeted ratio matters, but these news "second wave" moves have such high probability of success that they somehow make up for the very high spread to pips targeted ratio (2 to 10), which is a small miracle in itself.


    --–––––——————————————————————————————————————–––––--
    O O O
    --–––––——————————————————————————————————————–––––--

    Forex News Gun Trade Plan

    USA Core CPI - 8:30am NY time (Tuesday, August 19)

    --–––––————————————————————–––––--​

    Traded pair Expected figure Deviation trigger
    USDJPY 0.2 (%) ±0.3 (%)
    Buy USDJPY if actual figure is or is above 0.5 (%)
    Sell USDJPY if actual figure is or is below -0.1 (%)
    Expected move during first 30 minutes after the release is 25 pips or more.


    --–––––————— FNG Configuration —————–––––--

    Release name in FNG client: CPI Ex Food & Energy M/M

    Clicks: first row is for Sell USDJPY button, second one is for Buy USDJPY button:




    --–––––————— Detailed Trade Plan —————–––––--​

    1. Start trade terminal
    - Open your trade terminal and open an order sending dialog with Buy and Sell buttons.​
    - Select USDJPY pair.​
    - Set your lot size - use your constant risk level on balance.​

    2. Start Forex News Gun client
    - Open your Forex News Gun client ( and ) and click 'Connect...'.​
    - Drag the FNG window aside in order to make trade terminal's Buy and Sell buttons visible.​

    3. Set a click
    - Click the 'Set Click' button in the row of USA Core CPI.​
    - Double click on first row's 'Range To' cell. Type '-0.1' and hit Enter.​
    - Click first row's 'Click Location' button.​
    - Drag the mouse cursor over the terminal's Sell button but don't click. We just show FNG where it is by pressing 'S' key while mouse cursor is over the Sell button. You will see the screen coordinates appearing in the FNG client.​
    - Double click on second row's 'Range From' cell. Type '0.5' and hit Enter.​
    - Drag the mouse cursor over the terminal's Buy button but don't click. Press 'S' key there to register button location in FNG client.​
    - Click OK on this 'Set Clicks' window​

    4. Keep trading environment intact
    - Make sure that your pc, trade terminal and FNG client is running at the time of the release: Tuesday, August 19, 8:30am NY time.​
    - Make sure that trade terminal's Buy and Sell buttons are visible at that time in order to catch screen clicks from FNG client.​

    Now you have an automated news trading entry environment that will enter the market in a fraction of a second if this release figure hits the deviation. Nevertheless, don't forget to be at the PC at the time of the release in order to manage your position and to take that pips on the first spike that lasts no longer than several minutes.

    I cannot tell you where to exit in relation to your entry, because entries during news vary greatly, due to different spreads, slippage, and other factors. For this reason, it’s extremely important that you review historical charts for USA Core CPI, where the same deviation of at least 0.3 occurred. Click here to see such history: USA Core CPI history of charts.

    If the release figure doesn't hit the deviation then FNG client won't click so you can either close it or set the next release. In this case don't forget to change currency pair if needed according to the new release details. Don't be surprised if most of the releases don't trigger. This is a conservative strategy and according to my statistics only every 4th or 5th release opens a position by hitting the deviation.

    You can try to make money "while you sleep" with this. To do that, set it up on stable computer or server with stable internet connection, and pre-set your stop/loss and take/profit targets with your broker. As long as the platform and FNG remain open, your trade will be executed and exited automatically.

    To get even more creative with FNG, when setting up clicks, you can set up first click instantly on let’s say "Buy". Then you can set up second click with let’s say 20 minutes delay on let’s say "Sell" to automatically close your buy trade 20 minutes later. To do that, simply put 20 into the MM field next to the second click, and identify the "Sell" location. HH stands for hours. MM stands for minutes. SS stands for seconds. MS stands for milliseconds. The software will delay any click by your specified desired time parameters.

    Due to so many releases not hitting the specified parameters, and due to them being released at such different time frames, being able to set it up, and leave it on auto-pilot may be attractive to some people, though it will be more risky.

    --–––––——————————————————————————————————————–––––--​
     
    #2 Peter O, Aug 17, 2014
    Lasted edited by : Sep 2, 2019
  3. Peter O

    Peter O Special Consultant to the FPA

    Joined:
    Jan 14, 2013
    Messages:
    3,320
    Likes Received:
    1,434

    --–––––——————————————————————————————————————–––––--

    Forex News Gun Trade Plan

    UK Retail Sales - 4:30am NY time (Thursday, August 21)

    --–––––————————————————————–––––--​

    Traded pair Expected figure Deviation trigger
    GBPUSD 0.4 (%) ±0.4 (%)
    Buy GBPUSD if actual figure is or is above 0.8 (%)
    Sell GBPUSD if actual figure is or is below 0.0 (%)
    Expected move during first 20 minutes after the release is 20 pips or more.


    --–––––————— FNG Configuration —————–––––--

    Release name in FNG client: UK Retail Sales (MoM)

    Clicks: first row is for Sell GBPUSD button, second one is for Buy GBPUSD button:




    --–––––————— Detailed Trade Plan —————–––––--​

    1. Start trade terminal
    - Open your trade terminal and open an order sending dialog with Buy and Sell buttons.​
    - Select GBPUSD pair.​
    - Set your lot size - use your constant risk level on balance.​

    2. Start Forex News Gun client
    - Open your Forex News Gun client ( and ) and click 'Connect...'.​
    - Drag the FNG window aside in order to make trade terminal's Buy and Sell buttons visible.​

    3. Set a click
    - Click the 'Set Click' button in the row of UK Retail Sales.​
    - Double click on first row's 'Range To' cell. Type '0.0' and hit Enter.​
    - Click first row's 'Click Location' button.​
    - Drag the mouse cursor over the terminal's Sell button but don't click. We just show FNG where it is by pressing 'S' key while mouse cursor is over the Sell button. You will see the screen coordinates appearing in the FNG client.​
    - Double click on second row's 'Range From' cell. Type '0.8' and hit Enter.​
    - Drag the mouse cursor over the terminal's Buy button but don't click. Press 'S' key there to register button location in FNG client.​
    - Click OK on this 'Set Clicks' window​

    4. Keep trading environment intact
    - Make sure that your pc, trade terminal and FNG client is running at the time of the release: Thursday, August 21, 4:30am NY time.​
    - Make sure that trade terminal's Buy and Sell buttons are visible at that time in order to catch screen clicks from FNG client.​

    Now you have an automated news trading entry environment that will enter the market in a fraction of a second if this release figure hits the deviation. Nevertheless, don't forget to be at the PC at the time of the release in order to manage your position and to take that pips on the first spike that lasts no longer than several minutes.

    I cannot tell you where to exit in relation to your entry, because entries during news vary greatly, due to different spreads, slippage, and other factors. For this reason, it’s extremely important that you review historical charts for UK Retail Sales, where the same deviation of at least 0.4 occurred. Click here to see such history: UK Retail Sales history of charts.

    If the release figure doesn't hit the deviation then FNG client won't click so you can either close it or set the next release. In this case don't forget to change currency pair if needed according to the new release details. Don't be surprised if most of the releases don't trigger. This is a conservative strategy and according to my statistics only every 4th or 5th release opens a position by hitting the deviation.

    You can try to make money "while you sleep" with this. To do that, set it up on stable computer or server with stable internet connection, and pre-set your stop/loss and take/profit targets with your broker. As long as the platform and FNG remain open, your trade will be executed and exited automatically.

    To get even more creative with FNG, when setting up clicks, you can set up first click instantly on let’s say "Buy". Then you can set up second click with let’s say 20 minutes delay on let’s say "Sell" to automatically close your buy trade 20 minutes later. To do that, simply put 20 into the MM field next to the second click, and identify the "Sell" location. HH stands for hours. MM stands for minutes. SS stands for seconds. MS stands for milliseconds. The software will delay any click by your specified desired time parameters.

    Due to so many releases not hitting the specified parameters, and due to them being released at such different time frames, being able to set it up, and leave it on auto-pilot may be attractive to some people, though it will be more risky.

    --–––––——————————————————————————————————————–––––--
    O O O
    --–––––——————————————————————————————————————–––––--

    Diamonds Trading Signals Trade Plan

    UK Retail Sales - 4:30am NY time (Thursday, August 21)

    --–––––————————————————————–––––--​

    Traded currency pair : GBPUSD
    Initial spike duration limit : 15 seconds
    Initial spike price action threshold : 12 pips
    Triggering retracement percentage : 35 %
    Retracement duration limit : 40 seconds
    Maximum trade hold time after release : 10 minutes
    Stop loss : 10 pips
    Take profit : 10 pips
    Maximum spread : 2 pips

    1. Set up single click execution on your broker platform, and if possible, pre-determine default stop/loss and default take/profit to 10 pips, so that when you click to execute your order, your platform will automatically set your stop/loss and take/profit at 10 pips from your entry price. Do not try this with brokers that don’t offer single click execution.

      If your platform does not allow to pre-determine default stop/loss and take/profit, then after entering the trade, simply set the stop/loss and take/profit points manually.

    2. Pull up either tick, 1-second, 3-second, or 5-second chart, and at 04:29:45am, so 15 seconds before the announcement, start paying very close attention to the price action of GBPUSD on your chart.

    3. If between 04:30:00am and 04:30:15am, so during the first 15 seconds after the report, you see GBPUSD move up or down by 12 pips or more, then enter in the direction of the initial spike at the very first 35% retracement if it occurs in 40 seconds from release time (till 04:30:40am) – and if spread at the time of your entry is at 2 pips or less. Set stop/loss at 10 pips, and set take/profit at 10 pips.

      The retracement will happen within seconds. Don’t draw anything on your chart, and don’t try to get a perfect entry. As soon as you see approximately 35% retracement on your chart, compared to the initial spike, click to enter without any hesitation.

      If the move either up or down was less than 12 pips during the first 15 seconds, then the actual number of the report did not generate sufficient interest in the market, and you simply skip the trade. If your spread at the time of desired entry is more than 2 pips, then skip the trade.

    4. If by 04:40:00am, so 10 minutes after the report release, neither your stop/loss nor your take/profit points were hit, then close the trade automatically at market price of the time.


    Previous Example: on April 20 2012, at 4:30am, UK Retail Sales number was released, so in the first 10 seconds, the price of GBPUSD spiked up by 31.9 pips from 1.60822 to 1.61141. Then price started retracing, and within about 25 seconds retraced to 31% level of 1.61041 but it didn't continue retracing. This retracement was lower than trade plan's minimal 35% level so we didn't enter the market.


    Be patient, and do at least 20 "second wave" trades, before getting frustrated and quitting.

    Once you become good at it, you will be able to win on average 7 to 8 out of 10 trades.

    Keep win to loss ratio at 1:1. Tweak it only after you are consistently profitable with 1:1.

    Remember, it does not matter whether you make or lose 10 pips or 100 pips on a trade. What matters is how much money you make or lose on a trade. When risking 10 pips, simply put up 10 times more lots than you would when you risk 100 pips, and at the end you will make or lose the same amount of money. Yes, spread to pips targeted ratio matters, but these news "second wave" moves have such high probability of success that they somehow make up for the very high spread to pips targeted ratio (2 to 10), which is a small miracle in itself.


    --–––––——————————————————————————————————————–––––--
    O O O
    --–––––——————————————————————————————————————–––––--

    Forex News Gun Trade Plan

    USA Existing Home Sales - 10:00am NY time (Thursday, August 21)

    --–––––————————————————————–––––--​

    Traded pair Expected figure Deviation trigger
    USDJPY 5.00 (M) ±0.40 (M)
    Buy USDJPY if actual figure is or is above 5.40 (M)
    Sell USDJPY if actual figure is or is below 4.60 (M)
    Expected move during first 30 minutes after the release is 30 pips or more.


    --–––––————— FNG Configuration —————–––––--

    Release name in FNG client: US Existing Home Sales

    Clicks: first row is for Sell USDJPY button, second one is for Buy USDJPY button:




    --–––––————— Detailed Trade Plan —————–––––--​

    1. Start trade terminal
    - Open your trade terminal and open an order sending dialog with Buy and Sell buttons.​
    - Select USDJPY pair.​
    - Set your lot size - use your constant risk level on balance.​

    2. Start Forex News Gun client
    - Open your Forex News Gun client ( and ) and click 'Connect...'.​
    - Drag the FNG window aside in order to make trade terminal's Buy and Sell buttons visible.​

    3. Set a click
    - Click the 'Set Click' button in the row of USA Existing Home Sales.​
    - Double click on first row's 'Range To' cell. Type '4.60' and hit Enter.​
    - Click first row's 'Click Location' button.​
    - Drag the mouse cursor over the terminal's Sell button but don't click. We just show FNG where it is by pressing 'S' key while mouse cursor is over the Sell button. You will see the screen coordinates appearing in the FNG client.​
    - Double click on second row's 'Range From' cell. Type '5.40' and hit Enter.​
    - Drag the mouse cursor over the terminal's Buy button but don't click. Press 'S' key there to register button location in FNG client.​
    - Click OK on this 'Set Clicks' window​

    4. Keep trading environment intact
    - Make sure that your pc, trade terminal and FNG client is running at the time of the release: Thursday, August 21, 10:00am NY time.​
    - Make sure that trade terminal's Buy and Sell buttons are visible at that time in order to catch screen clicks from FNG client.​

    Now you have an automated news trading entry environment that will enter the market in a fraction of a second if this release figure hits the deviation. Nevertheless, don't forget to be at the PC at the time of the release in order to manage your position and to take that pips on the first spike that lasts no longer than several minutes.

    I cannot tell you where to exit in relation to your entry, because entries during news vary greatly, due to different spreads, slippage, and other factors. For this reason, it’s extremely important that you review historical charts for USA Existing Home Sales, where the same deviation of at least 0.40 occurred. Click here to see such history: USA Existing Home Sales history of charts.

    If the release figure doesn't hit the deviation then FNG client won't click so you can either close it or set the next release. In this case don't forget to change currency pair if needed according to the new release details. Don't be surprised if most of the releases don't trigger. This is a conservative strategy and according to my statistics only every 4th or 5th release opens a position by hitting the deviation.

    You can try to make money "while you sleep" with this. To do that, set it up on stable computer or server with stable internet connection, and pre-set your stop/loss and take/profit targets with your broker. As long as the platform and FNG remain open, your trade will be executed and exited automatically.

    To get even more creative with FNG, when setting up clicks, you can set up first click instantly on let’s say "Buy". Then you can set up second click with let’s say 20 minutes delay on let’s say "Sell" to automatically close your buy trade 20 minutes later. To do that, simply put 20 into the MM field next to the second click, and identify the "Sell" location. HH stands for hours. MM stands for minutes. SS stands for seconds. MS stands for milliseconds. The software will delay any click by your specified desired time parameters.

    Due to so many releases not hitting the specified parameters, and due to them being released at such different time frames, being able to set it up, and leave it on auto-pilot may be attractive to some people, though it will be more risky.

    --–––––——————————————————————————————————————–––––--
    O O O
    --–––––——————————————————————————————————————–––––--

    Diamonds Trading Signals Trade Plan

    USA Existing Home Sales - 10:00am NY time (Thursday, August 21)

    --–––––————————————————————–––––--​

    Traded currency pair : USDJPY
    Initial spike duration limit : 30 seconds
    Initial spike price action threshold : 12 pips
    Triggering retracement percentage : 40 %
    Retracement duration limit : 80 seconds
    Maximum trade hold time after release : 15 minutes
    Stop loss : 10 pips
    Take profit : 10 pips
    Maximum spread : 2 pips

    1. Set up single click execution on your broker platform, and if possible, pre-determine default stop/loss and default take/profit to 10 pips, so that when you click to execute your order, your platform will automatically set your stop/loss and take/profit at 10 pips from your entry price. Do not try this with brokers that don’t offer single click execution.

      If your platform does not allow to pre-determine default stop/loss and take/profit, then after entering the trade, simply set the stop/loss and take/profit points manually.

    2. Pull up either tick, 1-second, 3-second, or 5-second chart, and at 09:59:45am, so 15 seconds before the announcement, start paying very close attention to the price action of USDJPY on your chart.

    3. If between 10:00:00am and 10:00:30am, so during the first 30 seconds after the report, you see USDJPY move up or down by 12 pips or more, then enter in the direction of the initial spike at the very first 40% retracement if it occurs in 80 seconds from release time (till 10:01:20am) – and if spread at the time of your entry is at 2 pips or less. Set stop/loss at 10 pips, and set take/profit at 10 pips.

      The retracement will happen within seconds. Don’t draw anything on your chart, and don’t try to get a perfect entry. As soon as you see approximately 40% retracement on your chart, compared to the initial spike, click to enter without any hesitation.

      If the move either up or down was less than 12 pips during the first 30 seconds, then the actual number of the report did not generate sufficient interest in the market, and you simply skip the trade. If your spread at the time of desired entry is more than 2 pips, then skip the trade.

    4. If by 10:15:00am, so 15 minutes after the report release, neither your stop/loss nor your take/profit points were hit, then close the trade automatically at market price of the time.


    Previous Example: on January 22 2013, at 10:00am, USA Existing Home Sales number was released, so in the first 28 seconds, the price of USDJPY spiked down by 13.9 pips from 88.858 to 88.719. Then price started retracing, and within about 62 seconds retraced to 40% level of 88.775. So you would Sell at 88.775, set a stop/loss at 88.875, and set a take/profit at 88.675. 6 minutes after the report the take/profit was hit yielding 8.0 pips of profit, given that your spread at the time of the entry was at exactly 2 pips.


    Be patient, and do at least 20 "second wave" trades, before getting frustrated and quitting.

    Once you become good at it, you will be able to win on average 7 to 8 out of 10 trades.

    Keep win to loss ratio at 1:1. Tweak it only after you are consistently profitable with 1:1.

    Remember, it does not matter whether you make or lose 10 pips or 100 pips on a trade. What matters is how much money you make or lose on a trade. When risking 10 pips, simply put up 10 times more lots than you would when you risk 100 pips, and at the end you will make or lose the same amount of money. Yes, spread to pips targeted ratio matters, but these news "second wave" moves have such high probability of success that they somehow make up for the very high spread to pips targeted ratio (2 to 10), which is a small miracle in itself.


    --–––––——————————————————————————————————————–––––--​
     
    #3 Peter O, Aug 17, 2014
    Lasted edited by : Sep 2, 2019
  4. Peter O

    Peter O Special Consultant to the FPA

    Joined:
    Jan 14, 2013
    Messages:
    3,320
    Likes Received:
    1,434

    --–––––——————————————————————————————————————–––––--

    Forex News Gun Trade Plan

    Canada Core Retail Sales - 8:30am NY time (Friday, August 22)

    --–––––————————————————————–––––--​

    Traded pair Expected figure Deviation trigger
    USDCAD 0.5 (%) ±0.5 (%)
    Buy USDCAD if actual figure is or is below 0.0 (%)
    Sell USDCAD if actual figure is or is above 1.0 (%)
    Expected move during first 30 minutes after the release is 30 pips or more.


    --–––––————— FNG Configuration —————–––––--

    Release name in FNG client: STCA Canada Retail Sales Ex Mo

    Clicks: first row is for Buy USDCAD button, second one is for Sell USDCAD button:




    --–––––————— Detailed Trade Plan —————–––––--​

    1. Start trade terminal
    - Open your trade terminal and open an order sending dialog with Buy and Sell buttons.​
    - Select USDCAD pair.​
    - Set your lot size - use your constant risk level on balance.​

    2. Start Forex News Gun client
    - Open your Forex News Gun client ( and ) and click 'Connect...'.​
    - Drag the FNG window aside in order to make trade terminal's Buy and Sell buttons visible.​

    3. Set a click
    - Click the 'Set Click' button in the row of Canada Core Retail Sales.​
    - Double click on first row's 'Range To' cell. Type '0.0' and hit Enter.​
    - Click first row's 'Click Location' button.​
    - Drag the mouse cursor over the terminal's Buy button but don't click. We just show FNG where it is by pressing 'S' key while mouse cursor is over the Buy button. You will see the screen coordinates appearing in the FNG client.​
    - Double click on second row's 'Range From' cell. Type '1.0' and hit Enter.​
    - Drag the mouse cursor over the terminal's Sell button but don't click. Press 'S' key there to register button location in FNG client.​
    - Click OK on this 'Set Clicks' window​

    4. Keep trading environment intact
    - Make sure that your pc, trade terminal and FNG client is running at the time of the release: Friday, August 22, 8:30am NY time.​
    - Make sure that trade terminal's Buy and Sell buttons are visible at that time in order to catch screen clicks from FNG client.​

    Now you have an automated news trading entry environment that will enter the market in a fraction of a second if this release figure hits the deviation. Nevertheless, don't forget to be at the PC at the time of the release in order to manage your position and to take that pips on the first spike that lasts no longer than several minutes.

    I cannot tell you where to exit in relation to your entry, because entries during news vary greatly, due to different spreads, slippage, and other factors. For this reason, it’s extremely important that you review historical charts for Canada Core Retail Sales, where the same deviation of at least 0.5 occurred. Click here to see such history: Canada Core Retail Sales history of charts.

    If the release figure doesn't hit the deviation then FNG client won't click so you can either close it or set the next release. In this case don't forget to change currency pair if needed according to the new release details. Don't be surprised if most of the releases don't trigger. This is a conservative strategy and according to my statistics only every 4th or 5th release opens a position by hitting the deviation.

    You can try to make money "while you sleep" with this. To do that, set it up on stable computer or server with stable internet connection, and pre-set your stop/loss and take/profit targets with your broker. As long as the platform and FNG remain open, your trade will be executed and exited automatically.

    To get even more creative with FNG, when setting up clicks, you can set up first click instantly on let’s say "Buy". Then you can set up second click with let’s say 20 minutes delay on let’s say "Sell" to automatically close your buy trade 20 minutes later. To do that, simply put 20 into the MM field next to the second click, and identify the "Sell" location. HH stands for hours. MM stands for minutes. SS stands for seconds. MS stands for milliseconds. The software will delay any click by your specified desired time parameters.

    Due to so many releases not hitting the specified parameters, and due to them being released at such different time frames, being able to set it up, and leave it on auto-pilot may be attractive to some people, though it will be more risky.

    --–––––——————————————————————————————————————–––––--
    O O O
    --–––––——————————————————————————————————————–––––--

    Diamonds Trading Signals Trade Plan

    Canada Core Retail Sales - 8:30am NY time (Friday, August 22)

    --–––––————————————————————–––––--​

    Traded currency pair : USDCAD
    Initial spike duration limit : 30 seconds
    Initial spike price action threshold : 12 pips
    Triggering retracement percentage : 40 %
    Retracement duration limit : 60 seconds
    Maximum trade hold time after release : 15 minutes
    Stop loss : 10 pips
    Take profit : 10 pips
    Maximum spread : 2 pips

    1. Set up single click execution on your broker platform, and if possible, pre-determine default stop/loss and default take/profit to 10 pips, so that when you click to execute your order, your platform will automatically set your stop/loss and take/profit at 10 pips from your entry price. Do not try this with brokers that don’t offer single click execution.

      If your platform does not allow to pre-determine default stop/loss and take/profit, then after entering the trade, simply set the stop/loss and take/profit points manually.

    2. Pull up either tick, 1-second, 3-second, or 5-second chart, and at 08:29:45am, so 15 seconds before the announcement, start paying very close attention to the price action of USDCAD on your chart.

    3. If between 08:30:00am and 08:30:30am, so during the first 30 seconds after the report, you see USDCAD move up or down by 12 pips or more, then enter in the direction of the initial spike at the very first 40% retracement if it occurs in 60 seconds from release time (till 08:31:00am) – and if spread at the time of your entry is at 2 pips or less. Set stop/loss at 10 pips, and set take/profit at 10 pips.

      The retracement will happen within seconds. Don’t draw anything on your chart, and don’t try to get a perfect entry. As soon as you see approximately 40% retracement on your chart, compared to the initial spike, click to enter without any hesitation.

      If the move either up or down was less than 12 pips during the first 30 seconds, then the actual number of the report did not generate sufficient interest in the market, and you simply skip the trade. If your spread at the time of desired entry is more than 2 pips, then skip the trade.

    4. If by 08:45:00am, so 15 minutes after the report release, neither your stop/loss nor your take/profit points were hit, then close the trade automatically at market price of the time.


    Previous Example: on March 22 2012, at 8:30am, Canada Core Retail Sales number was released, so in the first 30 seconds, the price of USDCAD spiked up by 14.7 pips from 0.99736 to 0.99883. Then price started retracing, and within about 40 seconds retraced to 40% level of 0.99824. So you would Buy at 0.99824, set a stop/loss at 0.99724, and set a take/profit at 0.99924. 4 minutes after the report the take/profit was hit yielding 8.0 pips of profit, given that your spread at the time of the entry was at exactly 2 pips.


    Be patient, and do at least 20 "second wave" trades, before getting frustrated and quitting.

    Once you become good at it, you will be able to win on average 7 to 8 out of 10 trades.

    Keep win to loss ratio at 1:1. Tweak it only after you are consistently profitable with 1:1.

    Remember, it does not matter whether you make or lose 10 pips or 100 pips on a trade. What matters is how much money you make or lose on a trade. When risking 10 pips, simply put up 10 times more lots than you would when you risk 100 pips, and at the end you will make or lose the same amount of money. Yes, spread to pips targeted ratio matters, but these news "second wave" moves have such high probability of success that they somehow make up for the very high spread to pips targeted ratio (2 to 10), which is a small miracle in itself.


    --–––––——————————————————————————————————————–––––--​
     
    #4 Peter O, Aug 17, 2014
    Lasted edited by : Sep 2, 2019
  5. OPHH

    OPHH Private, 1st Class

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    Hi dear Peter,

    Many, thank you very much for your valuable material. Although had I to take off I'm back again to resume its indications and advice in trade.
     
  6. wakeel86

    wakeel86 Corporal

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    FNG server down for UK CPI
     
  7. Peter O

    Peter O Special Consultant to the FPA

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    I see, it doesn't connect now. Quick fixing ideas didn't work so I sent a message to the admin. Hoping...
     
  8. Peter O

    Peter O Special Consultant to the FPA

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    Sorry guys, it didn't come back... at least it wasn't triggering. I hope we'll get it back for US Core CPI in 4 hours...
     
  9. Joh

    Joh Sergeant Major

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    Thank you Peter,

    According to FPA calender there was a problem with the results as they stated 'refresh' next to the outcome of the UK CPI!
     
  10. Peter O

    Peter O Special Consultant to the FPA

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    Bad news... Actually I was watching all those UK figures and they arrived instantly. Possibly location matters but hard to say how to fix...
     

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