Upcoming Signals Overview (Feb 15 - Feb 19)

[koco]

Yes, that's right of course, my bad. I have my account nominated in another currency, not USD and it seems, that I have these 20% burned into my mind already So I just wrote it here without thinking...

And that's also right - not only signals reported here as FAILED can lead to loses. But still, it's the most reliable method of trading I found so far.

Habrys: you look like a pretty skilled trader, I'm a news trader as well. I used to trade with SNW, but now I developed another methods. If you don't mind I would like to exchange contacts, so we can share some knowledge.

Can you drop me an email to: other (at) koco (dot) sk or leave me a message on icq (32721715)? It would be nice talking to you about news trading, etc...

 

[mjerry2k60]

Auto news trading

I don't understand. What happens if i try to open a 30-50 lots?

Well... if your broker is ECN, and you want let's say buy these 50 lots as fast as possible (before spike), a partner (or partners) for this transaction has to be found - someone who's willing to sell 50 lots at the price before the spike. This is how an ECN broker works. It pairs opposite transactions and gets small provision for that. At normal times it's usually no problem, but at news time almost everybody wants to (let's say) buy and almost nobody sells. You won't get filled or will get filled partially and/or at a bad price (far above the before spike price). You have much better chance to get filled fast and at a good price with smaller size of your order (3-5 lots for example).

With a normal broker (so called "bucketshop") it's even worse. They usually don't pair transactions immediately, but in larger units every few seconds or even minutes. So for these your buy at the before-spike-price is usually a pure loss. Because they have to buy (execute your order in reality some time after it got executed in the platform) at the after spike price. Now if the broker is large enough and you don't play with large money (like 50 lots), you have a good chance to stay out of attention. Otherwise they probably will begin to make news trading very difficult or even impossible for you. Manual execution, artificial slippage, sudden widening of spreads, delays in execution (a few seconds can be enough to turn your otherwise profitable trade into loss at news times). And you can do nothing against it, because all these situations can just happen at very volatile market (like when price moves 50 pips in 3 seconds). It's often even clearly stated in the contract.

The only thing you can do then is to try to find another reliable broker before you lose too much. And it's not easy.

[/QUOTE]

Thanks a lot for the info. This is my second week trying news trading. It has been a good experience. It's, just kind of difficult to trade at night hours (GMT-6).

And, i was wondering, the signals are pretty good. why we haven't build an EA that trades this signals, the ones here and even the ones from Sir Pipsalot.

I know it sounds quite complicated, but, great proyects always start with big ideas, and doing just what's necesary. I think it's no that difficult to have a service like that, and, i offer my self to code part of it.

So, if there's some interest in this proyect, just PM me.

 

[habrys]

And, i was wondering, the signals are pretty good. why we haven't build an EA that trades this signals, the ones here and even the ones from Sir Pipsalot.

I could never sleep peacefully if I knew, that some EA trades my money during news right now. Ever. It would be just way too scary for me... So problem solved, I'd be awaken anyway, no point of programming an EA

Seriously, too many things can go wrong or unexpected during news trading. In my opinion this kind of trading has to be controlled manually (even if some parts of it are executed automatically, like pre-spike entering). There is a reason for this big red "Panic stop" button in SNW, right?

When the report release time is near I usually keep my left eye on the chart and the right eye on the "deviation" field in SNW. And I don't move at all :-D

 

[mjerry2k60]

I could never sleep peacefully if I knew, that some EA trades my money during news right now. Ever. It would be just way too scary for me... So problem solved, I'd be awaken anyway, no point of programming an EA

Seriously, too many things can go wrong or unexpected during news trading. In my opinion this kind of trading has to be controlled manually (even if some parts of it are executed automatically, like pre-spike entering). There is a reason for this big red "Panic stop" button in SNW, right?

When the report release time is near I usually keep my left eye on the chart and the right eye on the "deviation" field in SNW. And I don't move at all :-D

That also can be programed into an EA. At least "EVERYTHING" you could do to manage your news trades, could be done on auto pilot, and it could be done more precisly and flawless. You have the knowledge, someone else has the skill to program it. If you get that together a nice EA could be built.

And, for example, if you can't sleep with an EA trading your account at news, we could do it, for example, to trade only the reports you choose, so you could follow it while you are awake.

I mean, i dont' want to program a $97 trashy EA that could wipe out your account. Instead, a complete system that could help us all FPA members to news trade.

If there's any one interested, just tell me.

 

[Lucas Gremista]

Well... if your broker is ECN, and you want let's say buy these 50 lots as fast as possible (before spike), a partner (or partners) for this transaction has to be found - someone who's willing to sell 50 lots at the price before the spike. This is how an ECN broker works. It pairs opposite transactions and gets small provision for that. At normal times it's usually no problem, but at news time almost everybody wants to (let's say) buy and almost nobody sells. You won't get filled or will get filled partially and/or at a bad price (far above the before spike price). You have much better chance to get filled fast and at a good price with smaller size of your order (3-5 lots for example).

With a normal broker (so called "bucketshop") it's even worse. They usually don't pair transactions immediately, but in larger units every few seconds or even minutes. So for these your buy at the before-spike-price is usually a pure loss. Because they have to buy (execute your order in reality some time after it got executed in the platform) at the after spike price. Now if the broker is large enough and you don't play with large money (like 50 lots), you have a good chance to stay out of attention. Otherwise they probably will begin to make news trading very difficult or even impossible for you. Manual execution, artificial slippage, sudden widening of spreads, delays in execution (a few seconds can be enough to turn your otherwise profitable trade into loss at news times). And you can do nothing against it, because all these situations can just happen at very volatile market (like when price moves 50 pips in 3 seconds). It's often even clearly stated in the contract.

The only thing you can do then is to try to find another reliable broker before you lose too much. And it's not easy.

it's even embarrassing but as a newbie in forex i must ask questions, I understood all the discussion here, but one thing still doesn't looks clear to me, what exactly is 3 lots, 5 lots... etc? Does it mean to open a trade with size 3 or 0.3 for three lots? or there's nothing to do with it?

The only trading platform I know is MT4, so all my questions come based on my experience with it.

 

[Boko Maru]

it's even embarrassing but as a newbie in forex i must ask questions, I understood all the discussion here, but one thing still doesn't looks clear to me, what exactly is 3 lots, 5 lots... etc? Does it mean to open a trade with size 3 or 0.3 for three lots? or there's nothing to do with it?

The only trading platform I know is MT4, so all my questions come based on my experience with it.

Lot sizes like 3, 3.5 are just another way of stating the quantity of the lot. When most people refer to a "lot", they are talking about what's called a "standard lot." One standard lot (1.0) is equal to 100,000. A minilot (0.10) is 10,000. Some brokers have microlots (0.01), or 1,000.

So, in your examples above, 3.0 is 300,000, and 0.3 is 30,000.

Other examples: if buying 3.0 lots of USD/JPY, you are buying $300,000 (US dollars). If buying 1.5 lots of GBP/USD, you are buying 150,000 British pounds (not US dollars in this case).

Hope that helps...