Three Ways to Trade Fundamental News:
1. Trade the Spike
- We wait for the news release to come out. Based on the release number we enter the market immediately either with a Long or a Short position.
- We try to catch the initial spike move, or part of the move.
- We will put our Stop/Loss 15 pips from the pre-release price and our Take/Profit at the maximum expected range based on the report and its historical data.
- This type of trading requires that you react fast enough to the release and use a broker that gives you good fill during news releases.