Trading the news with precision

I’ve recently been watching the news releases and taking some small profits on the reaction… however, I’ve noticed that by the time the news has come out the pair has already moved. How are other traders entering their positions before knowing the news?

A good example was that of the AUDUSD today when the AUD trade balance and retail sales came out negative.

In my opinion you can’t trade the news with precision, the best is an educated 50/50 guess which is why I avoid them completely. That is just my opinion and just because it works great for me does not mean that other have to agree while others are just good at guessing. You will never know what an economic report will look like until after it will be released.

You cannot trade news with precision. About 2 and half years ago news trading with pending orders was a great fun. I’ve double and often tripled my small trading account (which is used for news trading only) several times. But from start of 2014 high news are causing slippage of most brokers which takes your losses beyond your SL making risk reward look very bad.