my question is if you trade on news there two kind that’s is directional bias and non-directional bias in case of directional bias how can i place the order before the news
Placing a trade before information is available is pretty close to pure gambling, like a lottery. However, if you really are very eager to try it and want to cover both possible outcomes (sometimes good news is followed by a price drop, vice versa for bad news) you could set a buy order above the prior price and a sell order below.
The problems with this approach are that unless your orders are well separated from the prior price and each other, you could see both positions opened, in which case one will cancel the profit from the other. The wide separation from prior price to avoid this effect of volatility also erodes your profit potential, but if the separation is too wide, maybe neither order gets triggered.
The worst possible outcome is that both orders get triggered and both get stopped out because the news generated so much volatility rather than an immediate and constant movement in a single direction.
Until it happens, if you don’t have a way to be more then 50% sure of the outcome of news, don’t trade it.
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okay thanks