Why News Trading is Risky? and Why i Hate news?

Hai Traders,

I just want to share my opinion regarding the News Trading.
Please feel free if to ask and debate my opinion.

Up until now, I still hate it when i heard some news regarding the economical condition. Such as : (Yellen Speak, Warren B. Opinion, CNN, Donald T. etc - etc). It drives Money Market Moves Very Very Fast (Faster than Vin Diesel). since most of my trades is intraday trading. the price movement Will affecting either my stop loss or my entry order. This is Why I consider news Trading is risky and I hate it.

There are a lot of think i consider before i make decision for myself that News Trading are more riskier than Normal Trade. Below is the logic behind my opinion:

  1. News is our window to see the world - Yes this statement quite True, But never forget some of the higher rank Business institution is full of surprise. Why they full of surprise? Because they always step first before the news coming out for everybody to consume.
  2. Some of my family is really anxious with what donald trump said. Come on guys, He is a smart business man. he will not do something that will not bring fortune to him. that’s the truth. whether what he said true or not. it definitely will bring him fortune and not always for us the retail trader. so don’t really take seriously to your heart content. just analyse first before you take action.
    I never ever think that famous Person will ever share some benefit for nobody like me. That’s to Good To be True.
  3. The currency news, I’m Running my family business as their fund manager. and i really hate when the news in newspaper stated about the long explanation for currencies. When they said The dollar Rise or the dollar down. My family will contact me and told me to switch investment to Dollar or whatsoever.
    And sometimes what the news do is: today dollar rise 1000pips for the next 1 month and tomorrow they can stated dollar will go down 1000 pips and the day after tomorrow they said sorry guys dollar will remain the same.
    This one is making me even hate news, it’s disturbing my family to disturb me >.<.
  • Yes newspaper and TV news is able to analyse what already happen, but that does not make the reporter able to do trading ,sometimes they just want to bring panic to us for their own benefit (A new Way To Terrorize People):16:

To summarize - I do trades when News coming out, But I never watch what is inside the news - B’cos it will not bring me to the right direction even i know what is the news.

Thanks for reading - Look Forward to your opinion

Not sometimes, but always. its their job.

What sells in Media:

seks (i know i spelled it wrong, dont worry)
Panic
Crime

As a general rule I don’t trade news. The market becomes too volatile, stop losses don’t always work as efficiently as they should, spreads increase, sometimes I might even lose connection to my account, so I prefer to stay away from all this.

Thanks for The comment

TURBONero & mlawson71

Glad to have friends that share something in common in trading. “that is hating news”:D:D

:smiley: I think a lot of traders prefer to stay out of the drama when the market goes wild after a high impact events.

nah i dont hate news. i just know that trading news is gambling

there are only a few news releases that are a secure thing but always only after the release and with a hiiiighhhhh stop loss as its very volatile. but most news is just pure guessing how the market will react to them.

lets say ten years ago in 90% casesbad news triggered movements downwards.

today you have the bobbie milk suckers and the relaists

the boobie milk suckers are the guys who adore the FED and the ECB

  • hence every bad news release is for them just a sign that fed will do QE or lower interestrates etc so they take it positive and push the market up

the realists trade realisticaly
bad news release is a trigger for them to go short etc

in the meantime those 2 fractions constantlysurveil of “how bad” the news are, are they bad enough?or are they good enough etc etc.

its a pure guessing, if you want to trade that way you can aswellgo to casino and check the last 10numbers on roulette to try to guess the next number upcomming.

newstrading has a lot to do with agreeing between big players before the news releases, they agree onto scenarios of the news and then act upon it on arrival of the news.
having 4 different scenarios big players agree:

very bad - sell
bad - do nothing
good - do nothing
very good - buy

they “agree” between themselves how to act on which scenario (by agreeing i dont mean that they set up a strategical co-op plan, but by gossiping human nature one says ill go long if this and that happens the other saying “yes good idea”) and then on the news day everything is decided already. retail traders are left guessing where the big guys are sending their money to while for the big guys its secure business for the retailers its a pure guessing.

simply gambling out of a retailers traders position.

Yes often I see on news high impact making currency move rapidly, and sometime after move down rapidly but suddenly then move to up and also quickly, for some trader that trade based on technical analysis they prefer stay away from the market than only makeconfused.

Einstein has a quote ‘Two things are infinite: the universe and human stupidity; and I’ m not sure about the universe.’

  • And human stupidity is proven endless times in trading forum.

Trader need volatility, volatility again gives opportunities …

Try to trade a few hours before sydney open, what opportunities you get !!!.

News release is in many ways a catalyst to create movement in the market.

  • The market votes over the news that comes out and starts a movement and direction which direction the price will move.

One does not have to stand up when it slams, you awaiting let the market do the first antics after a relase until one gets an idea which way the market intend to move.

Often one can observe quiet day trends a few hours after news release that are easy to hang on.

I do agree with you that is vice not the trade the news releases, but I think that reading the news means being informed about what is going on and it can give a better understanding of the market movements.

Thanks for all of your comment guys,

Will keep em as my future reference to improve my trading.
But still i barely watch news:p