I don’t know about you, but I’ve been in a trade that was going well – almost hitting my profit target, then suddenly out of nowhere, price rapidly takes off in the opposite direction. My stop loss is hit and I’m left scratching my head wondering what happened. I try to catch a few more trades later to make up for the loss. In the afternoon, I checked the news to find a Jobless Claims report came out that morning, and for 20 minutes or so, the market went haywire. Could this loss have been prevented? John Paul from DayTradeToWin.com says yes. He explains his approach in this live webinar video recorded in front of a room full of traders.
His approach can be described very simply: check news events before the trading day begins. All of the planned market-moving news is outlined on financial calendar websites. Bloomberg’s updated Econmic Calendar uses blue star symbols to emphasize “marketing moving indicator” events. Similarly, Forex Factory and DayTradeToWin’s website and news indicator offer news listings. With the news indicator, you can see directly on your chart when a high, medium, or low-priority event will occur in advance. John Paul says to stay out of the market until things calm. He also explains how you can find a trade based on news – that’s right, an entry opportunity. Watch the video to learn more.
There’s a lot of other great material in the video. If you want to see how the Atlas Lined and Trade Scalper faired in the markets, skip ahead to the 45:50 mark. Otherwise, watch straight through to learn about the benefits of trading candlestick charts, how trends can be misleading, a refresher on how the ABC strategy works, how to trade under slow conditions, and more.