Friday, June 7, 2013

Trading Non farm payrolls and Canada jobs

Fundamental events of such magnitude of such scope as Non Farm payrolls and Canada job data presents day traders and Forex news traders with a lot of opportunities. They also carry a significant amount of risk. When prices start flying in case of something unexpected you might be caught off guard and lose a lot. That's why you should always use stop loss orders while trading new events.

Now, the strategy is of course pretty easy. Just before the news is released you need to find the most immediate support and resistance levels (let's say 30 pips from current price levels) and place buy stop and sell stop orders above and below the levels. Leave room for the price so that your orders would not be opened too early. If after the news one of your orders is opened you simply remove the other one.

Practice on demo account the strategy to see how it works for yourself. Ok, let's wait for the data.