Thread: Market timing
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Old 01-20-2007, 06:37 AM
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gazuz gazuz is offline
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Thats very true, but during news is also a hard tast because we usually reach our take profit/stop loss during the news change and so the spread will be crazy OR the broker wont fill the order.

By that I mean lets put a 30pip TP and 30pip SL. If the price goes up it may go up 30 pips or 50 pips or 100 pips, we dont know when the broker will fill the order of the TP, it may only fill it after a pullback in the price resulting in a smaller or higher gain or even net a loss. Same thing happens to SL it may lose more than we expect it etc. It seems like its out of our control, if we mess up on the prediction it may be hard to regain from the loss.

In other words, the news in the market makes it almost impossible to control our exit strategy and target profit. We usually cant predict the magnitude of the movement precisely enough... Unless I'm thinking about this the wrong way I don't think its a smart idea to trade the news
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