Part iv: Fundamental Analysis – 4 Steps to trade news releases

Trading news forms the basis of primal analysis. This video was prepared past Binary Blue Sky coaches, for an OptionTrade webinar. However, OptionTrade has disappeared from the market – they decided to stop! Just in example, I am going to paraphrase the whole video in case you don't want to, or can't, scout the video.

Step ane: Prepare your calendar

All news releases are scheduled at least one month in accelerate. You can learn about them from the economic agenda of, for example, forexfactory or on the page Binary Options Strategy – Economic Calendar.

Therefore, information technology's always skilful to decide and choose, in advance, what events (or news releases) you want to trade and in what style. In that location'south nothing worse than doing everything at the final moment and and then panic. I recommend preparing everything, at to the lowest degree the morning before.

Information technology is important to trade news releases that really motility the market. Therefore, I'd but chose the ones highlighted in ruby (or with iv stars). These are the and so-called loftier affect news.

Footstep 2: How to merchandise new releases

Kickoff, wait for the news. E.g. forexfactory e'er shows an information, whether the positive result will have a negative or positive effect on the currency price. Encounter the Effigy a below.

fundamental-analysis
Nosotros see that at 2:30, the news on unemployment in the US will exist released. If the number (Actual) is lower than predicted (Forecast), it means that the country'south economy is doing well, and it could feasibly strengthen the US dollar. This means that the nautical chart of the currency pair EUR / USD will get downwards, because the dollar against the euro will grow.

To the correct, we also see that in the past the Bodily number has almost e'er really been lower than the forecast.

Then nosotros look for the confirming ane or 2 candles – which is around 5 to fifteen minutes. If the candles move by the predicted direction, we enter the merchandise. Expiration time 30-hour – information technology volition help us cope with a big volatility that is typical for news releases. It is important that the chart is in an uptrend or downtrend depending on its predicted direction.

Pace iii: Can you brand money trading fundamentals?

According to experts, BSB (Bluish Sky Binary) Yes! The strategy, described in a higher place is used by them and information technology has brought them great results. I don't really trade fundamentals much, so I do not accept much to say. Have a look at the success chart with trading fundamentals.

Achievements of BSB traders

Achievements of BSB traders

Step 4: Sympathize the risks

The final role of the webinar talks most the risks of trading binary options. The risks mentioned mainly are:

  • Do not trust any robots. In 99% robots volition non make y'all whatever money. More about this can be read here: Binary Options Scams
  • It is believed that simply 5-10% of binary options traders make money on binary options. Therefore, before carelessly inbound into a trade, y'all need a lot of concentration and learning. Exist it reading our articles or by practicing in the demo business relationship.
  • The fact that it volition milk shake your entire business relationship is not a bad thing. Yes – you might lose money – but that's trading. Co-ordinate to the statistics released by the Japanese broker, approximately 25% of accounts that are in a loss one month, swing into profit in the post-obit month.

Video: How to trade news releases

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More about the author Step

I've wanted to build a business of some kind and earn coin since I was in middle school. I wasn't very successful though until my senior year in highschool, when I finally started to think almost doing online business organisation. Nowadays I profitably trade binary options full-fourth dimension and thus gladly share my experiences with you lot. More posts by this author