Trader Dale Volume Profile

Macroeconomic news
will often have your stop loss slipped by multiple pips or when your spread widens from the usual
0.5 to 5 pips. Such conditions literary kill any profitable day trading
strategy. So also, for this reason, I decided to stay away from
trading the news.
BONUS TIP: If I am trading using limit orders (this is around 50% of
all the cases) then I simply lower my position size to the minimal
size. This way I don't need to withdraw my limit orders. Worst case
scenario - my trading level gets hit, and I lose few cents or a dollar.
I switch back to my standard volume size after the macro event has
passed. I do this simply to save time because setting new limit
orders all the time becomes a bit tedious after some time. I do this
with my broker which uses cTrader platform. I am not sure if this is
also possible to do with the standard MetaTrader 4.
Wide spreads, lack
of market liquidity,
and slippage which
occurs during macro
news diminish your
chances of winning
Tip #7: Ways to quit your trade before a significant news release
I prefer to quit my trades around 2-5 minutes before the release (in case of the most significant
news for example like Rate decision even sooner). I usually watch the 1-minute chart to see what
is going on with the smaller perspective. For example, if I see that there is a channel on 1-minute
chart, I try to end the trade at the extreme of the channel. In this case, it is not likely that the
market will shoot out of the channel before the release. By closing in this manner, I can make the
best of the situation I’m given. Sure you can wait and pray, but remember, time is running out, so
it’s best to take the first logical exit.
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