Sometimes it can be a real pain waiting for the market to pull back to the price that you want to enter at, your either waiting for a buy/sell signal or you want a price nearer to you stop. Some times this can take all day and this is where bad habits can form and you can start looking for trade which just are not there.
This happens a lot and a good way to counter it is to plan your trading day. Be at your computer at the time when your most likely to get the volatility you will need to trade.
We all know that a good time to be at your computer is the US Open, that goes without saying, I have made my days money within the first hour of the US open many times and I will many more but there is a way to trade like this on multiple times through the day and this is Forex Factory.
Forex Factory has been around for many years and I have found it more and more useful in my trading as I have implemented it into my daily routines. For example in my swing trading I may need to wait for a pull back on EURJPY for 200 pips before I can enter, I dont want to wait around all day for it so I check Forex Factory to see if there is any [dt_highlight color=”red”]High Impact[/dt_highlight] news which relates to either the EUR or the JPY, if there is I note down the time this is happening and I return to my screen around 30 minutes before this news, this helps because people like to pre-empt the news and this can cause volatility leading up to the actual announcement.
In my day trading I can use Forex factory to see which currencies have [dt_highlight color=”red”]High Impact[/dt_highlight] news today and at what times. Then I can be at my screen at them times focusing on those currencies. Chances are they will have the volatility I need to catch a move.
Even more so if im doing some scalp trading I will be scalping around the [dt_highlight color=”red”]High Impact[/dt_highlight] news times and on the currencies that are effected.
Im not worried about the actual news itself im just using it to piggy back on some volatility which is what you need in Forex to make money.
I have created a short video below to show you the Forex Factory website and how I try to use it.
[youtube width=893 height=502]https://www.youtube.com/watch?v=ovuswV5x0u4[/youtube]