hunter101 replies to: Weekly Pivot trading with TDI

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{quote} What If UCAD go up, you would lose a lot of money, especially with so high impact news like core retail sales. Its a very risky batch of trade/

That’s why we manage risk, based on the current data available to the public “before” the news, statistics are already bullish with regards to CAD.
Another one is that price action is currently at support area before the news and it is rejecting to go higher.
Where would the Long position put their stops? Below the recent lows, with Red news events, spread increases.

Here are two scenarios on my mind earlier.
1. CAD news is positive, Long positions SL will be triggered, I’ll be happy and wait for my TP to get triggered.
2. CAD news is negative, spread will increase and “may” trigger long SL stops as it is “very” near the lows of the wicks of the recent volatile movement. Then price may push up. Before it breakout, I can close all trades and lose 30~50 pips per position. Which in my plan is a good R:R – 1:2 – 30~50 pips risk to get 80~100 pips.

Then again, we are all genius on hindsight. But, I already posted my sentiments earlier before the news. Let’s just say that we got lucky.

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Noob trader, don’t trust me.

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