True Forex Trader

What bugs me today is that question above…

Today at 4:30 am EST we had Retail Sales data release for UK. I’m not a big guru in fundamental analysis trading, but I knew it was going to shake Forex market today. The Forecast was pointing at Pound becoming stronger (Forecast 0.3% versus Previous = -0.4%), but everyone was waiting for Actual data. So did I.

The very first second after 4:30 am we had a huge rally, which was not a surprise because Actual data came 0.8%, way higher and better than expected.

If you look at the screenshot I took of 15 second chart, you’ll notice that all action happened during first 15 seconds! And my cursor is standing at the next tick 15 second later. Now question: Is it real to get data the same second it’s been released? If yes then where???

I found this National Statistics website, may be here? I’ll check it next time we have news. http://www.statistics.gov.uk/instantfigures.asp

If to use FF Economic Calendar, you’ll get actual data some 20-30 seconds or more later. If to use FXSolutions streaming news on their trading platform, you get news 15 seconds later:

And as I witnessed today, 15 second later it was too late (and quite scary as it could retrace) to enter the first wave up.

Now I’m left with next questions and thoughts:

- Is there a way to know data in time, if so then where to look for it?

- If there is no way to know it, then how to trade such news in Forex?

- I know that breakout strategies can play bad jokes with news trades because during sudden market spikes orders may get filled not at the desired price but worse. It all depends on a broker you trade with. However, no broker will guarantee you precise fills during news time.

- Now I think may be it is wise to evaluate Previous versus Forecast numbers before news, and then based on those expectations take early position in anticipated direction… May be this way I won’t miss those large beautiful moves like today…

Filed under: First steps in Forex