The one-minute forex strategy involves a myriad of steps that need to be executed within a given timeframe. It’s important to make the right move and find opportunities where the current rate has stagnated. A buy-or-sell move opens up as more investors and traders find out about major news events and launched reports. Using the right balance of key indicators such as Stochastic 5, 3, 3, 50 EMAs, and 100 EMAs, traders can combine macro events with micro currency movements.
Process of one-minute forex news trading
While there are many forex news trading strategies in the marketplace, the one-minute trading strategy works well in the shorter-term. Traders can quickly take advantage of opportunities opening up and make the right trade at the perfect time. There are a few points to remember when investing via the one-minute strategy that will come into play as you progress along the way.
Selecting the right currency news event
This is one of the most important steps in the overall Forex trading strategy. Finding the right news event and understanding its impact is key. A job’s report, inflation numbers, indications of tariffs, trade restrictions and new policies can impact a myriad of currencies long-term. It’s about finding the right news event and looking at expert opinions on the matter.
Choosing the right currency pair
Now that a news event has been selected, it’s critical to understand its impact on various economies. A tax increase in China can have a direct impact on the consumption of a good in Australia. Tracking the Exponential Moving Average (EMA) will help you uncover key insights, along with estimating the right stop-loss levels.
Making the right trade
Once you have the right information, in terms of technical, economic, and business related matters, you can make the right trade via the one-minute strategy. With evidence gathered, and the right timing, you can make a calculated trade based on the appropriate currency pair. As there is leverage gained via informed decision making, there are significant gains to be found by beating the market within a short term.
Timing the right move
The best way to approach the one-minute forex news trading strategy is to time the right move. If there are significant announcements being made on a certain date, then holding until the best opportunity opens up is the right way.
Alternatively, traders can also focus on having the right stop-loss introduced to avoid any strong dips in the formulae. Smaller movements are also easier to track, making it imperative that traders quickly move in and out of the market.
Another key point to note is that not all news is newsworthy. You need to find the right indicators to look at, along with key insights into what news events matter most to a country. Trends can be uncovered by looking at relevant news, allowing you to find the right time to make a trade.
Reducing source bias
Whether it be primary sources or secondary ones, it’s important to reduce reading source bias when news trading. This is because there may be a chance that your news source is leaning towards a certain perspective instead of delivering core facts. It’s also important to verify the authenticity of the source material, as well as analyze expert opinions critically.
There will be major economic developments emerging in a short period of time. It’s beneficial to have a reliable portfolio of news sources to review early on. Certain publishing outlets hold dominion over certain forex scenarios. Other news sources are stronger when it comes to jobs numbers and employment stats, among other news.