Should beginners trade the news?

High-impact releases move prices fast, widen spreads and can fill stops far from their level. Some experienced traders trade them; plenty more stay flat.

Should beginners trade the news? — support and resistance diagram
Price bouncing between support and resistance

What would you tell a beginner about trading around releases like CPI or non-farm payrolls?

Should beginners trade the news? — bid-ask spread diagram
The bid-ask spread on a currency pair
  • trade it, watch it or ignore it at first?
  • what surprised you the first time you had a position open during a release?
  • how long do you wait after a release before trading normally again?

Background: Non-farm payrolls explained: why the US jobs report moves the dollar

The monthly Employment Situation report is one of the most traded events in currency markets. What it measures, when it comes out and why the first move often fades.

When is the non-farm payrolls report released?

Usually on the first Friday of the month at 8:30 a.m. New York time. The exact dates are on the Bureau of Labor Statistics release schedule.

What is a good NFP number?

There is no fixed level. Markets react to how the figure compares with economists' forecasts, and to revisions, wages and the unemployment rate in the same report.

Read the full guide

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