Trading News Using Smart Volume Spread Analysis

Trading News Using Smart Volume Spread Analysistrading news using smart volume spread analysis

This article will discuss Trading News Using Smart Volume Spread Analysis and some common questions I get about trading news such as NFP (Non-Farm Payroll) using Smart Volume Spread Analysis.  I’ve written about this topic before and here.  Please refer to those older articles as well.  Also check the (client) document site for some guidance specifically for news trading and signals around big events like NFP.

  1. How Do We Trade News Using Smart Volume Spread Analysis?You can trade using Smart VSA by “drilling” down as the time of the release nears.  Check each time frame from your preferred chart time frame as the release is nearing to each chart time frame down to the m30…  In the final minutes before release drill down further to the five-minute.  If each time frame differs wildly as far as direction, avoid trading.  If most time frame smart signals point to one direction or another (Strength or Weakness)  you can safely open a trade in that direction.  Important: Check our proprietary Visual Background Scanner as well as the release nears.  Once you’ve entered, simply wait for the release and close the position after the “pop”.  Smart Volume Spread Analysis is very accurate and during big news releases this is extremely important.  Please search our articles within the news section for some more articles related to this topic.
  2. Is There A Time Frame Before and After The News Release That We Should Not Trade?After news you will see many climax type bars on most time frames.  I avoid trading after news until those “clear” out. Please refer to the trading guideline documents in the client area for some more clarification on this.
  3. What Are The Most Important News Releases That We Should Take Note Of And We Should Not Be In The Market? I generally avoid trading on news such as NFP but not because it doesn’t work.  The technique discussed above is actually quite good.  I do well enough with the methods I use daily and make more than enough trading baskets to more than make up for the quick news trading opportunities.  I can sleep later too.  That said if you like trading news for the excitement there is no better way to do it correctly than Trading News with Smart Volume Spread Analysis.
Trading News Using Smart Volume Spread Analysis

Example (Click to Zoom): Trading News Using Smart Volume Spread Analysis

 

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