Any trader who plans to make money from forex news must consider the effect of prior expectations on the market. We’ll take an example. You predict the news will be good, so the greenback should rise. However, if everybody else expects the same, the dollar may already have risen in the hours and days before the statement. Then maybe, when the GDP is really announced, it seems not to have risen quite as much as folk expected.

The alternative to trading with the aim of making money from stories announcements is, of course, to stay out of the market any time that a major statement is due. Most traders who depend on technical analysis for their forex trading systems prefer this approach and it’s strongly recommended that beginners do this. You want substantial experience as a foreign exchange trading to make money from the price fluctuations around forex trading news.