Technically Trading Fundamental Info

[cyborgSHK]

This is not acutally meant to be a question of "how", but rather of "if". For things like economic data, do you leave things in the book? Do you watch out for Fed speakers? Earnings? Or do you just always trade, and ignore any and all fundamental info, and just do what you would normally do? Obviously time frame matters, and I'm thinking more intra-night, but longer term traders feel free to weigh in, too.

CyborgSHK

 

[Mo06]

Well, when short term trading, eg. intraday futures, events such as the Friday Non farm payrolls can have a big impact on the markets (and on ones position, if there is one).

So, for short term trading, yes.

Longer term, not such an issue, although markets can make important lows/highs on news, eg war breaking out.

I remember watching that statue of Saddam being toppled, FTSE futures made an intraday high as it fell.


Also, remember Greenspan's 'Irrational exuberance' comments ?

 

[dac8555]

Quote from cyborgSHK:

This is not acutally meant to be a question of "how", but rather of "if". For things like economic data, do you leave things in the book? Do you watch out for Fed speakers? Earnings? Or do you just always trade, and ignore any and all fundamental info, and just do what you would normally do? Obviously time frame matters, and I'm thinking more intra-night, but longer term traders feel free to weigh in, too.

CyborgSHK

recently many of the fundamentals aand economic data are being ignored unless they are good.

look at the homebuilder numbers today and the lack of a reaction.

i would stick t just technicals and not try to interpret the data...i have lost money recently trading "my take" on the numbers...doesnt work.

 

[bighog]

Always a good idea to know when reports are coming out. The TIME the report comes out is important for short term traders (mine is ES 5 minute chart) simply because it is a time to be FOCUSED. The report itself is not so much about the numbers within the report but more about the REACTION of the trade.

Daytraders are TA people, fundamentals are mox-nix to a daytrader. Reports are nothing more than a time to be prepared for some possible price movement.

Sure, a TA person could get along fine as a daytrader and not know about fundamentals but it is nice to know when it is time to be on your feet and ready to make some bacon. Most daytraders have a pre-planned tactical plan in place for the report. This can be with preplaced limit orders or just an on-the-fly-as-it-happens tactic (the latter is more intuitive and more satisfying).

Trade like when you were a teen-ager, pick your dates to your satisfaction and desires. Do not do blind dates as a general practice. The less surprises you have the better the date will be.