Does anyone here trade a retracement such as this?
I added some fibs to the spike on gbpusd from the positive GBP - retail sales m/m release
Of course a big problem in entering a news release after the fact is that you will only catch the tail end of a spike.
This is just one example I'm sure the retracement sometimes is not a 100% one and might only hit 38.2 or 61.8.
This would make sense in this situation to have attempted to buy gu after the 100% retracement because of the positive gbp release.
Does anyone else trade retracements off of news spikes in the direction of the original news for some pips?
I added some fibs to the spike on gbpusd from the positive GBP - retail sales m/m release
Of course a big problem in entering a news release after the fact is that you will only catch the tail end of a spike.
This is just one example I'm sure the retracement sometimes is not a 100% one and might only hit 38.2 or 61.8.
This would make sense in this situation to have attempted to buy gu after the 100% retracement because of the positive gbp release.
Does anyone else trade retracements off of news spikes in the direction of the original news for some pips?