A question which recently came up had to do with getting data releases. A trader looking to trade the news noticed action in the market ahead of the major data releases thought that maybe some folks were getting the data earlier than others. On that basis he asked:
Is there some way to get these releases earlier?
To first address the timing of data releases, the news events of primary interest to traders are the economic data releases and such. Those things are provided to the news organizations ahead of time by the issuing institutions, but embargoed until the official release time. No one would dare release the data early as it could very easily cost them access to the release all together.
As to action ahead of time, since the data isn’t available to anyone outside the embargoed news groups, basically what you’re talking about is traders gambling on what’s coming. It happens more regularly than strikes me as being reasonable. I mean a trader can get really nailed if they’re in the wrong direction when a release comes out. Granted, it’s also possible to make a lot of money too. It really is just gambling, though.
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About the Author
John Forman, author of this blog, has traded for more than 20 years, is a professional market analyst, and authored The Essentials of Trading. He is an active participant in trading forums, consults for trading related businesses, as published literally dozens of trading articles, and has been quoted in a number of books and in the media.
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