News Trade Simple To Set Up With The Spread Scanner

Trading in the evenings due to working during the day? Here is an evening trade to set up before going to bed, and settled before waking in the morning. This trade is based around scheduled news, specifically Great Britain’s Net Lending to Individuals, M4 Money Supply and Mortgage Approvals. This event is traded with an Iron Condor strategy, using Nadex GBP/USD spreads having defined capped risk up front.

The news is released early in the morning, at 4:30 a.m. ET, Wednesday. The trade can be placed as early as 11:00 p.m. the evening before, looking for 7:00 a.m. ET expirations. The combined profit potential should be $35 or more, between the two spreads traded in the Iron Condor.

One spread chould be bought with the ceiling where the market is trading at the time of entry. Another spread chould be sold with the floor where the market is trading at the time of entry. With a combined profit potential of $35 or more, the market has to move up or down 70 pips before losing more than a 1:1 risk/reward ratio. Max profit is when the market takes off but pulls back to between the two spreads and is there at settlement.

When trying to find the spreads for the trade, using the spread scanner makes it quick and convenient. All pertinent information on the spreads for a particular market is listed in one window. To find the right spreads for an Iron Condor strategy, simply look at reward potential and find that requirement first. Then match up the other parameters.

To view larger image click HERE.