THG STRADDLE TRADER DIAMOND EA – [Cost $1000] – For FREE THG STRADDLE TRADER DIAMOND EA – [Cost $1000] – For FREE

For beginners, the popular definition of a straddle is a method of placing only two pending orders (a sell stop order and a buy stop order) before the news is released. The essence is to set a trap after a news release to capture market movements that may go in any direction. If the news release is bullish, the bullish peak will trigger a buy stop in the hope that the trader can make some money, the same applies to the bearish peak. Therefore, for straddle trades, the direction of the news release is not that important.

Yes, it seems simple, anyone can usually make a fortune using this "trick", unfortunately, Forex brokers know this (so don't get too excited yet). Over the years, they have erected a series of barriers to prevent traders from using crossover strategies. This strategy no longer works the way it should (when executed manually) and if you try to perform straddles manually, you will probably end up getting burned and losing your hard earned money to your Forex broker.

• Brokers widening their spreads during news releases may make you pay a large portion of your margin in the form of "spreads" only. No trader wants this because spreads may move from 3 pips to 30 pips during news periods. Do you want to be part of this trade? Brokers invented this to scare traders away during important news events like non-farm payrolls and GDP releases.
• Frequent requotes are logged a few seconds before and after the news is released (not by all brokers), preventing you from placing orders manually, and if you are lucky enough to enter the market with a manual pending order, the requotes will not allow you to take profits in time - until the market starts to reverse. This means your profits turn into losses. This happens so often, does it sound familiar?
• You cannot easily set pending manual orders close to the active release time (due to huge spreads and requotes). Traders try to place them around 15 minutes before release time. This is risky because if your order is filled before the market moves, that's not good. After all, you run the risk of huge losses. In straddle trading, the main rule is "never enter the market before forex news is released", that's why it uses pending orders.
• If you are lucky enough to avoid server issues and successfully place a pending order about 5-10 seconds before publishing (which is the ideal time interval), you will not have enough time to set take profit, stop loss and trailing stop levels.
• With manual straddle trading, you may run into a hedging situation when there is a rapid move in both directions (which happens often). This way, both of your orders will be executed at the same time and you will suffer smaller losses.
• Slippage is another scary factor; this EA has a slippage control feature that stops trading if the broker has too much slippage.