Use TA to buy support and/or sell resistance with a hard stop. Then when the tweet/news/spew comes into the market.... if it's against your position, you get stopped out... maybe 4-5 ES points? If the event is in favor of your position, you make maybe 20+ points. (Last night's jawboning was worth 80 points.) You almost have to do it this way as the moves are too swift to "see, then catch"... algos, you know.
The stockmarket knows better than the fools who fall for every bit of news they come across with! Fools deserve to lose their monies!
I think it works for forex because forex makes smaller moves in terms of percentage. It will be a problem if higher leverage is taken.
I think one has to use a market stop order. The movement can be so fast that it will miss the stop order if it's a stop limit order.
Unfortunately, in my experience, if your time frame is days or more, I find stop orders execute at or near the point you might have added to your position rather than where you would want to liquidate. That is why I like using ITM options.
Agree. You don't want to be "penny wise and pound foolish" when you're playing defense. Even your stop order may be overshot a bit. Suggest not exposing yourself to a possible "weekend gap" where feasible also.