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How news affects market volatility

This lesson assumes that you understand your financial goals and are familiar with all the risks and opportunities online trading provides. You can schedule a free call with our expert trader that will help you find the best way to achieve your financial goals.

To understand how news can affect the volatility of prices, you need to consider how other traders prepare for and react to its release.

Before the release

In the case of news that is pre-scheduled, some traders stop trading just before an announcement and close any positions that they have.

Others decide to keep position