Why I Stay Small Before Big News

You ever get that itch to jump in… even when you know something big is coming?

Economic data… Fed minutes… CPI… Whatever it is — you hear it’s dropping soon, and your setup still looks clean.

So you think, "Maybe I’ll just size in now and pray it goes my way."

But here’s the thing: That “maybe” has destroyed more accounts than bad strategies ever have.

Let me walk you through a rule that’s saved me from some nasty shakeouts:

If news is dropping, I stay light. Sometimes I don’t enter at all. Sometimes I take a starter — just a feeler. But I don’t go full size.

Why? Because news doesn’t care about your setup.

It can blow right through your perfect pattern and make your thesis irrelevant in seconds.

And no technical indicator will warn you fast enough.

That’s why being a trader isn’t just about being right. It’s about knowing when not to swing for the fences.

Risk isn’t just about where you put your stop. It’s also about when you choose to press your edge.

I’d rather wait 10 minutes after a release… Watch how the market digests it… And then enter with confidence — instead of playing chicken with a candle that’s moving like a wrecking ball.

The lesson? Your edge doesn’t disappear if you wait. But your account might… if you don’t.

With Dedication,

Team Theta Warrior

P.S. One of the biggest turning points in my trading was learning when to stay in cash.

If you want to find your turning point, take this free trading quiz that will help you understand your edge: »HERE«.