Yes, all the time and no. It depends on what the news event is.
Let’s start with when not to trade.
Anytime there is a Central bank rate statement the system is not traded These are the most volatile periods in the markets – and that is exactly why not to trade. We like movement not erratic volatility.
The truth is in the markets today algos are able to read interest rate statements and trade on the information within milliseconds way before news outlets are even able to post the information. The algos are also able to knee-jerk price just as quick. It is simply not worth the risk to trade during these periods.
It is all about consistency and avoiding risk situations not chasing them.
Always be aware of the news events coming up on the calendar. When there is a high risk news event coming up price will tend to be range bound and finds a trend afterwards.
After news events is an excellent time to trade as the data is digested and price is compensating leading to nice price movements.
There are many options for news calendars such as Forex Factory, Myfxbook, and FXStreet. Before the week starts be aware of the high risk news events coming up in the week ahead and each day look at the coming events for the next 24 and 48 hours.