Free tool

News Trader

In News Trader a headline appears and you decide long or short before the price moves. Over ten rounds you see how hard news trading really is: a lot of news is already priced in.

Free, no sign-up, runs in your browser. For illustration only; not investment advice.

📰 News Trader

A headline appears. Long or short? Decide before the market reacts. 10 rounds.

Round: 0/10 P&L: 0.0% Hit rate: —

Ready?

News trading looks easy, but it rarely is. Often the reaction is already priced in.

Read more: News-Trading mit LLMs: Was wirklich funktioniert (German) · Macroeconomic Surprises Trading: Bloomberg ECO und die Markt-Erwartungen-Lücke (German)

This is one of 25 free trading calculators and games. Want models like this on your own data, with real backtests and a live connection?

Get in touch

A game has ten rounds. In each round a headline appears and you choose long, if you expect the price to rise, or short, if you expect it to fall. The game then draws the price reaction. In half of the rounds, at random, the price moves the way the headline suggests; in the other half it moves the other way, as if the news had already been expected and priced in. So the headline itself gives you no edge here: over many rounds, any approach ends near a 50% hit rate. Each reaction is roughly 1.3% to 3.5% in one direction. If you picked that direction, the size of the move is added to your P&L; if not, it is subtracted. The hit rate is the share of rounds you got right.

The game leaves out what makes news trading hard in practice. Headlines reach professional traders and algorithms within milliseconds, spreads widen around releases, orders can fill at worse prices than you see, and markets react to the surprise relative to expectations rather than to the headline itself. A good score here does not show that trading on headlines works: fees, slippage and speed are missing, and ten rounds are far too few to tell skill from luck.