News straddling means placing straddled, offsetting, or equivalent hedged exposure on the same or correlated instruments around high-impact events to capture volatility rather than trade a genuine directional view.
Traders must not do this within 15 minutes before or after Red or Amber Forex Factory events, earnings events, or geopolitical events where the purpose is to exploit short-term movement rather than express a genuine directional view.
Related Terms: Section 7.9