This morning I tried my hand at a bit of news trading (ended up break-even luckily ). To my dismay the spreads widened just prior to news release causing the spreads to widen and thus inadvertently execute my limit orders. I swore and moaned and then went in search of other occurences of such piracy on the part of my broker before a spray of profanity in their direction. (I didn't end up giving them a serve though ).
What I found is this (on another forum). It is absolute gold and I sincerely urge anyone who trades, or intends to trade forex, to read it in its entirity (although quite long).
Edit: I didn't want to link to another forum so I cut and paste the essay as it was formatted on the other forum.
Mods: I can cut and paste a link to said forum if theres too much clutter for you.