This question “How to trade forex on economic news releases ? ” is very very common question.
We will write several articles about this problem in next weeks. Now want to show one great strategy which can be good :

I read articles from Jamie Saettele on dailyfx.com.And he made great analysis Trading Nonfarm Payrolls? Here is an Alternative EUR/USD Strategy.

This strategy is “fade the initial move.”.

Steps :

1) You wait afther news release.
2) You open 30 min chart and watch trading position on EUR/USD.
3) Buy if close is closer to low of 30-minute reaction
Sell if close is closer to high of 30-minute reaction

See profit analysis :

See examples charts from dailyfx :

Enjoy !