News & Event-Driven
A trading mode where AI analyzes news, sentiment, and macro events to produce signals and trade; per-pair execution config follows the same risk framework as Strategy Trading and can run in either live or paper.
News & Event-Driven Trading is one of Pluto's trading modes: when creating a trading bot, besides strategy mode and AI-Driven Trading, you can choose News & Event-Driven Trading, and run it under either Live or Paper execution. In this mode the entry / exit decisions are made by the AI from news, events, and market information; position, stop-loss, take-profit, max drawdown, and other execution config items use the same per-pair model as strategy mode and must be set per pair when creating or editing the bot (see Execution Config). This page covers what News & Event-Driven Trading is, how it relates to other modes, execution config, and usage tips. For concepts see Trading Basics; for a mode comparison see Trading Modes.
Where it sits in the trading system
When creating a trading bot you pick a trading mode (which decides the signal source) and an execution mode (live / paper); the two are orthogonal, and News & Event-Driven Trading, as a trading mode, can freely run live or paper:
| Mode | Description |
|---|---|
| Strategy mode | Runs the strategy's preset buy / sell conditions, paired with the per-pair execution config set when creating the bot |
| AI-Driven Trading | The AI decides entry / exit timing; execution config is set per pair when creating the bot, sharing the same concepts as strategy mode—see AI-Driven Trading |
| News & Event-Driven | The AI parses news and events and decides entries / exits; execution config is also set per pair when creating the bot |
Once News & Event-Driven Trading is selected, the system places orders following the AI's analysis of news and events, while the execution config (position, stops, targets, max drawdown, etc.) is still defined and strictly enforced by you—the same risk model as strategy and AI-Driven Trading modes. For a full breakdown see Trading Modes.
Execution config (per pair)
Under News & Event-Driven Trading you don't configure strategy-style entry conditions, but you must still set execution config per pair (the same concepts as strategy mode) to control per-trade sizing and overall risk:
| Item | Description |
|---|---|
| Position sizing | Per-trade or total position ratio; align with the recommendations in Execution Config—typically 5%–20% per trade with a total cap |
| Stop-loss | Auto-close when loss on a trade or position hits the configured ratio; strictly enforced by the system |
| Take-profit | Auto-close when profit hits the configured ratio to lock in gains |
| Max drawdown | Overall drawdown cap; exceeding it can trigger reductions or pauses (per system behavior) |
| Add-on rules | Whether to add to a position, and the conditions / ratios for doing so (if supported); must work together with the position cap |
For meaning and recommendations of these items, see Execution Config and Risk Management. Entry / exit logic is decided by the AI based on news and event analysis, but risk and position are still controlled by the execution config, so set it carefully according to your own capital and risk tolerance.
Difference from strategy mode and AI-Driven Trading
| Dimension | Strategy mode | AI-Driven Trading | News & Event-Driven |
|---|---|---|---|
| Entry / exit logic | Strategy's preset conditions and indicators | AI's holistic decisions | AI's analysis of news and events |
| Execution config | Set per pair when creating the bot (position, stops, targets, etc.) | Same as left; shares the same per-pair config concepts as strategy mode | Same |
| When to use | Clear rules, condition-based execution | AI for timing and holistic decisions | When you want to trade off news / events with AI analysis |
The three modes share the same execution-config concepts; they only differ in who decides entry / exit timing (strategy rules / AI holistic / AI news-event analysis). All three can run live or paper.
Usage tips
- Execution config first: set sensible position, stops, targets, and max drawdown before relying on AI news-event analysis for entries / exits—bad risk settings amplify the volatility that comes with event-driven trading. See Execution Config and Risk Management.
- Paper before live: it's worth running News & Event-Driven Trading in Paper Trading for a while to observe the AI's analysis and risk behavior before going live.
- Regular review: combine Trade Statistics and Monitor to check whether event-driven decisions and execution config match your expectations, and adjust the execution config or pause the bot if needed.
Common questions
How is News & Event-Driven Trading different from AI-Driven Trading? The former focuses on the AI parsing news and events to drive entries / exits; the latter is the AI's more holistic timing and decision-making. Both set execution config per pair when creating the bot, and both delegate entry / exit logic to the AI.
Where do I set the execution config? When creating or editing a "News & Event-Driven Trading" bot, set position, stops, targets, max drawdown, etc., per pair—see Execution Config. This mode has no separate strategy entry-condition config.
Are stops and targets actually enforced? Yes. The stops and targets in the execution config are strictly enforced by the system; the AI only provides entry / exit suggestions based on news and events, while risk control still follows your configuration.
Next steps
- Live Trading — Live preparation and monitoring
- Execution Config, Risk Management — Position and risk configuration
- AI-Driven Trading — Another AI-driven trading mode
- Trading Basics — Concepts