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Strategies & Market Trends : Analysis Class for Beginners

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To: Arthur Tang who wrote (767)4/17/1998 5:15:00 AM
From: Arthur Tang  Read Replies (1) of 1471
 
Story stock, what of it?

Stories move stock. Some times it moves beds too. Like George Washington slept here. Lincoln bedroom cost a lot to sleep in too.

Stories could start with a company news release. Story could be a rumour. Story could be an analysis by a analyst on the street. How long could the effect of a story last? One to three days.

When should you invest on a story stock? Never on the story by the analyst on the street. Next week when you ask the analyst about the pull back; he is assigned to another stock.

Always investigate about a rumour, look at the one day charts to see if there is any action. No action, the rumour has no following.

How about the company news release? Not effective mostly.

However, if the company has a whisper of a program for increasing investor value. Investigate and jump in. Remember in investments, you have to concentrate to make big money; don't diversify too much.
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