No apologies for making money using news
I make no apologies for using news to make money, Nor should you. We are all interested in profiting and why not, are we not taking the risk ? And the score card is money. Tell me if you know any body who is interested in loosing money ?
And we can make money or avoid losses- which is the same thing- by spotting trends, opportunities, and dangers before other people do. Because when other people do, the "window of opportunity" has closed.
I don't expect to see a trend for a critical issue years before other do, but is i can see it six months- may be even less- before others, I can get a head start, which will be of sufficient advantage. So can you.
Here are some of the ideas that will help you use the news as a window to the future to look up the stock markets prices today or tomorrow and list all the stock that are worth buying.
Let's get started for a relay of 5 methodologies:
1.News is Marketed, not Reported
Do you care, Whether that particular potholes has been fixed by the Mumbai Municipal Coporation as its Monsoon season now or Whether Salman Khan will marry or not (considering this serious topic ☺️☺️ ) ? Probably not. Are you interested in understanding why that interviewee, who is interviewed by Arnab Goswami, walks off mid of the show (which a routine now a days) ? Not really. Do you want to know who is the third best all rounder of Bangladesh in the on going ICC Cricket World Cup 2019 ?
These news items are not reported because there is no interest in them. If I, as reporter , thought you should know third best all rounder of Bangladesh in the on going ICC Cricket World Cup 2019, I'd get fired.
Media compete for mind share just as companies compete for market share. So news focuses on what people want to know - or the news dosen't sell. How do news reporters find out what people want to know? By asking, through interviews and polls. By listening/ Watching frequency of news aired in other media.
Example: People began paying more attention to Yoga as the guru started showing it live on the idiot box, or take the example of Chernobyl, does any body had any idea before the promos of the shows started on Hotstar.
So the first step in spotting trends, opportunities and benefiting from what you spot- is to recognise that news is marketed, it is not reported. Why stocks are down today? Todays stock market closing price ? Stock Market crash 2014?
2.The Dog that dose't Bark
In one of the tales of Sherlock Holmes, the great detective was asked, "Is there any other point to which you wish to draw my attention ?"
"The dog did't bark", said Holmes
"The dog did nothing in the night time ", came the response.
"That was the curious incident," the absence of a bark can be as significant as the presence of it, remarked Holmes.
Similarly, the absence of news tells what the public dosen't care to know. For example, How much water is wasted by a household ? Do we have the answer ? Why ? No interest.
As a news monitor, you must pay attention to news that isn't news- that is, news that isn't reported. If it isn't there, it won't change anything.
News that reappears after some time also to be monitored. In other words, you must to listen for the "dog that dosen't bark"
3.Scan selected Media
While during recharging of my dish network recently, my father asked me to subscribe to only 2 market related channels. Why so ?
Overload of information will only confuse you. Have a top to down approach. For eg: If rainfall is below average this season, What impact it will have on the states concerned ?, What will industries related to Agriculture produce or Food productions do in this case ?
If the bottom level industries is getting affected, those dependent on these will also be affected.
This is it for now, How to Make Money in Stock Market by Analyzing the News ? series is going to end in the next post, so if you haven't read the first post of the series read it here.
Do join me for the last post of the series.
Take care.
Do join me for the last post of the series.
Take care.
This is dummy text. It is not meant to be read. Accordingly, it is difficult to figure out when to end it. But then, this is dummy text. It is not meant to be read. Period.
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