Author Topic: I have been reading major stock news.  (Read 2437 times)

TheAnonOne

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I have been reading major stock news.
« on: August 04, 2016, 10:45:21 AM »

HO-LE-S****

I have tasked myself with reading major stock news from various websites over the past 1-3 months. To determine what exactly they report on, and how the information could be (if any) useful.

I can 100% guarantee to this group of people that it is entirely garbage.

For those of you who have never accidentally navigated to a site like this. I will explain a few concepts.

A. The stock market (SP500/DOW) isn't really comprised of many stocks. It is a line with a life of it's own. This line is kept inside of cages that it builds itself into that have TWO walls. Supports and Resistances.

Resistances, keep the line at bay from hitting the Support. Example- If the SP500 has traded between 2100 and 2125 for more than... 1 to 5 minutes/days the media will notice that the lines cannot go above or below those numbers for any reason. If they DO (they always do) an article is posted on how the SP500 is on a breakout. Like a lawless bandit.

Here is a great article entitled: "S&P 500: Fake-out Breakout Could Spell Trouble"
https://www.dailyfx.com/forex/technical/home/analysis/spx500/2016/08/02/SP-500-Fake-out-Breakout-Could-Spell-Trouble-PRtech.html


B. The fundamentals never call for the market to go up. The market should be at 1926 levels because the fundamentals say so. Any time the market goes up an article must be posted. Any time the market goes down, it's the 'FED's fault.

C. "Wall Street" (whoever THEY are) is in constant awe of how the market didn't land exactly on it's forecast number. It HAS to be amazing to be this astonished nearly daily. It actually sounds fun. Again, anytime the market misses forcasts, an article MUST be written about it.


There are more.... but my fingers are tired





dougules

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Re: I have been reading major stock news.
« Reply #1 on: August 04, 2016, 11:14:09 AM »
Critical thinking and math skills are in short supply.  The people that have them are probably busy investing instead of reporting on investing. 

That being said, there may (or may not) be a certain amount of truth to what they're saying for what the market does day to day or hour to hour.  The short term is just all herd behavior. 

Paying attention to financial news and short term market fluctuations is entertainment at best.  I don't think a lot of people get the idea of buying a chunk of several companies and then just slowly collecting your portion of their profits as they roll in.  It's not as glamorous as putting all your money on red. 


Eric

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Re: I have been reading major stock news.
« Reply #2 on: August 04, 2016, 11:18:48 AM »

acroy

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Re: I have been reading major stock news.
« Reply #3 on: August 04, 2016, 11:28:34 AM »
Well, stop doing that ;) it's a click-bait churn-based industry!
Build your Investment Plan, and stick to it torpedoes be damned.
easier said than done - good luck!!

Proud Foot

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Re: I have been reading major stock news.
« Reply #4 on: August 05, 2016, 11:37:37 AM »
Whenever I read most stock market news I find it doesn't really give much substance for a long term investor.  I just read this "Article"

https://www.thestreet.com/story/13666085/1/these-5-stocks-could-be-toxic-for-your-portfolio.html 

I guess it might be helpful if you are a day/short term trader, but the article just talks about the price trends with nothing mentioned about the performance of the actual business.

dougules

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Re: I have been reading major stock news.
« Reply #5 on: August 05, 2016, 03:05:58 PM »
Whenever I read most stock market news I find it doesn't really give much substance for a long term investor.  I just read this "Article"

https://www.thestreet.com/story/13666085/1/these-5-stocks-could-be-toxic-for-your-portfolio.html 

I guess it might be helpful if you are a day/short term trader, but the article just talks about the price trends with nothing mentioned about the performance of the actual business.

Stocks are basically a video game.  It's not like you own a company or something like that. 

mrpercentage

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Re: I have been reading major stock news.
« Reply #6 on: August 05, 2016, 03:18:16 PM »
Im not sure how financial news is associated with trading only. Don't they just report on whats happening? If you mean a specific show-- like fast money-- or a website-- they are made with a specific target audience in mind (news seekers, traders, feature stories, ect.)

Travis

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Re: I have been reading major stock news.
« Reply #7 on: August 05, 2016, 09:20:11 PM »
I was in a waiting room today watching CNBC and I took careful notice that at the end of one of their hour-long roundtable discussions shows about the market a scrolling disclaimer (that lasted a good 30 seconds) said among many other things that things discussed on their show about what to buy and sell should not be construed as actual financial advice.  Their lawyers are practically telling you it's entertainment.