How many of you have ever been on your computer during the middle of the afternoon and all of a sudden you see that a stock has steadily climbed 50% or more over the course of the day? What's the first thing that comes to your mind? If you're anything like me, you wish you had known about that stock prior to the opening bell. Now sometimes stocks that move like this are the result of email alert pump and dumps. However, often times, gains of this nature are because of very significant news issued by the company.
So, How Do You Find Out About the News before the Opening Bell?
Some investors/ traders pay money for companies to provide them with email alerts on major news in the stock market. Many novice traders who don't want to pay for a service rely on Briefing.com's In Play on Yahoo Finance for a leg up. The downside of In Play on Yahoo is as follows:
- results are delayed so you miss out on info 30 minutes prior to the stock market's opening
- the stocks listed are only from the NASDAQ, NYSE, and NYSE Alternext (formally known as the AMEX)
- often times stocks with lower share prices are filter out
The last two negatives from above are the most critical, because often times, your biggest gainers come from Pinksheets and Over the Counter Bulletin Board (OTCBB) stocks. Also, cheap stocks that have been severely beaten down usually bounce back the hardest.
So, What's the Best Approach?
There are 4 online public relations websites that provide 95% of the press releases for Canadian Exchanges, NASDAQ, NYSE, NYSE Alternext, OTCBB, and Pinksheets. They are as follows:
All four are completely free, easy to navigate and post news on a minute-to-minute basis. Although there is lots of news to sift through each day, the most prominent news is released between 6-9AM and 4-6PM. It takes me about 20-30 minutes to go through all 4 websites in the morning and about 10 minutes for the afternoon releases. That very small investment of time can result into huge gains.
Be on the lookout for part II of Stock Market Trading Tips: Finding News that Moves a Stock where I'll discuss what type of stock trading news is actually worth chasing. Also, check out my other blog http://theperfectstock.blogspot.com/ for stocks I think can achieve huge gains.