Taking advantage of news + other tricks

As you start investing, it is absolutely necessary to stay connected with the current affairs. These could indicate how a stock would do.

For example - After the success of the movie Top Gun Maverick, the production company's stock rose. Similarly, this happened with various other movies that succeeded on a global level.

Another example - The declaration of the Russia Ukraine war would mean that there would be increased demand for arms and weapons. This lead to the rise of Lockheed Martin which is a weapons company.

So, always stay up to date with all the current affairs.

And the next time you come across any form of news, contemplate regarding its affects on companies, then find those companies that might be affected and make money from it!

Instead of merely consuming the news, spend some time thinking about it.

However, also stay connected to the global news and the bigger picture overall. For example - Look out for news regarding interest rates, and other details regarding the government budget because these highly affects stocks. Higher interest rates would lead to people switching to bonds instead of stocks, and hence overall the stock market is worse off and vice versa.

Additionally, it may be of value to check the insider trading information for a company. This can be found on the nasdaq website. When very high management executives tend to sell/buy, it generally though not always, indicates that the stock would fall/rise.

It is necessary to note that the methods mentioned above are only applicable for short term trading (maximum 4-5 days), long term strategies involve usage of fundamental analysis which would be covered later on in following blogs.

Keep investing.