An investor often thinks that is it good to sell the held shares of a particular company if the company has just announced about it revenues and upcoming products or any future events. However, there are also times when an investor should check new commodity tips or international market news for commodity prices. The question is, how can you predict when to "sell on the news"? Let’s have a look at these points which will be helpful for every market freak.
Look for Something Offsetting
Any kind of negative news would have a bad impact on company s market values and other assets, of which every company is aware of. To compensate these losses they combine their negative announcements with small positive news, hoping that the investor or his intraday calls for today analyst would have a look over that. The investor may miss a crucial info if he skips the news.
Be Aware of Expectations
Sometimes a company will report stellar earnings that far exceed the numbers it reported in both the year-ago quarter and the prior quarter. In some instances, the results may even beat analyst expectations. However, if the company fails to meet the expectations on the Street, the stock could get crushed.