What's up, Everyone? All right? So I'm here to answer another question about trading. And the question is how do I quickly interpret breaking news? So this is an interesting one because all day long and even during the night, there's headlines that are hitting the newswire about stocks and it's hard to know whether or not any of them are going to do anything to the price of the stock. and in fact, the news headline by itself doesn't move a stock. What moves a stock are the high frequency trading algorithms that respond to that news headline and active retail.

Traders So the way I interpret news I interpret it based on how much the stock is responding to the news. That's it. So if news comes out, if a stock starts squeezing up and I see that it has news, then I understand and interpret that that news is positive if it's going down. I Interpret that news is weak.

so I interpret the news based on the price action.

By Stock Chat

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11 thoughts on “Q: how do i interpret breaking news?”
  1. Avataaar/Circle Created with python_avatars austin men says:

    "weather Balloons" too be a factor?

  2. Avataaar/Circle Created with python_avatars TM says:

    In other words, price action is the ‘real news’ move in real time. Trying to determine the validity of news is useless and many times a precursor to news with an opposing view point and reaction. News can be manipulated just like ‘big money’ does to price action.

  3. Avataaar/Circle Created with python_avatars H. says:

    Thank you Ross god bless you

  4. Avataaar/Circle Created with python_avatars Andras Szerencses says:

    It's incredible to see how it's in our instincts but dear to fully implement it only when we see other successful people to use given tactic

  5. Avataaar/Circle Created with python_avatars Mainchain says:

    That is dangerous tho, market is wrong alot of times the first minutes when the news comes, then corrects.

  6. Avataaar/Circle Created with python_avatars T says:

    How to spot HFT algos are taking profit?

  7. Avataaar/Circle Created with python_avatars Harry SU says:

    better writing a tool analysing headlines to Auto enter a Position. if stock no meme (market Maker abusing Kind of thing), last positive news had some nice legs, news headline is Not a repeating already know one and news that headline made nice Pumps on Other Stocks last times. eg. New trend: trigger for Chatgpt

  8. Avataaar/Circle Created with python_avatars BoonWolf says:

    Have seen good news take up to a day or 2 to actually trigger a run a stock.

  9. Avataaar/Circle Created with python_avatars SKcusneb says:

    Hey. I am a new. To your content. I and I just wanted to say. That you are awesome. And that is Typical.

  10. Avataaar/Circle Created with python_avatars mnc says:

    The only way to interpret it❗️

  11. Avataaar/Circle Created with python_avatars Ethan Feciuch says:

    What’s VWAP and how do you use it in your trading decisions?

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