Superior Profit Investors don't invest following news.
However, they look at news to remain aware of what is going on.
And then look at the chart to find suitable investment opportunity. What is 'suitable"? For us suitable means a higher probility and higher reward lower risk investment.
The investment may as well be against the news. Or it can be along the apparent direction of the news.
Here is one example.
Aurobindo Pharma (ARBN.NS) had a positive news today. One of its drugs was approved by USFDA. Auro Pharma sharply went up. And then stopped at the Daily Memory Resistance line (see chart below). While it hit the Memory Resistance, we watched that India marke benchmark index Nify was shooting up (not shown here). However, Auro Pharma remained ranged bound at the Memory Resistance. It was underperforming the market as seen by Relative Performance tilting down.
Superior Profit investors might take it as an opportunity to Short Auro Pharma. Using Stock Futures or Put Options. And put Stop right above the Memory Resistance. At which price? That is decided by using the CUE Charts Hop Off Template Protection Signal (not shown here) - this signal indicates the appropriate Stop Loss level.
All these decisions could be done using CUE Charts in a matter of minutes - like from the Spotlight template shown above.
We never know whether an investment will make proift for sure. But we have a pretty good idea about what a higher probability and higher reward/risk ratio invesetment may look like.
Will you consider Auro Pharma Short such an opportunity? What does your trading system tell you ?
Citizen of Main Street.