tag:blogger.com,1999:blog-4379150609545883233.post1368598653518047607..comments2023-06-15T08:30:24.883-07:00Comments on DayTrading with Anni: A Blog about Stock Trading & Life: The Daily Note - Earnings SeasonAnni_Vhttp://www.blogger.com/profile/16342262158236322896noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-4379150609545883233.post-82492877976907453552010-04-22T08:08:56.108-07:002010-04-22T08:08:56.108-07:00My technique. Wait and see what everybody else is ...My technique. Wait and see what everybody else is doing. I know that sounds ridiculous, but I don't have time to look at fundamentals. And, what is reported on CNBC as good news, can be totally the opposite of how the stock responds. Or, vice cersa. So, I watch the market results and go with the trend. If there's a gap up/down, I look for the pullback or reversal knowing it usually comes. If it's flat, I don't trade it at all. I'm not an analyst and there's an awful lot of info they look at that we usually can't decifer, so it's, as usual, technical indicators that I use to trade.Suedi52https://www.blogger.com/profile/08970825317785162755noreply@blogger.comtag:blogger.com,1999:blog-4379150609545883233.post-57289297618359451072010-04-22T00:50:34.731-07:002010-04-22T00:50:34.731-07:00"Do you have an earnings season plan?"
..."Do you have an earnings season plan?"<br /><br />Jeff Augen wrote a book on the subject: "The Volatility Edge in Option Trading". A technical slog, but the basic idea is that there is a strong tendency for volatility to pop in the week just before earnings, thus driving up prices and in particular for options. Given the dominant big-money computerized trading going on, the tape seems to be a lot different that it was a few years ago, so this pattern of behavior is not quite as reliable and the price behaviors after earnings have been a bit wild to say the least.... But it can work.Anonymousnoreply@blogger.com