I was just now watching CXW, I had the intraday chart up, and at 12:41 EST, it dives. The news was more comments from DHS. No biggie, but here's my question. I didn't get an alert, and it didn't hit wires until 12:49.... somebody got that news 8 minutes sooner. How? And who do they use? Are retail schmucks getting screwed here? I already know the answer to that,...... but I'd still like to know who they are using.
Best way to get alerts early is to look at a combination of time frames and see if a case can be made for continuation or reversal. Typically a day trader would be looking at the 1, 5, 15 and 60 for overall trend and entry/exit. If you look at CXW today, you can see that the 1 min chart showed sell just after 10 AM while the 5 showed flat. However , the 15 jumped well out of upper BB and was slapped back which was confirm of continuation of the 60 min downtrend. News is best perceived by the action on the charts, not by News Alerts.
I'm not sure thats the case. When a news alert comes out that dramatically effects a stock price, I don't think that news can be divined hours earlier off the charts. Unless there is insider information that is acted upon. That 10AM example for CXW today may have been from the announcement, at that time, of a class-action lawsuit.
That's the point. Players in the know position themselves and have a good idea what is going on in the present and the future. By analyzing how these players are setting up or coiling for a move, you can better be on the right side. I don't pay attention to news. The news will show itself in the charts.
All I can say is, ....you must be one sh*t-hot TA guy. Good on ya. PM me the next time your tea-leaves predict a move like that 4 hours prior to a press release. Zandy will take any and all ideas.
News scanning bots. They scan everything from Government releases to Twitter accounts of small town newspapers.
I get that, but that stuff has to come out first, before they can scan it. On my news alert settings I have every content provider box checked.... like 40 sources... and yet that news came through 8 minutes late. I don't see how the bots can scan something that hasn't hit the wires yet.
As an example- FDA releases will hit the website first then a few seconds to a few minutes later get picked up by DJ, Reuters, Bloomberg, etc. By then the bots have already bought/sold well ahead of the sheep and clean up. All the algos need is a half second advantage and the stock will be halted limit up/down before you can read the first word of the press release.