Many intraday traders use to watch the news channel or sites like moneycontrol to keep scanning for some stocks news, so that traders can short list the stocks they want to trade on, get in and out for some quick profits.
Basically they want to make use of the momentum the news has created for the stock. There is a typical observation or pattern that have witnessed recently. Most of the time the stock reacts before the news hits the market. Let’s take today’s example.
There was a news that Alembic Pharma got a FDA approval. As you can see, the alert was published at 10:51 in NSE site and few mins it was shared in Telegram channel by the bot, but the stock reacted positively much before the news was made public. There are certain people who have access to such sensitive information would move the stock price much earlier.
But poor retail traders seeing the positive news, try to buy at the day high price and gets trapped, as the other people who bought much early would liquidate their position and make profit.
Its a typical example of Buy at rumor and sell at news, its better to react opposite in such situation and people who shorted at this level seeing the good news would have made money.
We are adding a new update feature to our bot, where along with the alert, we will include “Buy” “Sell” execution button, where just clicking on the button would allow the user to place the trades directly in their trading account. You just have to fill in the quantity as per your need and execute the trade at the click of a button. Follow this link to access this free bot https://t.me/sqalerts