When timing a trade look at the earnings dates and see if
the stock is poised to beat earnings.
Also see of the stock is being talked about as having good growth. Sometimes a good earnings call will still
result in the price driving lower because of profit taking and/or some people
may feel that the earnings could have been better. NEVER assume the price will go up just
because of a good earnings report.
Disney was a good call back in May after they posted
earnings because even though they had losses with John Carter they just had a
blockbuster weekend with the highest earnings of a film ever and they had good
revenue numbers in their ancillary businesses.
They also have growth areas with the new acquisition of Marvel. More sequels and more content will drive
their stock value up.
Now the important thing in making the stock play is to buy
the stock low or on the uptick the day before earnings and then hold over night
if you feel the stock is going higher.
Then the next morning let it run in the first 5-10 minutes of trading
and then take profits before it drops or levels off.
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