Re: possible trading strategy?
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stock market goes up historically
companies go up after releasing their earnings historically
therefore, buy companies a day before they release their earnings and sell the next day. keep doing this over and over again and you should out perform the S+P? correct?
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Nope, because large firms love to wait for good earnings periods to allow them to dump a huge position with little/no slippage because all you earnings momentum players are jumping on board.
In short, there's people thinking the opposite to you with bigger positions, with technical thinking thats far beyond your comprehension. They're strategic, they have objectives, and they're ruthless. And they'll always exploit simple strategies like this one.
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