How do you handle the news

Tweets or other seemingly innocuousness news events that move price are very often predictable.

Sometimes price turning news takes 2 days - the first day is the actual news and the market reaction - the ‘knee jerk’.

Next day the market will take stock, then either the knee jerk will continue - i.e. it’s not a rumour - or the news event becomes discounted, usually by a denial or proof of mere rumour.

The market then reacts the second day, and if traders missed out first day then this next phase is a good bet.

The bad news is that you have to get to understand current affairs and then you have to almost think in the right side of the chart.

One example that springs to mind - the murder of Jamal Khashoggi in the Saudi embassy this time last year - then in early Nov Pres Trump was in Europe for the ww11 commemorations.

He was headed home in Air Force 1 - tired and having a snooze - some guys were grumbling because they thought he left early.

Over the previous couple of weeks he had said little re the murder, a little like between a rock and hard place, Saudi is an ally but what happened was sickening.

So there came a tweet on oil prices shortly after AF1 landed…

That conversation is what i mean by understanding news and price.

(btw oil prices continued south and hit a low at the end of Dec 2018)

Edit: check back oil on Nov 12 and next day Nov 13 - knee jerk and and continuation.