Russia Rally or Oversold Bounce?

David Frost // Market Outlook


August 11  

At some point in the middle of the day it was mentioned on Tout TV (CNBC) that the reason why the market was up was in direct response to President Obama saying that he disapproves or condemns Russia’s actions as it relates to Ukraine.

Here we go again.  They never learn.

So here’s how it went.  CNBC reports that the market is moving in lock step with news from Russia.

They said that the market went up because the President made those comments.  However, if they reported the comments after the market went up, then how did traders or investors know about the comments.

If what they were saying was a fact, then are we to assume only stock market traders knew about the news before the media outlets reported it.

Doesn’t that sound ridiculous?

After all, if you’ve been reading here that the markets were due for a bounce and that we were over sold, then was that the reason the market went up, or was it Russia.

The next time the market goes down, you can bet it will be because of Russia again.

I bring this up to caution you that listening to the medial reports and letting them influence your trades or investments is a recipe for failure.

The market will do its thing.  The media will do its thing.  We do our thing, which means we can still pick stock whether the market is going up or down, we don’t care.

Tonight’s video will provide a road map of what to expect next in the stock market, check it out here:

About the Author

Trading and investing in markets is second nature to some, but a mystery to others. The goal is to provide a forum where everyday people aspiring to be part time or full time traders will learn how view markets differently and profit beyond their wildest dreams.

David Frost