4 ms·

Fundamentals mean zilch for trading unless your'e talking earnings announcements or like news.

• H8crilA 7y ago
  Please don't downvote this comment. There's a huge difference between short term trading and investing. And yes for short term trading (minutes/hours/few days) fundamentals matter rather litte - after all you can be a successful trader of Bitcoin, which has pretty much no fundamentals. Except on volatility events like macro data releases, earnings, FED decisions, surprise news (looking at you GE) etc.
  • Retric 7y ago
    > fundamentals matter rather litte Having a small impact is not the same a having zero impact. Traders operate over longer timeframe even if they are holding an individual stock for minutes there is a limited pool of stocks. Keep playing the game and longer term impacts add up.
    • derefr 7y ago
      But do the fundamentals of an individual investment matter in the short term compared to the fundamentals of the market as a whole? I would suspect that the “longer term impacts add[ing] up” would just be market health. Day-trading randomly-picked stocks with random buys and sells is a Markov approximation of an index fund :)
      • Retric 7y ago
        I think that depends on how stocks are chosen when you are day trading. Limiting things to high volatility stocks for example creates a bias in your index fund approximation.