Debunking News Slippage

[Cabin111]

I've shared this before...Disregard if you don't want to hear.

I worked at a Hershey plant many moons ago...As a subcontractor. The plant was falling apart...Held together by duck tape and chewing gum! I asked one of the managers what was going on..."Why not fix the problems"?? He said "we are waiting for the quarter to end...We will make our numbers (bonuses), then in the next few weeks, we'll do major repairs all over the plant. The next quarter will be bad for us...We know ahead of time".

Companies like: ADM, HSY, XOM, KO, TSY, HRL, MCD...Do this all the time. Will I freak out if MCD has a bad quarter?? Not at all!! They have said they will be spending big bucks on automation...A bad quarter is going to show up sometime. Will McDonald's have a happy robot flipping burger machine/french fry maker in a few years?? You betcha...

If the company is sound and has a bad quarter, (but not losing market share), it may be time to load up on that company...

 

[Overnight]

...Will McDonald's have a happy robot flipping burger machine/french fry maker in a few years?? You betcha...

Frightening thought. What if on the day you place your order, it is an angry robot? You think an angry human spitting in your food is bad? Just wait until it's automated!

 

[Sig]

Hi guys,

Ever heard the infamous words: "Avoid trading during the news..." and so on?

I don't see why retail traders should avoid the news, these are the most volatile moments in the markets. As far I am concerned, a lot of people say "avoid the news because of bad fills", the best comments I've ever red are when people refer to "institutions" as they are talking about some kind of illuminati s***t. I have a good laugh when people bring in the discussions Wyckoff and Elliott waves as well. "Ohh look at the institutions, they are accumulating now, etc.." but that's another conversation.

Personally, I work in trading in an "institution" and I've never heard my bosses planning to wreck retail traders like some evil genius "AHA! Today we are going to crush the retail traders! HAHAH (Evil Laugh)" Darth Vader way

Anyhow, don't get me wrong, they are mostly right, you get bad fills. Who gets the good ones then? Cause I can assure you, the big boys are not behind some dodgy blackbox trying to kill your trades boys. I know few of them taking advantage of it, but they can't be 100% them all the time. They just have better and faster programs than your average NinjaTrader platform. NT, don't hate me, please. I love you, but you are slow mate!

What's your take? Are you just going to shut up and let other people cash in while you are watching or some of you tried to do something about it?

In my humble experience and free time, I am working on something already to get an edge, I was wondering if anyone else is trying to do something or they are just jumping on the "I know it all" bandwagon recommending to others to avoid the news.

Cheers

What kind of an "institution", exactly, has a compliance department that let's their employees involved in trading "work on something to get an edge" in their free time? I've never heard of any professional money management shop, be that an investment bank or a family office or a fund or anything else, that allows employees to trade in a personal account without clearing each and every one of those trades first. And none worth their salt wouldn't have an assignment of inventions clause that made sure that any system you developed on your "free time" belonged to them. Backed up by the fact that you have to agree to trade only in accounts that send duplicates of your confirms to the company. Just curious what kind of unicorn organization you've found that somehow is still in business after ignoring these pretty universal industry norms?