Unorthodox legal ways to gain an edge

[pinetboltz]

there's a saying how if you do what everyone else is doing, you'll get the same results as everybody else

which brings to mind a question, what are some unorthodox legal ways to gain an edge in this day and age, short of being a HFT & raising tens/hundreds of millions to dig through the mountains to get a chance at making a few extra pennies per share?

looking for general approaches, not specifics for obvious reasons

my current list includes:
- identifying sources feeding out trading tips that have consistently been on wrong side of market, to filter opportunities
- using databases that usually cater to different audiences to piece together info
- knowing another language well enough that i can conduct market conversations in that language

mostly trade macro instead of individual stocks, so could be different for those punting AAPL, FB

also a few extra could be (depending on lengths taken, could make a real difference):
- getting ideas/ reading materials from sources away from beaten track - everyone reads bloomberg, wsj, etc
- having cash flow away from trading, using sources of permanent capital for trading - eg. much harder to wash you out of the market unlike some hedge fund maven scared of lagging the S&P that quarter
- not wasting time on poker and other time drains

 

[Nobert]

Most of what you mention is based upon news and public info ,

for how long are you using this approach based on news ?
Is it working ? ( consistant profits, if so, then how much in % per week, month, year ? )

 

[pinetboltz]

Most of what you mention is based upon news and public info ,

c'mon, wouldn't the use of material non-public info be like the definition of impermissible market activity

public info doesn't mean fully priced in

nor does it mean your analysis is public

we're not in finance 101 learning the efficient markets hypothesis here - which by the way has been empirically demonstrated as far from an iron law. like they say, there's a difference between something being true for the majority of instances, and something being true for all mkt participants all the time - and that difference accounts for all the above-market profits being generated ever

 

[tomorton]

I feel the idea is good in principle but I wonder if you need to be more unconventional.

I can definitely recall market commentators in the past who bought based on new advertising contracts, truck purchases, staff recruiting drives etc. All these indicate confidence in future prospects but might need a little digging.

Two investors I used to know personally used to put a lot of effort into digging around. One organised potential investor groups to visit company HQ's: while trying to set up one of the visits, the CEO's PA said the CEO was unavailable to talk on the phone at that time as he was working on an urgent press release. Assuming this would be so important and urgent it would either be very good news or very bad news, he immediately put the phone down and bought the shares: they went up after a bullish press release within 2 days.

Actually, when my friend was organising these visits, the companies who said, yes, please visit us, all saw their share prices increase.

Another investor I knew was not averse to turning up unannounced at the branch of a company he was interested in for a look round and a brief word with the manager. He was able to identify himself as a small shareholder, looking to increase his holding. Obviously, he was selective as to which doors to knock on.

 

[Nobert]

c'mon....

I absolutely agree on what you wrote, yet, with all due respect, maybe by accident, you have forgoten about my two questions, thus , all i can share for now is :

 

[pinetboltz]

I absolutely agree on what you wrote, yet, with all due respect, maybe by accident, you have forgoten about my two questions, thus , all i can share for now is :

point noted, but my take is:

1) not trying to sell product here, so only going to selectively find topics to shoot the breeze on

2) not sure why you'd trust anyone's "self reported trading results" on an online forum - i mean, social media is full of trading gurus waving around stacks of cash but doesn't make them stock market wizards

 

[Nobert]

not sure why you'd trust anyone's "self reported trading results" on an online forum

Apple marketing director, Guy Khavasaky, in his book ,, Charm " wrote :

,, You can look at the people in the world in two ways :

Everyone is bad and it takes time to find out -who is good,

or

Everyone is good and it takes time to find out - who is bad."

Call me naive, but as he does,so i as well, prefer second choice

 

[pinetboltz]

or

Everyone is good and it takes time to find out - who is bad."

Call me naive, but as he does,so i as well, prefer second choice

alright, respect for that i guess, maybe the shark tank mentality in nyc just gotten in my head a little

 

[Handle123]

I refuse to read anything dealing with the markets because it is a colorful way the writer is reporting his version of what has happened, plus it is late information by time I would get it.

Apple marketing director, Guy Khavasaky, in his book ,, Charm " wrote :

,, You can look at the people in the world in two ways :

Everyone is bad and it takes time to find out -who is good,

or

Everyone is good and it takes time to find out - who is bad."...

But really there is a 3rd way:

I don't care about whether you are good or bad, but can you offer opinions that will generate new ideas for me to test. Some of my best ideas have come from posts I have no clue if they are profitable or not, and money only keeps score of your years doing this, but it does not help the reader. They still have to test it to make it theirs.

There are "Unorthodox legal ways to gain an edge", but if given out, then more competition and these small edges might disappear. It is similar of areas where masses say "DON'T" do something, then spend all your focus on succeeding in that area.

 

[Nobert]

I refuse to read anything dealing with the markets because it is a colorful way the writer is reporting his version of what has happened, plus it is late information by time I would get it.



But really there is a 3rd way:

I don't care about whether you are good or bad, but can you offer opinions that will generate new ideas for me to test. Some of my best ideas have come from posts I have no clue if they are profitable or not, and money only keeps score of your years doing this, but it does not help the reader. They still have to test it to make it theirs.

There are "Unorthodox legal ways to gain an edge", but if given out, then more competition and these small edges might disappear. It is similar of areas where masses say "DON'T" do something, then spend all your focus on succeeding in that area.

I agree with everything.