Investment: Post-Earnings Move and Everyone

investment: And all 45 of the analysts surveyed by Fact Set are bullish on the stock for the past month, according to Market Watch. There's an old Wall Street adage that if everyone is leaning in the same direction, it's better to bet in the opposite direction. For one, the stock options market is prepping for a one-day post-earnings move that is less than that day's average over the past five years, as well as the most recent quarters. As famed economist John Maynard Keynes supposedly explained, the central principle of investment is to go against the general opinion, because if everyone is bullish, that investment is inevitably expensive and therefore unattractive. Don't miss Amazon earnings Revenue comes into focus in 2019. And on a short-term basis, the idea is that if you're bearish and wrong, the stock won't run too far against you, because everyone has already bought the stock; if you're right, the bang-for-the-buck will be greater because sellers may have a hard time finding a buyer since everyone had already bought, which could result in a bigger-than-warranted selloff. (news.financializer.com). As reported in the news.

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