Trading is an art and it is a constant battle between you and the market. You need to take care and do your own judgment to understand what will work best in the market.
There is no golden rule to profit from the market but definitely some ideas do work in the trader’s favor.
If the news of a particular stock is good but the price of the stock falls down then this makes it a good buy. Most of the faint hearts will not buy the crash in the market. This is scary for many and it is like jumping from a plane but there are traders who have profited using this strategy only.
A technical divergence gets created when the price makes new highs but the indicator does not. This divergence is the hint that many traders follow and are also successful in trading divergence.
Stocks that fall when the news is good but leads to a crash in the stock price could be because of a profit taking in the short term. This is a form of divergence. Once the sellers are out of the market the trader should enter the stock at a cheaper price. He can then resell it when the demand starts building in. It is important that this method is followed only for companies that are high quality and that which have strong fundamentals.
When you trade it is important that you know what you are doing. This is the most important strategy to profit in the market. Your personality should match your method and this is why it is not recommended that you blindly trade someone else’s strategy, even if it is a profitable one. You need to know what your strengths and weakness is to be a successful trader.
Like for example, on Top 10 Binary Demo you could be someone who is very emotional and tends to take aggressive decisions. In that case you should stay away from day trading which gives you very little time to react. You could try positional trading because you can ample time to think and re-think your trade.
Never take revenge from the market. The market will give it back to you. When a trader makes a loss then is the time that is the most dangerous. The trader automatically develops an instinct to take revenge from the market and to get back what he lost in a single trade.