Most traders don't understand the difference between original news and recycled content. This knowledge gap is your opportunity.
Company publishes official news to Business Wire, PR Newswire, etc. Price moves instantly.
30 minutes later, financial blogs and news sites rewrite the story. You're already too late.
Hours later, X/Twitter and Reddit discover it. The move is over.
7:00 AM - PR Wire
"ACME Corp wins $50M government contract"
Stock: $2.50 → $4.75 (+90% in 2 minutes)
7:20 AM - Financial Sites
"ACME Secures Major Contract, Shares Surge"
Stock: $4.75 → $5.20 (+9% remaining)
10:30 AM - Social Media
"Why didn't I catch this ACME move??"
Stock: $5.20 → $4.85 (-7% selloff begins)
The Lesson:
PR wires captured 90% of the move. Everything else got scraps.
"NovaBio Therapeutics meets primary endpoint in Phase 3 testing" - Biotech stocks can explode 300%+ on positive trial results. You get this in seconds, others in minutes.
"Company X announces review of strategic alternatives" - Corporate speak for potential sale/buyout. Small caps can double overnight when acquisition premiums are on the table.
"ACME Corp wins $500M government contract" - Small caps regularly jump 100%+ on big contract news. Be first to know, first to profit.