Earnings make up a small percentage of risk I take on in my trading account, but account for a large chunk of my profits. They are by far the most exciting trades I do, so here’s a place for me to post about them.
My method, generally:
1. Look for stocks where the market is optimistic, neutral, or pessimistic and look for overly optimistic or pessimistic opportunities (I only consider them to be overly optimistic / pessimistic about 10% of the time).
2. For a detailed opinion on the…