Media and news is something very important for traders. Why am I emphasizing on listening, watching or reading to news so much? Because you need to know what the companies on the street are doing , planning to do, won’t be able to do or are quite capable to do. Companies have to justify every move they take to the Market Regulators such as SEBI or SEC. They therefore take shareholders consent before taking major moves. They announce their strategies, their projections and reports to the media. Hence media contains quite valuable information about the trajectory in which a stock or in a broader perspective, the market shall ride.
So what we see in movies that one threatening sentences by companies(mainly fraudsters) change the course of their trajectory is many a times true. Not only Fraudsters but even when companies announce their quarterly or yearly results, the course of their stock prices change. So staying alerted and informed is something that you should certainly not neglect.
