What A Doomed Yahoo Trade Taught Me About Trading Earnings Gap Downs (The Secret To Profiting From Bad News)
Let’s hop into my time machine. It’s the early 2000s and one of my favorite go-to stocks is Yahoo (man how times change). The stock is gapping down big on earnings. Yahoo’s numbers are horrible. Revenues are down. Guidance is revised. There is increasing competition from the likes of AOL, Altavista and a little guy …