Grant Noble searches for forex signals in mass media.
The trader Grant Noble pays attention to mass media to distinguish signals about becoming ripe tops or market bottoms. However, he studies the press opposite with usual method.
Noble for the first time has got acquainted with branch of futures, working as the retail commodities broker in the late seventies. «I saw weight of methods to lose money, and it seemed to me that few people earn money. The last 15-16 years I have spent, trying to understand, in what the reason». Noble, as he said, does not participate any more in the auctions by futures: «From time to time I have rest from the auctions». But at it still it is a lot of ideas concerning a current condition of the markets. Noble is the author of the book Traders Edge, published in the end of 1994.
Its basic strategy consists in arriving counter to messages of permanent assets of the mass information. «If the American press shouts that now the most improper time to buy up shares I buy up shares, — tells Noble. – mass-media always within opposite indicate, when there will be a top or a bottom».
«My approach in trading is the following: I consider that the markets are easy enough for predicting the next three or five months, but still it is necessary to develop system which would show long-run trends», — Noble has told.
«In the end of April the newspaper« New York Times »came out with the big article on the front page about wheat. It was day of top for wheat. All mass-media began to show very much« bull »moods concerning the grain markets in the end of April, and thus have prompted to me that the top is already reached», — tells Noble.
It is necessary to pay attention to editorials — Noble tells, explaining, he pays attention to which publications. – in April, 1994 there was a big article about shares of the technological companies …, so much publications approved that the share market in an awful condition, and for two years it has increased by 50 %». He speaks: «that I do with the press is only a choice of tops and bottoms … it is possible to do a pair of clocks in day, and all time in the screen» is no need to look,
Now Noble tests “the bull” moods concerning the market of the American bonds which all 1996 continued to fall sharply. «At bonds six-month rally begins, — he explains, — with the minimum purpose which is coming nearer even to 117 (under futures contracts on the bond). Now practically all kick a bond market with feet. For the last some weeks I have counted from 15 before 20 publications of negative character».
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