📺 Why You Should Never Trade Based on Tips from Business News Channels

Let’s face it — we’ve all been there. You\’re sipping your morning chai, the TV is blaring in the background, and a well-dressed anchor is enthusiastically shouting:
\”Buy XYZ! Targets ₹300! Fundamentals are strong!\”

Your adrenaline spikes. You reach for your trading app. \”If this guy is saying it on national television, it must be legit,\” you tell yourself.

Pause. Take a deep breath. And read this before you hit Buy.


🚨 The Dirty Little Secret: The Tipsters Got There First

Not all suits on TV are innocent messengers of market wisdom. Some have been, let’s say… extra entrepreneurial.

Remember Sanjiv Bhasin? A regular face on business news channels, giving out \”free\” stock tips like they were Diwali sweets. Turns out, SEBI recently caught him frontrunning — a fancy term for this:

Buy the stock first.
Recommend it on TV.
Watch innocent retail traders rush in.
Dump your holdings at a nice profit.
đź’° Exit stage left.

Yup. That’s not advice. That’s a setup.


⏳ By the Time It Hits the Screen, It’s Old News

Let’s apply some basic logic here. News anchors and guests are not stock wizards. They react to news, not predict it. And by the time they’ve:

  • Heard about the development

  • Verified it (hopefully)

  • Written about it

  • Rehearsed their \”TV voice\”

  • And gone live…

…the market has already moved on. You\’re not the first to know — you\’re probably the last.


📉 The Price Has Already Moved

Think about it: if the news is so good, why is the stock not flying anymore?
Because the smart money already acted. The price impact is already baked in.
You, dear viewer, are just showing up with a spoon to lick the empty icing bowl.


đź§  Remember: Buy the Rumour, Sell the News

It’s an old Wall Street saying.

Smart traders buy when nobody’s watching.
And sell when you are watching.
That TV tip? You\’re not joining a rally. You\’re providing exit liquidity to smarter, faster players who got in before the news even broke.


👩‍💻 You\’re Competing with Supercomputers and Analysts

You\’re not just up against your neighbor and his WhatsApp group. You\’re up against:

  • Institutional traders

  • Quant funds

  • Mutual fund analysts

  • Algo bots with better hair than you

Their entire day revolves around digging into companies, tracking developments, and trading at microsecond speeds. You\’re trying to race a Tesla on a bicycle.


đź§  So, What Should You Do Instead?

  • Build your own process

  • Follow data, not drama

  • Learn risk management

  • Treat TV tips like entertainment, not investment advice


TL;DR:

If you\’re trading based on what you hear on TV,
you\’re late to the party, dancing in the dark, and paying for someone else\’s champagne.

Don\’t be the liquidity. Be the logic.

đź“© Have a query regarding your investments or trading?

Feel free to email me at namit21@gmail.com

Scroll to Top
0

Subtotal