I wanted to discuss the advantages of using social networks as a stock market tool. When I talk about social networks I’m talking about Facebook, Twitter, and LinkedIn. These are the three social networks that I use, I’m sure there are others that people use but I’m just going off my personal experiences.
When Shia LaBeouf was preparing for his role in the movie Wall Street: Money Never Sleeps, he worked with a number of brokers who taught him the in-and-outs of the profession. LaBeouf said that some time after he was done shooting the film he found out that a majority of the brokers who he learned from were arrested for insider trading of which, they did over Twitter. Now I’m not promoting or condoning insider trading, I’m merely saying these social networks are new technological advantages that can be used properly and legally to improve your wherewithal.
These social networks are great places to find information and people who have various knowledge of the stock market that you can utilize. For example Twitter, Jim Cramer tweets non-stop about stocks he likes and dislikes and provides sites with input of various stocks. Next you have investors and other business personnel around the world which you can follow and connect with and get insight into how influential elements are going on in those areas. Such as following a individual who is a investor from China, you can talk to them about how the spending habits are over there, or even is their any possible public uprising. The main thing to note in using these social networks is to be smart and know how to filter out useless information and know the good stuff.
9:40 am - 3-21-2011
Social Media can shine a light on the behavior patterns of others. Need to be careful to stay withing the boudaries of correct practice though.
12:54 pm - 5-3-2011
For sure Jane.
5:56 am - 6-12-2011
As the recent case of Congressman Anthony Weiner highlighted, it is very easy to destroy your reputation with social networks, but used correctly there is no denying their power.
As you mention, any information that you gain from Facebook & Twitter that can help in your analysis should be considered a bonus and another tool for your arsenal.
6:05 am - 1-9-2012
I read your post. it was amazing.Your thought process is wonderful.