▲ 2 r/InvestingByCatalysts+1 crossposts

What kind of catalysts and overreactions I look for in my trades

Greetings, there are tonnes of ways to approach and play different catalysts and overreactions in the market. I’m going to throw out some of my favourite ones that I screen for. Hopefully at some point we can be vigilant of these—and many more—as a collective.

1. Earnings reports

Often huge, scheduled over-reactions that more often than not see retracement

especially a good company in a bull market that experiences a huge negative reaction e.g. recent Reddit earnings -22% was fully retraced in a matter of days.

In rare cases one can also gamble with particularly downtrodden stocks *that also have a history of overdelivering* eg Palantir was recently down 40% from highs and gave another stellar report, going up 30%

One could also take a bit of a gamble with extended stocks in a correcting market—during some earning seasons we often see back to back reports with stocks taking major haircuts. Statistically one can play these and come ahead enough.

2. Fearful narratives/news of “disruption”

Positive or negative news tend to pile onto each other and create a lot of both euphoria or panic. Don’t let the headlines or stock price movement hijack your emotions *Be greedy when others are fearful. And fearful when they are greedy*

E.g. master card and visa were both facing some downward pressure lately with threats to their global leadership with EU independence, etc. They’ve recovered already.

We also have the Nvidia deepseek scare, Covid, and everything in between

3. leaks/scandals

…often transient. People always fear reputation will never recover, but people are fickle and self serving

e.g. Crowdstrike outage, FB Cambridge analytica scandal, Elons political campaign on Tesla.

4. GeoPolitical scares

Whether a war or outbreak, most of the fears take on a life of their own and anticipate the end of the economy, it always blows over in one way or another… and the day it doesn’t—we got bigger problems.

E.g. COVID and the end of airlines/cruises

5. Heavy insider buying

6. Bottlenecks

e.g. memory/compute

7. Euphoria/bubble

One can either ride the hype wave or short the “pop”

- Meme rallies -e.g. OpenDoor, GameStop

- Hype cycles - e.g. legalisation of weed, ai companies—note that one of these was a hype about an essentially commoditised physical product and the other is scaling at an unprecedented rate and changing society forever

What catalysts are on your radar?

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u/Black_Swan_Down — 16 hours ago

Anyone struggling with accountability / discipline?

Do you have a partner or community equally invested in longevity? Find it hard to stick with, I really am super impressionable and affected by my environment.

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u/Black_Swan_Down — 1 day ago

Anyone have any specific market signals they use to gauge when to full port or take risk off the table—that work? Here’s mine:

I’m not really a fan of trying to perfectly time the market and/or sitting in cash awaiting a dozen of signals to align. But I do have a few things I’ve started looking at to decide whether it’s time to go aggressive or take a little risk off.

One of the things I use is the good ol’ VIX. I keep a bit of cash on the side and start putting it to work when it gets above 30. Some of the recoveries after those periods have been insane. You can basically get years worth of normal gains in a matter of weeks. Even if I don’t nail the exact bottom, I feel like the risk/reward is pretty good when volatility gets that high.

I know some people use moving averages, historical divergence of p/e valuations or even seasonality like midterms or certain months to decide when to ease in or out.

Any tried and tested signals out there that you’ve benefitted from or like to regularly abide by?

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u/Black_Swan_Down — 11 days ago

What are the must-sees if I’m here for 3 days?

Was thinking of the Melissi cave or whatever it was called, and myrtos beach.

Also bonus, can I rent a car and bring it from zakynthos and back (where I’m flying from—will spend 3 days there too) or is it cheaper to just rent a new car once here—I reckon the ferry will be extra with a car?

I’m saying car as well because everyone is hating on ATVs. Used those to explore Korfu 5 years ago and that was a blast. No issues. But can’t help but get spooked from the stories!

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u/Black_Swan_Down — 16 days ago

Core weapon+ upgrade roster?

I’m at the stage of the game where I’m unlocking the tier 3 weapons and I’m trying to prioritise what to craft and upgrade. Anyone have any core suggestions, like maybe:

-spicy coaltana
-mighty mince mace
-salty rusted spear
-mighty acid edge

Is that a good core stack?

Right now have only managed to craft termite axe and the antlion sword as well so if those have a slot that would be nice to do already.

Edit: I also have the goo trinket, really enjoying the visuals and damage boost, any recommendations on a good weapon—is it best to go dagger for speed?

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u/Black_Swan_Down — 24 days ago

Is there any interest in the UAE for CRE properties overseas?

Given the amount of capital, and current situation, one could perhaps wonder if there was an increased interest or flow of capital towards properties overseas, if there was any in the first place.

So can someone with a better grasp of the local UAE CRE market tell me if such an interest for international portfolios/investments exists?

Any potential to find buyers for e.g. a European commercial property listing—is a 6% yield competitive?

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u/Black_Swan_Down — 29 days ago

Någon med vana eller intresse av att spela på överdrivna börsreaktioner eller katylsatorer?

Är det någon här som är intresserad av och har erfarenhet av att spela på katalysatorer och marknadens överreaktioner?
Som exempel tänker jag på Facebooks Cambridge Analytica-skandalen 2018, CrowdStrike-skandalen 2024, UnitedHealthcares skandaler 2025, alla covid relaterade börsfall där kryssningsbolag, flygbolag, mm i princip prissattes för konkurs)… eller hypecykler som EU:s upprustning eller den senaste minnesbristen. Det är alltid någon rubrik man kan tjäna pengar på.

Så har någon gjort detta till sin egna strategi, dvs att handla mestadels på katalysatorer och överreaktioner? Isåfall har ni några intressanta historier att dela med er av, och vilka möjligheter ser ni i dag? :)

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u/Black_Swan_Down — 2 months ago

Någon som har som ”playbook” att köra på katalysatorer eller överdrivna börsreaktioner?

Är det någon här som är riktigt intresserad av och/eller har erfarenhet av swingtrading baserad på katalysatorer och marknadens överreaktioner?

Till exempel Facebooks Cambridge Analytica-skandal 2018, CrowdStrike-skandalen 2024, UnitedHealthcares skandalerna 2025, olika covidrelaterade rädslor (kryssningsbolag, flygbolag, hotell/restaurangbranschen som i princip prissattes som om de skulle gå i konkurs) eller hypecykler som EU:s upprustning, cannabislegaliseringen 2018 eller den senaste minnesbristen på marknaden. Det finns alltid något i rubrikerna att tjäna pengar på, oavsett om det handlar om hype eller verklighet.

Är det någon som gjort detta till sin huvudsakliga strategi, alltså att handla på katalysatorer och överreaktioner? Har ni några intressanta historier att dela med er av, och vilka möjligheter ser ni i dag?

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u/Black_Swan_Down — 2 months ago

Anyone purely swing trading off catalysts and overreactions?

Anyone interested or experienced in swing trading catalysts and overreactions?

From overreactions like the 2018 FB Cambridge analytica scandal, or 2024 Crowdstrike scandal, 2025 UNH scandal, or various Covid related fears…to the EU armament or more recent memory shortage… there is always something going on to profit from.

Has anyone made a habit of playing these catalysts and overreactions? Any interesting stories to tell—and any opportunities you see today?

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u/Black_Swan_Down — 2 months ago

Anyone make it a habit off swing trading stocks based off Catalysts?

Anyone really interested or experienced in swing trading catalysts?

From overreactions like the FB Cambridge analytica scandal 2018, Crowdstrike 2024 scandal, various Covid related fears, to the EU armament, recent memory shortage… there is always something to profit from.

Anyone making a habit of playing catalysts and overreactions? Have any interesting stories—ans what opportunities do you see today?

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u/Black_Swan_Down — 2 months ago

visa and Mastercard - a good entry in an overreaction or the beginning of the end of a duopoly?

Visa and Mastercard have been great investments for the last two decades. But now with European and other markets wanting to reducing their reliance, and new direct bank to bank payments appearing, is this the end of an era or another ”buy when others are fearful” moment?

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u/Black_Swan_Down — 3 months ago

Resource advice for creating packaging/labels? (Can in particular)

Anyone have any good tips for designing packages/labels? Me and a friend are launching a beverage drink and have a limited start up budget so we can’t spring for an agency, we tried fully generating it but it definitely needs a more manual touch and perhaps even expertise (could maybe hire a freelancer briefly, but otherwise looking to cut costs by rolling up our sleeves and doing it ourselves).

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u/Black_Swan_Down — 3 months ago

Best tools/resources for designing a package/label (for a can)

Hi so me and a buddy are finally launching our beverage (can) after a year of mulling over the ingredients and gathering our courage.

We’ve done some mockups for the design but we want something more go-to-market ready and professional.

We can’t spring for an agency just quiet yet so thinking either of using a tool/platform or perhaps even a freelancer if they aren’t too pricey.

Do you guys have any tips?

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u/Black_Swan_Down — 3 months ago

Resources or tools for creating package designs?

Hi So I am launching a new beverage (can) with a friend—it’s been a year of deliberating before we finalised the ingredients and mustered the courage to take the leap.

We’ve used a bit of AI to generate mockups for the design. But we want something more go-to-market ready and professional.

We don’t have the budget for an agency so thinking either using some tool/platform or maybe using a freelancer if it’s not too pricey.

Recommendations or thoughts?

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u/Black_Swan_Down — 3 months ago