Need advice

Today I read a news about sunpharma that /sun-pharma-recalls-3-8-lakh-cartons-of-osteoporosis-drug-in-us.

http://economictimes.indiatimes.com...eoporosis-drug-in-us/articleshow/51347031.cms

As soon as the market opened, I sold the stock and to my surprise it went up. Was I wrong to do that or what should I do in these type of situtations?

News influence the market sentiments to a great extent, but information itself never acts as a key factor towards driving the trend.

When you decided for a sell you quantified the information as a sell signal; however market DON'T work like that it's a level different entirely; the channel drive for any given stock is influenced by the companies goodwill, previous performances, brand loyalty, sector performance and lot more to the extent of collective economy (index) itself.

My recommendation to you would be to have patience and wait for the market to commit to you with a turn signal before you commit to it

Vagar,

You are lucky that you escaped the bad news and did not incur a loss. What if the stock had tanked 5-7-10%? In that case, you would have thought that you made a good decision.

Best is to avoid taking position or exiting stocks in the news... Volatility can kill the account of a trader. It's better to err on the side of caution in my view....