When positive news comes out about a company that drives its stock price higher, traders and investors may begin looking for other similar stocks they can buy at a cheaper price. This chapter discusses issues related to trading the news, and provides examples of how various types of news releases impact the market or individual stocks. When trading the news, there are two overriding factors that go into decision making: the overall condition of the market; and the historical context of the news. Breaking news events include news stories (old news, spin‐off trend, news related to insider trading, absurdly cheap news, earnings guidance), potential news (traders gambling on what a company will do post‐earnings report). Traders should also consider the risk exposure from unexpected news events, and not overexpose themselves with too many earnings plays at once.