He followed 22 things - I gave him 5!
Published September 20, 2023
13:08
What Data Points Should You Actually Follow as an Investor?
If you're a subscriber to a paid community or a member following market data on WhatsApp, emails, or any other platform, you've probably been bombarded with a ton of information. But here's the thing — not all of that data is meant for you. In fact, following the wrong data points might actually be hurting your investment decisions.
Let me break this down into three clear categories so you know exactly what to focus on, what to ignore, and what might be worth a second look.
The Three Tiers of Market Data
Tier One: The Daily Noise (Traders' Territory)
This is the data that fills your screen every single day if you're following the right channels. We're talking about:
- Daily trading data — the minute-by-minute, seconds-level price action
- Open interest numbers — especially for futures and options (MTS, MFs)
- Currency in circulation — daily money supply numbers
- Forex forecasts and dollar outlooks — daily, hourly, whatever the prediction is
- Settlement data and future open interest — the technical details of how contracts are settling
Here's the honest truth: none of this matters to you as an investor. This is the daily minutes-and-seconds game. It's for active traders, not for people building long-term wealth.
If you're following this data daily, you'll get caught up in the noise. You'll stress about tiny price movements that have zero impact on your long-term returns. And worst of all, you'll be tempted to make impulsive decisions based on short-term fluctuations.
Tier Two: The Trend Indicators (Businesspeople's Focus)
This category sits somewhere in the middle. It includes things like:
- Commodity prices — but only when you're looking at trends, not daily blips
- Sector-specific data — like forex sites, sector follows, and company news
- Market news — sector news, company-specific news, general market sentiment
For businesspeople who are investing in their own companies or making strategic decisions, this data matters. But here's the key distinction: trading the dollar doesn't make any difference unless it's a trend.
If you're making investment decisions based on daily dollar movements, you're going to drive yourself crazy. But if you're watching the broader trend over weeks or months, that's a completely different game.
Tier Three: The Investor's Essentials
This is where you should be spending your time. As an investor, your focus should be on:
- Monthly sectoral releases
- Company-specific information
- Long-term structural trends
Let me give you a concrete example: the fertilizer sector. There's a monthly sectoral release for the fertilizer industry that you absolutely need to follow. This tells you exactly how your companies are performing month over month. It gives you real, material information about the business fundamentals.
When you have this kind of information, you know exactly what's happening with your company. It's not about the daily price action — it's about understanding the underlying business.
Why Following the Wrong Data Hurts You
Here's the problem I see all the time: investors following trader data. They're watching open interest, daily rates, and settlement figures as if these numbers mean something for their long-term positions.
They don't.
When you follow the first category of data (the daily trading noise), you're essentially trying to play a game that isn't yours. You don't have the tools, the speed, or the temperament for it. And you'll end up making decisions based on information that has nothing to do with the actual value of the companies you've invested in.
The second category — trend-based data — is fine if you're following it on a trend basis. But if you're looking at daily numbers and trying to divine meaning from them, you're back to square one.
The third category is where your power lies as an investor. Company information, monthly releases, annual results — this is the data that actually moves markets over the long term.
My Message to Every Investor
Look, I'm not here to tell you what to do with your money. But I am here to tell you this: stop following data that doesn't apply to your investment style.
If you're a businessman, track business trends. If you're an investor, focus on company fundamentals and sectoral releases. If you're a trader, well, you probably know what you're doing with all that daily data.
Me? I'm launching an InvestKars membership community for people who want to get this right. If you're interested, check out the intro video and leave a comment. We're going to dig deep into the data that actually matters.
The Bottom Line
Your investment returns don't depend on how many WhatsApp messages you get with daily market updates. They depend on understanding the businesses you're invested in, following the right sectoral data, and having the confidence to hold your positions through the noise.
So ask yourself: which category are you following right now? And more importantly — should you be?
The market will always have noise. Your job is to find the signal.

