World Biz Info
The source of the best business, financial and legal news
web www.worldbizinfo.com
Business Informations

Success Trading: More Basic Terminology for New Traders


One important aspect of trading the markets is to understand how to feel it's overall pulse. In the stock market, this is measured by measuring the movements of selected stocks across various sectors to let us know how the market is doing in general. A gentleman by the name of Dow came up with this concept and today we still use his Dow Index for the purpose of measuring the market's pulse. There are also several others out there, but another popular index of mostly technical stocks is the NASDAQ.

Bull Market - This describes a market where the overall market is rising. Typically, this is measured by the NASDAQ and the Dow Indexes. Experts recommend that you only buy during Bull Markets because the odds are much more in your favor - this is true, but keep in mind there are plenty of stocks that plummet during Bull Markets too.

Bear Market - This describes a market where the overall market is dropping. As with Bull Markets, again we measured this by the NASDAQ and the Dow Indexes. Experts recommend that you only sell short during Bear Markets because the odds are much more in your favor - this is true, but keep in mind there are plenty of stocks that rise during Bear Markets too.

The important thing about using indexes to help your trading was mentioned earlier. During Bull Markets, you can expect 65% or more of all stocks to be rising - so if you look to buy during Bull Markets, the odds are very much in your favor. Of course, the opposite is true with the Bear Markets. Another characteristic of these two markets is that Bull Markets generally last 2-3 years, while Bear Markets last only 1-1 ˝ years. So it's a very good idea for new traders to get in the habit following the indexes early in their learning. This will give you a tremendous advantage.

Chuck Cox is a Technical Writer and Industrial Scientist by professional with a background in statistics. He has used mathematical and statistical methods to invest and trade in the stock, futures, and options markets. Chuck has owned various businesses and presently operates several websites. To investigate a new business idea, visit his website, http://www.earncashathometoday.com/trading-stocks.htm


MORE RESOURCES:

Stuff.co.nz

Evercore CEO invests big in investing
Reuters - 15 hours ago
N: Quote, Profile, Research, Stock Buzz), a boutique investment bank whose fortunes sag when merger activity slows, is making some big investments in money ...
Akamai cuts 7 percent of workforce Reuters
Volkswagen India to import comm vehicles in 2009 Reuters
VW sees China trade tough in H1 2009 - paper Reuters
all 1,911 news articles


For IRA Investors, a Stock-Market Alternative: High-Yielding Notes ...
MarketWatch - 14 hours ago
The IRA-Real Estate Investing Webinar is set for Nov. 20 from 4-5 pm MST. Individual questions will be answered. ...


Cake Financial Launches Investor Quick Check; Free Report Offers ...
MarketWatch - 20 hours ago
How do I compare to investing benchmarks? Can I do more with my investments? by providing the following information: -- What kind of investor am I? ...


Commodities: Future ETFs Worth Investing In
Seeking Alpha, NY - 1 hour ago
The fund will pursue its investment objective by investing in a portfolio of exchange-traded futures on the commodities comprising the index, ...


Top Performing Equity Manager Launches Mutual Fund
MarketWatch - 17 hours ago
Investing in The Oxford Global Total Return Fund involves certain risks, specifically management style risks, no history of mutual fund operations risks, ...


Income-Stock Opportunities, Perils of Index Investing: Financial ...
MarketWatch - 15 hours ago
COLUMBIA, MD, Nov 19, 2008 (MARKET WIRE via COMTEX) -- The much-touted index approach to investing doesn't work in today's risky markets, but high-dividend ...


Koppenhaver: Investing in community
Mt. Vernon-Lisbon Sun, IA - 13 hours ago
“I really see this entire place as an investment in the community,” she said. Koppenhaver’s business, Koppenhaver & Associates, moved into its new ...


Time for value investing as stocks turn bargain buys
TMCnet - 13 hours ago
Value investing to the fore Bear market bottom or not, one thing is abundantly clear. Whether things get worse or not, there is a lot value available in the ...


CalPERS Backs Away from Alternative Investing
CFO.com Magazine, NY - 5 hours ago
Like many institutions, the nation's biggest pension fund seems to see this as a time for "streamlining," a new report says. In the teeth of the financial ...


New York Times Blogs

Buffett and the Perils of Distressed Investing
New York Times Blogs, NY - 9 hours ago
In the Goldman investment, Mr. Buffett’s Berkshire Hathaway received perpetual preferred shares and warrants for common stock exercisable at $115 a share. ...

investing - Google News

home | site map
© 2006
web www.worldbizinfo.com