123ArticleOnline Logo
Welcome to 123ArticleOnline.com!
ALL >> Stock-Market-Future-Market-Commodity-Market >> View Article

Be Aware Of How The Trading Process Works

Profile Picture
By Author: Anthony Green
Total Articles: 36
Comment this article
Facebook ShareTwitter ShareGoogle+ ShareTwitter Share

Educating yourself about investing is an ongoing process. If you're a new investor or need a review of trading procedures, pick up a book like The Buffet Report, The Way To Wealth and The Magic Story to Understanding Money and Investing, take a trip to stock market on the Web at http://www.2stocktrading.com.

Stay on Track with Your Investment Strategy

When you're considering a stock, first see if the company meets your investment objectives. If you haven't formulated an investment strategy yet, now is a good time to start. Begin by determining your goals and your time horizon, then choose the investments that will best meet them.

Weigh the Risk . . . Before You Click

Before you place a market order for a volatile stock, ask yourself how much you could afford to lose in the event of sweeping price fluctuations. Don't risk spending more than you can afford.

Why Watch Market Indicators?

A common and effective way to gain perspective on stock price fluctuations is to compare the movement of your stocks to that of indices or market indicators. ...
... About 100 years ago, as the number of individual stocks grew, the need to measure how the stock market trading performed became obvious. In 1896 The Dow Jones Company took groups of stocks and averaged their prices to create the first indices, the Dow Jones Averages. They created four different indices: one for industrial companies, one for utilities, one for transportation companies and a composite that included the three other indices.

Calculation method aside, all indices measure the performance of the stock market or some subsection of it on a continuing basis throughout each trading day. By tracking an index, or a variety of indices, investors can quickly gauge market trends that may impact investment decisions.

What is the point of following the indices when what you care about is your own stock portfolio performance?

Indices often reflect trends in the market and in the economy. Watching overall market performance can be the key to making smart decisions about your individual investments.

For example:

1. Indices can function as benchmarks to compare the performance of the stocks you own against the market in general.

2. Comparing today's market movement with similar market movements from the past may help you become aware of trends, and the best times to buy or sell.

Total Views: 433Word Count: 407See All articles From Author

Add Comment

Stock Market/Future Market/Commodity Market Articles

1. Greylabelfx: Your Partner In Premium Grey Label Trading Platforms Met5
Author: Pari Patil

2. Erp Software Is The Best Erp Solution For Indian Manufacturers
Author: sumanth

3. How Do Currencies Affect The Metal Market?
Author: Meta Market

4. The Impact Of Paxful Clone Script On The Defi Ecosystem
Author: AnAinfo

5. The Most Effective Way To Reach Coinbase For Urgent Issues
Author: Mathrobin

6. Why Every Crypto User Should Save A Trusted Crypto Support Number
Author: Mathrobin

7. Waaree Energies Unlisted Share: Strategic Expansion And Upcoming Ipo
Author: Deevay Rattan

8. How To Choose The Right Broker And Open A Free Demat Account
Author: Stock Broker in India

9. Tiktok Editing Services To Help You Go Viral: What You Need To Know
Author: Trending Bizzs

10. Top 5 Tools Every Short Form Video Editor Should Use
Author: Trending Bizzs

11. Emerging Strategies For The Future Of Digital Marketing
Author: Omitechno

12. Revolutionizing Enterprise Finance With Custom Ton Wallet Solutions
Author: oliverethanrobin

13. Using Technical Analysis And Stock Charts: A Beginner's Guide
Author: Neha Jain

14. A Complete Guide To Online Cfd Trading Understanding
Author: Spectra Global

15. How To Invest In The Stock Market: A Detailed Guide
Author: Abhishekh Bhandare

Login To Account
Login Email:
Password:
Forgot Password?
New User?
Sign Up Newsletter
Email Address: