The Stock Market Game (1)

If you are already reading the best financial newspaper then the chances are you will not have a lot to gain from subscribing to a newsletter as well. It also underperformed the market in the past one quarter, declining 11.17% as against 17.27% rise in the Sensex. That way, the stocks are always being looked at, so if a certain stock either goes rapidly up or down, the group as a whole will be able to handle the situation appropriately.Stock Market

A stock market crash is often defined as a sharp dip in share prices of equities listed on the stock exchanges. Until 1987, most trading occurred via the telephone, but during the October 1987 stock market crash, market makers often didn’t answer their phones.

One should study the stock indices and how they have performed lately and even years in the past by considering the stock chart of the market. A particular pattern that is often seen in financial market analysis is known as the Cup and Handle This is when a stock starts off with a high price and then dips in cost and eventually returns to a higher price. Billions of dollars were lost, wiping out thousands of investors, and stock tickers ran hours behind because the machinery could not handle the tremendous volume of trading. It is widely used among traders looking for stock trades and deciding how to trade stocks.Stock MarketStock Market

Computer systems were upgraded in the stock exchanges to handle larger trading volumes in a more accurate and controlled manner. Most of the brokers just want to make a commission and is probably encouraging a stock his brokerage company wants to push. Money Flow Index – This process uses the amount of shares that were traded plus the cost of the stock. In one paper the authors draw an analogy with gambling.13 In normal times the market behaves like a game of roulette; the probabilities are known and largely independent of the investment decisions of the different players. The market analysts will also give their opinions on what moves you should make that day in the market. The day trader is a highly skilled individual who is knowledgeable in the market. There are, after all, lessons to be learned from every plummeting stock and every market crash.

If you plan to spend only one hour per day monitoring your investments, then your trading plan should reflect this time, whereas if you can devote 3-5 hours per day, you can trade slightly differently. However, despite buying several stocks that were profiting well, and doing a lot of research, we did not reach our goal, simply because the stock market is very unpredictable, even if the stocks you are investing in are relatively consistent.