Everyone knows that when the stock prices goes up this is the best time to invest and make money. But can you make money when the stock prices go down. Well, you can with short selling. Many people have difficulty understanding short selling. So what is short selling. In essence, when you expect the price of a certain stock to go down, you borrow it from your brokers and sell it in the market. Later on you buy it back and return the stock to your broker. Since the stock price was lower when you bought it back as compared to when you sold it, you made a capital gain. This is in nutshell what is short selling.
A Shockingly Simple Momentum Indicator For Stock Trading
March 9, 2010 By
Bullish Necklines, the Bearish Meeting Lines and the bearish Piercing Line Candlestick Patterns
March 6, 2010 By
Trend trading is one of the most profitable trading strategies. You must have heard the oft repeated quote that Trend is your friend. But trend can only be your friend if you know how it is going to behave in the future. If you don’t know that the trend is going to reverse soon, you are going to end up with a heavy loss. Candlestick charting is one of the ways to predict the future of a trend whether it is going to reverse itself in the near future or continue for sometime. Bullish Necklines is a candlestick pattern that can help you know whether the trend is continuing or not. It is a trend confirmation pattern. There are types of Necklines Patterns; one is the In Neck and the other is the Out Neck Pattern.
What Are Trend Following Indicators?
February 26, 2010 By
ETF Basics
March 26, 2009 By
It has been consistently demonstrated that your investment returns aren’t so much a function of what stocks your invested in, but what sectors/asset classes your invested in. In the dot com boom, it didn’t matter what dot com stock you invested in, if you were invested in dot com companies, you probably did alright. During the dot com bust, it wasn’t just a couple select companies that went down, it was just about all of them. Because of this tendency for similar stocks to move together, it is much more productive to be able to simply buy ” or short – a type of stock, then try and nail the exact right company. But how can you gain exposure to a sector without taking unnecessary risk based on the company?
