Stocks
Stocks questions and answers
Learn about abercrombie and fitch at the number one young investor website Teen Analyst.
Q: What are stocks and bonds? How can you tell which stocks are best? And where do you get them?
Also, what is better, stocks or bonds, and are they wise things to invest in? How can you tell what stocks are good?
A: A great resource of specific financial definitions, and encyclopedia-type explanations, is Investopedia.com
http://www.investopedia.com/
Go to your local library and walk down the row upon row of books on these subjects. One beginner's book on investing will answer all of these questions in detail. If you have problems or don't understand, then ask a question. You've asked a question "How do I build a house?" Way too broad and general. You do the work first, then we help.
Try to determine your time horizon. Short-term, long-term?
Take a look at charting and Technical Analysis for following trends in the markets. Why would you own a stock that is in an obvious decline?
Realize right away there are two sides to the market, not just the upside. What goes up, eventually comes down at least part way.
Learn how to analyze risk, and make this your primary approach, not by compounding profits and erroneously analyzing how much money you can make. For example, most traders don't make any money at all; more than 80% blow out.
Learn about money management techniques, and maybe you'll stick around awhile.
Try to find these books:
They say "Buy and Hold" for the long term is better, but that depends on when you get in, and what your definition of "long term" is. The phrase "Buy low and sell high" infers that you buy after a decline; but how much of a decline? If you had bought after a 1000 pt decline in the Dow in 2000, you would still be waiting to get back to even, six years later in most stocks.
How to start trading online:
http://www.bernanke.cn/stock-trade/......
http://www.stock-trading.jims-info.com/....
http://money.howstuffworks.com/.........
http://www.investopedia.com/
http://sharebuilder.com/
stockcharts.com
Beginner’s Books on Investing
"Which Is Better, Buy-and-Hold or Market Timing?"
"Do You Have What It Takes to Be a Market Timer
The Beginner's Bible in Technical Analysis is:
Edwards & McGee"Tech. Anal. Of Stock Trends"
Droke, ClifTechnical Analysis Simplified
Kahn, Michael N.Tech. Anal. Plain & Simple
Kamich, Bruce M.How Technical Analysis Works
Lefevre, EdwinReminiscences of a Stock Operator
Q: What are the best stocks to trade options in?
I'm looking for stock option ideas. My criteria: good underlying stock that is undervalued, good stock and option volume, and stocks that are in a favored sector right now. I already have CSCO call options and expect them to go up this fall. Thanks for your ideas!
A: Options on index ETFs.
During neutral trends (as now), it's very difficult, even for the best stocks to go up.
Besides you need to know the market trend before getting into individual stocks or options.
Q: What are the risk of issuing stocks in a business?
I am thinking about staring a business, and issuing stock. What are the risks of stocks and bonds in this business?
A: The issue is control of the business. As long as you own over 50% of the stock, you are in control. However, minority shareholders rights cannot be completly disregarded. You should get some advice on a number of issues from your CPA & your Attorney.
Q: How can I find out which stocks are the lowest price?
Looking through the stock pages and online you cannot sort them from lowest price to highest. I want to see the lowest price stocks. How can I do that?
A: The lowest price stocks (many because they are the worst investments you can make, imo) are stocks listed on the pink sheets. Many are priced as low as 1/10th of one cent.
Q: What happens to the stocks I own if the broker closes?
With the way things are sounding across various stock broker services, I am loosing confidence in my broker. I have several stocks with a particular broker. I f they close down what happens to the stocks I own? How do I regain or at least get to those stocks?
A: The best option would be to transfer your money prior to the broker closing. However, here is a possible safeguard for you. Most smaller brokers are "introducing brokers" only. That means they work directly with you, but all trades are actually handled by a "clearing broker" The clearing broker also usually holds your assets. There are several large and independent "clearing brokers" in this country and their sole purpose is to provide back room services and hold assets for small brokers. These services are very regulated and costly for mst small brokers to offer out of their own office.
You can also go out to the NASD website and perform a search on your broker to see if he is in good standing with the profession.
Q: What are some good stocks to invest in with 100,000 dollars in a 3 month period?
I am going to be investing money and I need some suggestions on stocks that will get me the most money by the end of november.
There is no limit to the amount of risk, this is for a simulation
A: 3 months is far too short of a period to make a significant bet on what stock will do the best. I agree with the previous answer of CD's as your best bet if you are looking for something in 3 months. I would have at least a 9-12 month timeframe before I'd try any stocks.
Q: What is the best way to make money on the stocks & shares market?
This may have been asked before but I have recently started on the stock market and am making about 4% a week on an investment of £1300. I have though made some initial mistakes and COULD have made about 8%. I basically see the stock market in two ways:
Either you chase hot stocks with a 3 day turnover? I reckon you could get 5-8% every 3 days.
Or find a company and invest for the long term (12 months) in which some companies (Jsainsbury) has increased 78% over this time and buy when they have either good or bad news.
A: Find a good company, and hold its stock for years. Don't hesitate to sell it if it starts to go bad.
Q: What determines if stocks are going up and down instantly?
Since stocks are changing instantly all the time, does that literally mean that the companies computers all over the country are reporting sales?
Like if everybody goes out and buys jeans at Abercrombie & Fitch at 11 AM this morning, the stock will shoot up?
Can somebody explain it to me, what makes the stocks go up and down instantly?
A: what causes stocks to go up is if more people want to buy a stock then more people wanting to sell it. And for a stock to go down, it's more people wanting to sell it then people wanting to buy it. Other things that affect stocks are company reports on how well or poorly it's doing for the quarter, other company's in the same field as the company, stock analysts recommendations, computer trading programs, etc.
Q: What are some good Penny Stocks to invest in?
What are some good penny stocks ($0.2 to $1) to invest in this harsh economic times? I'm more looking towards Green Stocks that are devoted towards Clean Energy, and stocks that are like to benefit from the Stimulus Package. I know CAT will benefit, but its just to expensive for my low budget. I'm also looking towards a stock that will make quick profit (1 to 3 months).
My goal is to buy a new aluminum macbook and it's just too expensive.
also explain why to invest in it and why you thing it'll make quick profit
A: I don't like penny stocks. If the company goes bust, you lose you're entire investment.
These were a few I found. The share price movement on the charts looks good. Just don't put all your money into one of them. That would be too risky.
Pharmaceuticals & Biotech
ANPI
AVRX
Information Technology
SIRF
WSTM
Q: What is responsible for the price of stock changing ? How often do most stocks change prices?
What is about the average amount of time a stocks price can change ?
And what makes these changes in price occur?
In understanding price changes, does the company send a message to whatever stock exchanges it is indexed on and tell them what price they want their stock to be listed at?
A: When the price of a stock is going up that means that more people are buying than selling. If the price of a stock is going down that means that more people are selling than buying. What causes a stock to move is the amount of poeple who are trying to buy that stock. Typically large movements are triggered by events that happen within the company.
If you know that a company is planning to make a modificaiton and it hasnt been released yet to the media. If you buy in before the media releases you will be more gain.
You dont want to by stocks that are moving down. DOnt guess at the bottom. Buy stocks that are starting to move upward.
Q: What is the best site for charting stocks and funds?
I am familiar with Yahoo Finance's charting features as well as SmartMoney's MarketMap. I am looking for the best site that will help me quickly chart the performance of my portfolio (stocks, ETFs and mutual funds) and allow me to quickly switch from daily view to weekly to monthly to YTD and so on.
Also, I would like to be able to monitor a large number of stocks that are not in my portfolio currently.
Any suggestions?
A: I use a combination of StockCharts.com, Schwab, Yahoo Finance, Raging Bull, Investor Village, and Kitco. nm
Q: What are ways to buy and sell stocks without having a minimum investment amount?
I am new to the investing in stocks game, but I wanted to know which if an website or ways are there to invest in stocks without a mimimum investment amount? I know most companies like ETrade and Fidelity require a minimum amount.
A: its according to the price of the stocks in which to invest.
huge investment gives high profit and less investment gives less profit .
Q: What is the best way to research stocks for day trading? Finding stocks under pressure, to watch the next day?
I am new to day trading and my "mentor" has failed to train me on preparing for the following day and spotting stocks under pressure. Can anyone give me some advice, it would be greatly appreciated.
A: Pick one stock in each sector and follow them daily. Chasing the news is not a good way to trade. You need to understand the companies and the value of the news.
Q: How does a novice start investing in stocks?
Is there a minimum amount of money you should start with? Is it better to research everything yourself and trade online or talk to an investment firm and buy stocks that way? Just looking for tips on how to break into buying and selling stocks.
A: Be careful with stocks you can get hurt. Join a stock trading club in your area. Or you can get books on trading stocks and learn that way.
Q: How do you begin to invest in stocks? Do you need a special bank acct to get started or something?
Just wondering what it takes to get started investing in Stocks. Is the money being transferred in and out of a bank acct or something. I don't know anything about stocks so I am just wanting to check it out.
A: Before you invest a cent, read up everything you can. Investopedia has a good tutorial on stock investing for beginners at http://www.investopedia.com/university/buildingblocks.asp.
It also has a stock simulator, so you can get a feel for stock trading without committing any real money at http://simulator.investopedia.com/
Once you feel ready to invest for real you will need an account at a brokerage, which you can link to your bank account to transfer funds between the two.