Understanding Stock Market Terms

By Gilbert Stockton

The kind of jargon that is used by the stock market professional is often incomprehensible and very daunting to the newcomer in the field. But if you are getting into stock trading, it would a good time for you to start learning so that you don't get left behind. Understanding stock market terms is very important if you are to succeed at trading, but thankfully, it is not a very difficult task.

To begin with anyone that sells stock options is called a writer. Someone who then buys these stock options is called a taker. If the economy is doing well and a stock is considered to be a bull or bullish it is stock that is strong and may raise in value. If a stock is considered to be bearish then it may fall in value or stay the same.

Leverage refers to spending a small amount of money on an investment and getting a large return on your money. Buying stocks for margin means you can borrow money from a security or loan and then secure yourself from a fall in the value.

Stocks and shares are what companies put on the market for you to buy. On these stocks, the company gives you a dividend twice a year. Many people also choose to reinvest their dividends in stocks so that it can generate its own money at a pace faster than in the bank.

Stock market terms are multiplying with every passing day and you need to learn something new everyday to stay up to date on new developments. A knowledge of these terms and how they work is essential to succeeding on the stock market. You take some time understanding stock market terms, or you may end up making big mistakes and losing big money. So, in-depth knowledge is an integral part of investing wisely, making gains and getting rich. The rest won't happen unless you know your way around the market. So, take your time and inform yourself and before long, you will see the dividends of your efforts show up in your bank account.

Just do your homework and pay attention and you'll be speaking the lingo in no time. - 23204

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Learn How To Pick Penny Stocks. Can You tell What Are Penny Stocks?

How to Buy Penny Stocks

By Mark Boucher

Are you willing to gamble a little bit of disposable income to possibly earn a big return? If so, penny stocks might be an option for you to consider. While you should always use caution and not invest money you can't afford to lose, penny stocks offer you the opportunity to become involved in the trading world for an affordable amount.

What is a penny stock? It is simply a stock that is selling for less than five dollars for each share. These stocks are not traded on the major exchanges (AMEX, NASDAQ and NYSE), but rather over Pink Sheets (so called because of the original color of the paper used). This is often known as OTCBB, or Over the Counter Bulletin Board. This is simply an electronic system that reports changes. Be aware that it is regulated by the NASD, but is not considered a NASDAQ stock exchange.

Buying penny stocks is considered a high-risk investment, meaning that you may lose big. But this also means that you can earn extremely high returns in a short time. The risk and potential earnings are what keep people trading these stocks. Sometimes the return can be several hundred percent a day. Risks with these stocks are limited liquidity, the lack of financial reports and potential fraud.

When buying penny stocks, the lack of buyers may make it difficult to sell stocks. The lack of reporting and volatility of these stocks make it easy for brokers to manipulate as well. This is why fraud is so rampant for these trades. There is no regulatory listing requirement for these stocks either.

The news is not all dismal, though. Penny stocks are popular because of the huge returns some investors find. In order to get started in penny stocks, first find a brokerage who offers this type of service. Your stock shares will be drawn from your investment account through the brokerage. You set the amount you want to invest, and decide how much of your investment will go into the high risk stocks.

Having a broker is important for sound advice, just do your research to find the one best for you. Make sure you have someone reputable that wants to see you earn good returns. The best advice when investing money after making sure you can afford the investment is to spread your money over different types of stocks. If you like the gamble and want a high return, absolutely put some money in penny stocks. You are able to see the highest returns on these stocks, but risk higher losses. Make sure you keep some money in a safer market while you play the penny stock game. - 23204

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Buying Penny Stocks, 1000 Penny Stocks, Best Charts for Penny Stocks, Best Free Penny Stocks, Bot Software For Penny Stocks, Chinese Penny Stocks, Finding Penny Stocks, 1000 Penny Stocks, Free Daily Stock Picks information at pennystocks.theinfostop.info

The Truth About Forex Scams

By Jack Sawyer

What makes for Forex scams? A lot of people think that any Forex trading system, informational product or service which fails to make them rich beyond their wildest dreams overnight must necessarily be a scam. These are generally the same people who flee from get-rich-quick scheme to get rich quick scheme, constantly disappointed because they fail to get rich. These people are unwilling to spend ay kind of time or effort learning how to make a product or service work for them and they just accuse them of being Forex scams. There is no such thing as a system which will make you rich overnight. Think about it for a minute ? if there was such a thing, wouldn?t we all be using it already? This system would also not continue to work so well for long ? it?s a matter of elementary economics.

All that money has to come from somewhere. While the standard of living can be raised universally by technological developments and other innovations, all trading or any other economic activity where there is no value being produced is a zero-sum game. For one person to make money, someone else has to lose it.

It is true that in currency exchange, some of the bad prices are taken by people or institutions who either do not know or do not care. Businesses who import or export goods rarely bother to try to schedule their payments for a moment when the currency rates are favorable. People taking a vacation overseas are the same. Nevertheless, there are so many people and institutions in the 'pure' forex market these days that it is simply not possible for everybody to make money from forex trading.

The next time you?re reading through a web forum on the topic of Forex and you?re trying to decide whether or not the negatives you?re reading about a given product or service mean that it is one of the Forex scams, you should think about how things work in the ?real? (offline) world.

Suppose you go to the bookstore and pick up a book on Forex trading. You find that the techniques given in the book do not work out in your case. It can be that the information here is out of date, or there could be any number of other reasons why this book didn?t give you the results you had hoped for. You may have learned a little and simply decided that this book wasn?t the answer for you ? you wouldn?t storm into the bookstore and accuse them of being a scam.

However, if this same bookstore was urging people to pre-order a new book which they were hyping up and you were to show up on the day of sale to find the bookstore had closed up and the owners skipped town; now that would be a scam.

A scam is a fraudulent business operation which is made to swindle would-be customers. These activities are illegal and not offered in good faith. However, any product or service which is indeed created with legitimate business intent is by definition not a scam.

With the word ?scam? being thrown around so often, it can be hard to know what products are legitimate and which are not ? this makes people, already a little hesitant of buying online even more nervous. In many cases, products are accused of being scams simply because they didn?t work the way a customer expected. You may take their advice and not want to buy these products; after all, not every legitimate product is a winner ? but it would be wrong to call these products or services Forex scams. - 23204

About the Author:

About the author: Jack Sawyer has some great suggestions on finding the best Forex Software. For more information on Forex Trading Online go to http://www.forex-product-review.com.

Semi Automatic Forex Engine Review

By Brian Bodine

Have you heard of the automated trading robot called Semi Automatic Forex Engine software? Initially I had suspected that it might be another scam after seeing all the amazing claims that its owner makes about the software. It is supposed to be able to make money automatically using a set of parameters that has been programmed into it by its makers.

1. How Much Money Can the Semi Automatic Forex Engine Robot Make For You?

I am sure that you have looked at all the results made by the beta testers and users of this software and you are wondering whether you can generate similar results. The truth is that even though the software can perform very well in the past, it does not indicate how it will behave in future.

The advantage that Semi Automatic Forex Engine has is that it has been optimized to pick only trades that have a very high probability of success, making it much more reliable than other Forex robots on the market.

2. Do Automated Forex Trading Robots Really Work?

The concept of making money automatically really does sound too good to be true and are more likely scams. Luckily, I have discovered for myself that Forex automated robots are not scams. By testing various software, I have been able to identify the best forming ones and am using them to generate an automated full time income for myself today.

3. Why Should You Use the Semi Automatic Forex Engine Software?

If you want to profit from the currencies market but you don't want to have to sit in front of the PC every day, I would highly recommend you to download Semi Automatic Forex Engine. It is able to analyze the charts and trade for me, freeing up a lot of my time while making an income for me at the same time. - 23204

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For information on a way to do Automated Forex trading follow the links. We have

Make Pips With Forex News

By Hass67

Forex markets are open 24/5 except on the weekends. You can see continuous price action all day in the currency markets. More than 90% of forex traders are speculators.

Forex markets have the tendency to react violently to the release of economic and socio political news. You cant predict when important sociopolitical event will be breaking news.

But economic news release like NFP figures every month, the housing sales number, FOMC meeting etc all are known before time. Just Google Fundamental News and you will see lots of websites that provide this service.

One these websites, you will find the day and time when a major economic announcement is expected. Non Form Payroll (NFP) figures have recently become very important for USD.

Non Farm Payroll (NFP) figures are released regularly at 8:30 AM EST on the first Friday of every month. EUR/USD and other USD pairs become very jittery just before the release of these figures. EUR/USD can sometimes shoot up by 50-150 pips in 5-10 minutes just after the release of these figures.

Markets will mostly stabilize within a few hours after the release of fundamental news unless it is of such a fundamental nature to form a new trend in the market.

Forex news trading is ideal for those traders who like a lot of action within few minutes. Here is one strategy that you can use.

Enter both buy and sell orders on for example EUR/USD at 10 pips above and below the price of EUR/USD just five minutes before the announcement of NFP figures.

Place stop loss of 10 pips for both the orders. Place take profit of 40 pips on both orders. When the NFP figures are announced, EUR/USD will either shoot up or down.

If it goes up by 10 pips, buy order will be triggered. Lets say, EUR/USD jumps by 60 pips. Your position will be automatically closed at 50 pips. You made 40 pips. Isnt it enough for a few minutes of work?

Suppose EUR/USD shoots down. Your sell order will be triggered and you will still make 40 pips. Sometimes the markets have a tendency to whipsaw so be careful. Practice this strategy on your demo account first ten times before going live. - 23204

About the Author:

Mr. Ahmad Hassam has done Masters from Harvard University. He is interested in day trading; stocks and forex. Download Forex Scalping Cheat Sheets. Discover The Best Forex Signal Service! Read about Trend Forex System.