Stock Market Information
Helps in understanding the stock market!
Stock market information can be found in a variety of forms and include stock market abbreviations, stock market articles, stock market data, stock market graphs, and much more.
Stock Market HistoryStock market history is extensive and colorful as it includes the birth of the New York Stock Exchange (NYSE), stock market crashes, the development of regulatory bodies to reduce illegal behavior and the effect of communications advances on the manner in which stocks are traded.
One important point that one learns from the history of the stock market is that, despite major reverses, stock prices have always recovered to beat the previous market highs - but sometimes it doesn't pay to hold your breath.
Find out why by following the link stock market history.
Stock Market Trends
It is important for the value investor to be able to identify stock market trends as these provide a context for the current state of the stock market.
For example, in a 'bull' market, most stocks are going up in line with the trend at the time. You could almost close your eyes and throw a dart at the list of stocks in a newspaper and pick a winner - but I don't advise it!
In bull markets, investors have a tendency to over-estimate their stock-picking ability.
As Warren Buffett has remarked: An incoming tide raises all boats!
But if the stock market trend changes to a 'bear' market, and investors don't change with it, thousands of dollars can disappear from 401K, IRA's, superannuation and stock accounts!
This illustrates the importance of following the overall market trend. Knowing what the overall market is doing is important stock market information. It is the key to preserving your capital in all markets.
Disappearing Companies
Another piece of important stock market information is that companies tend to disappear over time. Delisted stocks include those that have been removed from, or no longer quoted on a stock exchange list of stocks.
Stocks are delisted for a number of reasons. Companies may go broke, companies may merge, or a company may be taken over by another.
Company failures, merger and acquisition activity and take-overs are an ongoing fact of life in the stock market. In 20 years time the majority of current companies will no longer be with us. This is sometimes referred to as creative destruction!
The implication of this is that if value investors are considering a buy-and-hold policy, then they should be aware that their portfolio will most likely undergo change whether they like it or not.
Virtually all stocks become overvalued in a bull market, so value investors with buy-and-hold policies should be sufficiently attuned to the evolutionary nature of the stock market.
Stock Market Symbols
A stock can be identified by a stock symbol. US stock markets use four letters to identify a company. The symbol for Yahoo, for example, is YHOO. So typing YHOO into any typical stock market quote research tool will allow you to find out all the information about the Yahoo stock price.
In other countries, symbols may contain less letters. For example, in Australia, three letters are used. The symbol for the mining company BHP Billiton is (would you believe) BHP.
The symbol is also useful for placing orders with brokers and finding out information about a particular stock.
To find the ticker symbols for a particular stock, type in the name of the company on most financial websites like Market Watch and Yahoo Finance, on online brokers websites or on the stock exchange in the country where the company is registered.
Stock Ticker
A stock ticker is a device that allows stock market information to be downloaded onto the investor's computer and displayed in a variety of ways.
Stock tickers used to be mechanical devices like teletypes that relayed stock market ticker symbols together with the up-to-date stock price into stockbrokers' offices.
They used to make a chattering noise or ticker, and hence the name. But these days, stock tickers have lost their ticker. That's the price you pay for progress!
Free stock tickers are now available on the web. Follow the link stock ticker to get more information.
Stock Market Manipulation
Stock market manipulation creates stock market misinformation rather than stock market information.
It refers to illegal activity that seeks to artificially distort stock market prices or stock market activity.
This manipulation of the market can be achieved in a variety of ways with the general aim to maximize profits of the individuals who engage in it.
Further information on the types of illegal activities can be obtained by following the link stock market manipulation.
To ConcludeStock market information, including trends can provide important indicators for value investing that are ignored at our peril.
Value investors are best able to react to these stock market trends because we are in a position to identify undervalued and overvalued companies and take the appropriate action, whether it be buying or selling.
Related Articles
Stock market history - provides an important point about the resilience of the stock market over centuries.
Delisted stocks - may provide an opportunity to crystallize a capital loss.
Stock tickers - make it easy to follow the quotes on your favorite stocks.
Stock market manipulation - is an aspect of stock investing that all investors should be aware of.
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