Tag Archives: learn stock market

Money Making Candlestick

Money Making Candlestick Formations Candlestick Line   Candlestick Line Candlestick lines and charts — traditional Japanese charts whose individual lines look like candles, hence their name.  The candle- stick line is comprised of a real body and shadows.   See “Real body” and “shadow.”   Candlestick Formations Belt-hold line — there are bullish and bear- ish belt holds.  A bullish belt hold is a tall white

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RSI – Relative Strength Indicator

  RSI – Relative Strength Indicator Developed by J. Welles Wilder and introduced in his book, New Concepts in Technical Trading Systems, the Relative Strength Index (RSI) is an extremely popular momentum oscillator. The RSI compares the magnitude of a stock’s recent gains to the magnitude of its recent losses and turns that information into a number that ranges from 0 to 100. It

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Standard Deviations

In this example Microsoft is charted using 20 day Bollinger bands at 2 standard deviations. Contracting bands warn that the market is about to trend: the bands first converge into a narrow neck, followed by a sharp price movement. The first breakout is often a false move, preceding a strong trend in the opposite direction. A contracting range [C] is evident in June 1998:

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Primary Functions

Again, although Bollinger Bands can help generate buy and sell signals, they are not designed to determine the future direction of a security. The bands were designed to augment other analysis techniques and indicators. By themselves, Bollinger Bands serve two primary functions:   To identify periods of high and low volatility To identify periods when prices are at extreme, and possibly unsustainable, levels.  

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Three Bands Encompassing

Again, this indicator consists of three bands encompassing a security’s price action. Defaults are:   1. A simple moving average in the middle, usually 20 days for intermediate investing. 2. An upper band ( 20 day SMA plus 2 standard deviations) 3. A lower band (20 day SMA minus 2 standard deviations)   Standard deviation is a statistical term that provides a good indication of

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Bollinger Bands Rules

following are a few rules that serve as a good Beginning point.   1. Bollinger bands provide a relative definition of high and low. 2. That relative definition can be used to compare price action and indicator action to arrive at Rigorous buy and sell decisions. 3. Appropriate indicators can be derived from momentum, volume, sentiment, open interest, Inter-market data, etc. 4. Volatility and trend

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Index Eligibility For Trading

DETAILED CONTRACT SPECIFICATIONS FOR STOCK OPTIONS: Underlying : Individual Securities available for trading in the cash market. Exchange of Trading : National Stock Exchange of India Limited. Security Descriptor : N OPTSTK Style of Option : American. Strike Price Interval : As specified by the exchange. Contract Size : As specified by the exchange, Minimum value of Rs.2 lakh. Price Steps : Re. 0.05. Price

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Day trading Stock

Make Profit from Day trading Stocks Trading simply implies the practice of buying and selling financial instruments. It should be done on the same trading day. This is because all the positions are usually closed before closing of the market in the trading day. These traders who practice or participate in this type of trading are known as day traders are people who practice or

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STOCK MARKET ELECTION

ELECTION 2009 INDIA CARNIVAL AND STOCK MARKET INDIA CARNIVAL:  Election is like big carnival in India with entire population from all walks of life gets swayed by it. There are colors and flood of money flowing. Everything comes to stand still. School, colleges and offices close on voting day. In India election process is held in multiple phases. 2009 election will be one month extravaganza

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BSE india

BSE Or Bombay Stock Exchange Going for an investment in a stock market requires a good research and knowledge of the market. You should know how different sections of the stock market works. You should also have some idea about BSE, NSE, NASDAQ…etc and their roles in the stock market. You should never try to forecast what is going to happen in the stock market. So before

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