Advanced Trading of Stocks

The stock market always bounces back after a low and falls after a high - right?

Volatility in the stock market has changed the risk associated with investing in stocks.

Is buy and hold stock investing dead? No, but stock investors must understand the danger of stock market volatility.

Following the herd may seem safe, but it can sometimes lead you to the edge of a cliff. Think for yourself and be a contrarian.

What should long-term investors do about sluggish markets? It depends on time frame.

Hedge funds seek to make money for investors in any market or economy.

Hedge funds offer high-risk investments for sophisticated (rich) investors. Most individual stock investors do not qualify.

High frequency trading initiated and managed by super-fast computers puts individual investors at a disadvantage.

Are mergers good for stockholders? There is no one answer. Stockholders need to evaluate each deal.

Gold is an historic haven in times of economic stress, but you should use caution before buying the precious metal.

The stock market is all about numbers, but you would be wise to put them in context before making a decision.

Value investors often protect themselves from miscalculation with a margin of error.

A buy case is a simple explanation of why you believe this stock would be a good addition to your portfolio. It includes research to back up your conclusion.

Something always fuels a stock market bubble. Spot the fuel and you may have an idea when to expect a pop.

Taking extra risks to boost stock investing performance is not a good idea.

Investing carries a level of risk, but stock investors can control the amount of risk.

Investors should be concerned with the consequences of risk. Sometimes, it is more risky to not invest.

Level II quotes provide stock traders and investors with information on prices and price trends.

Recessions are brutal for most stocks. Investors have few good choices.

The stock market's price for an asset is always right because it represents what a willing buyer and willing seller agree upon.

Naked short selling is a risky trading strategy that profits when a stock's share price falls. Leverage creates the opportunities for big gains and the risk of big losses.

Consider shifting money out of bonds and into stocks if you are concerned about the effect of inflation on your portfolio.

The risk premium investors expect from stocks may need adjusting during turbulent market conditions.

Trying to time the bottom of the stock market is a losing game. The better strategy is to stay invested and catch the upturn profits when they happen.

Picking great stocks for long-term investments is about picking great companies that will continue to be great.

Emotions play an influential role in investing success. Watch them closely or they'll derail your investing strategy.

The stock market rotates through predictable cycles. Some of the cycles can be difficult on investors, but they also create bargains.

If you can avoid it, don't sell during when the market is down. You'll get a bad price and generate extra trading expenses.

When a trouble economy has investors dumping stocks, don't follow the herd over a cliff.

Foreign stocks, including Chinese companies, are becoming increasingly available through listings on U.S. exchanges.

The stock market's PE is helpful in understanding the significance of major declines and advances.

If you think things are different this time, you are kidding yourself. The basic forces that drive the stock market remain the same.

When everyone is buying stocks, it may be a sign that the market is over-bought and about to correct itself.

Four times a year, four speculative derivatives expire on the same Friday and the chaos of traders covering their positions can make the market crazy.

The stock market is driven by obvious forces of supply and demand. You can watch those forces drive the market and see which where the market is headed.

Utility stocks are good candidates for investors who want current income and a place to ride out a shaky economy.

Just because a stock moves up or down doesn't mean it is fixed on that course forever.

Is there such a thing as a "good" deficit for stock investors or are all deficits bad because they raise interest rates?

In most cases, you are better off not trying to time the down turns and recoveries of the stock market.

In an up or down market it is easy for your portfolio to get out of balance. Watch out for these danger signs and take steps to correct the imbalance.

Mega-cap stocks may provide you a measure of stability when inflation and interest rates start going up.

It makes good sense to look at the list of stocks closing at their 52-week high for investing ideas.

Don't fall for the trap that it is never good to buy an "over-priced" stock, when a "cheaper" stock is available.

Stock screens are handy tools, but they can be misused and misrepresented if you're not careful.

When the market is depressed you might consider a shopping spree for discounted stocks.

Averaging down is a way to lower the average cost of a stock holding. It can also be a way to throw good money after bad.

Apple, Google, and Microsoft share a distinction of having the "next big thing."

You can't know the future, but stock prices are based in large part on the anticipation of future earnings. This is where earnings estimates come in handy.

Expenses, including broker fees and taxes, will eat up big chunks of your profits from investing in stocks.

Investing in companies that dominate their industry is a good, long-term stock investment strategy.

Margin trading is a way to magnify your buying power by borrowing money from your broker for up to 50% of a stock purchase.

What corporate insiders do with their shares can help you become a better investor if you know what to look for.

Real Estate Investment Trusts (REITs) are a special form of security that allows individuals to invest in large commercial real estate projects with the ease of buying stock.

Selling short involves selling stock you don't own that you believe is about to drop in price. If you are right, there are good profits, however, your loses can be staggering if wrong.

Options provide another way to profit from movement in the stock market, but they are not for beginning investors.

Small cap stocks offer the potential for rapid growth, but come with a high degree of risk.

Trading stock options is not for beginners, but it can enhance your investing.

The U.S. dollar is near all-time record lows against major foreign currencies - what does this mean for investors and consumers?

IPOs or initial public offerings are how companies offer stock for sale to the public the first time. Often the subject of wild speculation and excitement, IPOs can be a very profitable buy or a disaster.

Stock warrants give the holder the right to buy shares of a stock at a fixed price during a fixed period. They are very similar to stock options.

Continued and growing demand for energy will keep oil companies' profits high.

IPOs are very sexy, however they often fail to live up to their press.

What impact on a company's stock price does the departure of a strong leader have? Investors must assess change.

Volatile markets make good headlines, but a rational investor sees beyond the clamor.

Changes in the global economy can impact U.S. investors. Here's how to protect yourself.

Jumping on early trading of an IPO can lead to disappointment if the initial price bubble bursts.

You should use some form of limit orders when buying or selling stock. These will give you some control over the price you pay or receive when the order is executed.

Market orders are OK in an emergency and when the price is stable, but be careful using them when the market is volatile.

Don't be caught with no plan when the stock market goes crazy (and it will). If you have a plan for your investments, you will know what to do.

Moving averages can help investors spot trends by reducing the noise of daily trading.

Exchange traded funds are a popular alternative to index mutual funds, but have some draw backs.

Exchange traded funds give investors in the stock market another tool to cover all or parts of the stock and bond markets.

Exchange traded funds provide investors in the stock market with another tool for profits.

Investors in the stock market should consider all the investment tools available to them, including closed end funds and unit investment trusts.