
The Simple Moving Average or SMA for short. The first “tool” to identify a trend is what is called a Moving Average. (MA for short) or (SMA for Simple Moving Average) Luckily for us that is not so hard. The Moving Average is basically...
In this section we will deal with indicators. Indicators are basically instruments used by traders to signal when to buy and when to sell equity, stocks in this case. It doesn’t get more complicated than that. There are hundreds of indicators around in the...
The Return on Investment (ROI) in stock market trading is the profit you make on the sale of a security or other asset divided by the amount of your investment. ROI is expressed as an as an annual percentage rate. Return on investment (ROI) ...
Depending on what your goals are, you can tailor your trading system to your needs and circumstances. For instance, do you have a lot of time available to do research? Do you have a full time job and a family that demands attention? Not...
During your Trading career you will at some point make a decision on whether you will use a professional analyst or do your own analysis. This is an entirely personal decision. It could be you do not have the time or inclination to do...
In this article we will discuss some of the different trading styles professional traders use. Trading could be divided into two main styles, each with their own sub styles. You have the Fundamental trader and the Position trader. The Fundamental Trader is almost exclusively...
In the investment world, a share of stock (also called equity share) represents a share of ownership in a corporation (company). This effectively means that when you own stocks (US), or shares (UK) in a company, you own a fraction of that company. How...