Welcome to Stocks Simplified
|
|
|||
|
|
| ||
Welcome to Stocks-Simplified.com where you will learn how to read and understand stocks. The stock market strategies and techniques taught here will give you an edge that will help you outperform all of those amateur traders.
|
|
Come along with us on our journey in teaching you techniques, formulas and strategies to make money! Use these tools to increase your income and limit your losses. We have designed this website for all new and advanced investors, it is easy to learn, easy to follow and proven to work.
Are you already trading stocks? We have advanced strategies to refine your skills and increase your profitability. Learn the secrets of trading Options and Spreads.
Stressing over Market direction? Breath, relax, take the emotion out of stock trading. You can stay in control even when the market changes course. Learn how, come along with us, and click on the links.
Investing wisely in the stock market can give you great returns. It is your education and commitment that will yield you great profits.
Let's do some comparisons, a savings account with a rate of 2% annual interest and today's inflation rate of 3%, hey, you just lost money! We give the banks our money and they invest it or loan it back to us at a higher interest rate. How is this? Take a look at your credit card interest rate, need I say more? Just think how fast your money can grow with a monthly rate of return at 10% or more.
If you could earn 10% a month on a $1,000 investment in 5 years you would have $304,481. With a $10,000 investment at 10% a month in 5 years you would have $3,044,816.
Interested Now?
Come along and ride the stock market trends with us. Turn your consistent losses into consistent wins.
** JUST FOR FUN ** We have hidden 3 animated characters in this website, can you find them?
| Stocks Simplified Blog It keeps you up to date with www.stocks-simplified.com |
| What are Stocks? What are stocks, how to read stocks and play the stock market. |
| Fundamental Analysis Fundamental analysis is one method that can be used to determine the long term perspective of a given stock. Using the stock fundamentals can help you get into strong stocks that can be excellent for |
| Technical Analysis Understand the use and techniques with Technical Analysis |
| Portfolio Management Portfolio Management and how it relates to your Stock Investing. |
| Options How to trade stock options, options made easy |
| Stock option spreads Understanding how and when to use spreads |
| Bonus Bonus section on tips dos and don'ts in trading |
| Brokers List of Brokers |
| Contact Us contact us |
| Free Newsletter Free Newsletter |
| Chart Patterns Chart Patterns are patterns that occur in a stock. Using and identifying patterns can assist you in determining when to get into a trade and when to get out of a trade, your entrance and exit points. |
| What is the head and shoulders pattern? head and shoulders pattern is and how to spot it. |
| What is a Bull Flag? bull flag, what is it how to use it |
| Other Money Sites Other money sites |
| Stock e-books Find good stock e-books |
| Double Bottom How can a double bottom help you profit? |
| Break Out What is a break out? |
| What are Brokerage Commissions? Learn about brokerage commissions. |
| What is a risk reward ratio? learn how a risk reward ratio can help you. |
| Picking the right expiration picking the right expiration for your stock options can be critical. |
| Why invest in stocks? Why invest in the stock market, learn tons of reasons to invest in stocks |
| Dividends Learn about dividends |
| Financial Freedom. financial freedom, how to tell if you are ready. |
| The average investors advantage What is the average investors advantage? |
| Stocks vs. CDs Stocks vs cds, Learn why stocks are the better pick. |
| Stock watch list How to make a stock watch list |
| Triple Top Learn how to trade a Triple Top |
| Double Top Learn how to trade double tops. |
| Stock Trend trading with the trend is important. Learn why. |
| Uptrend Learn how to trade an uptrend |
| Success Stories Write your own success stories. Inspire others. |
| Fear and Greed fear and greed can be the death of a trader. If you want to be successful you must learn to combat them |
| Downtrend What is a down trend? How do you trade it? Learn here. |
| Keeping a Trading Record A trading record can be important. Too many traders don't keep record. |
| Top Picking what is top picking. Why you should avoid it. |
| Few Stock Strategies Learning a few stock strategies can be helpful for you. |
| bear flag pattern The bear flag pattern is a continuation pattern. It is normally a good signal that a stock is going down. |
| descending triangle descending triangle are bearish continuation patterns. They are typically found in downtrends. |
| ETFs ETFs can be a powerful way to make money in the market. They are unlike stocks because they do nt track companies. |
| compound interest compound interest |
| volatility indexes The Volatility indexes are used to measure the Volatility in the market. Investor use this in a few different ways. |
| What is leverage Leverage is a way to get more with less. It is the reason why some people can surpass others. |
| buying on margin Buying on margin can help a stock trader make money in the markets. It is a loan you can take to buy a stock. |
| margin calls Margin calls can be devestating. Their are a few steps you can take to prevent them. |
| bulls market A bulls market is when the over all trend of the market is upward.indexes such as the S&P, NADAQ, and the Dow Jones are good indicators of this |
| company earnings Company earnings are something everyone who trades stocks should be aware of. When a company announces its earning there is a lot of speculation in the air. |
| cup and handle chart pattern The cup and handle chart pattern is a good indicator of future movements. It is said that the target can be figured out by... |
| market bulls Market bulls are traders who believe stocks will go up in the near future. These traders are favored during a bulls market. |
| bears market A bears market is a naturally occuring cycle. Some traders will actually perfer them over a bulls market. |
| market bears Market bears are traders who believe the stock market will head down in the near future. Their are a number of reasons why someone would choose to be bearish. |
| Out of the money stock option An out of the money stock option is a high risk high reward trade. Some traders actually perfer that. |
| in the money stock option An in the money stock option is a good way to leverage your money. It has less risk than an out of the money option. |
| at the mney stock option at the money stock option |
| bullish pennant chart pattern A bullish pennant chart pattern is a continuation pattern. It has a price target of .... |
| Bearish wedge A bearish wedge can either be a continuation pattern or a reversal pattern. This depends on which direction the market was going before the pattern happened. |
| base on base pattern A base on base pattern is bullish continuation pattern. It occurs to strong stocks that are in a bearish environment. |
| symmetrical triangle A symmetrical triangle is a trend continuation pattern. Its target is said to be found by ... |
| bearish triangle the bearish triangle pattern is a continuation pattern. It show continued weakness. |
| dead cat bounce The dead cat bounce is a very quick pattern. It occurs after a giant down day in a stock caused by a news event. |
| bump and run A bump and run chart pattern is a reversal pattern. It occurs after a large uptrend. |
| How do options work How do options work? Well, when you buy an option what you are actually doing is paying for a right. |
| intrinsic value The intrinsic value for a stock option is the difference between a stock’s price and the option’s strike price. |
| time value Time value is a very important concept to understand if you are going to trade options. It will help you to understand how your option is prices. |
| rounding top pattern A rounding top chart pattern is a bullish chart pattern. It will occur after a large uptrend. Eventually the stock will start t weaken and fall. |
| Flat base The flat base pattern is a continuation pattern. After a large uptrend prices can turn very flat. |
| NASDAQ market The NASDAQ market is the largest market in the US with 3,200 different stocks. |
| S&P The S&P is the most widely used index. It is said to track the performance of the US economy overall. The S&P 500 contains 500 large company’s stock (hints the name). |
| Diagonal spread The Diagonal spread can be a very effective way to pull monthly income out of the stock market and keep have long term gain as well. |
| head and shoulders top pattern The head and shoulders top pattern is a pattern that will often form at the top of a trend. It signals that the trend will probably be coming to an end. It consists of 2 shoulders, (stock highs) and |
| bearish rectangle pattern The bearish Rectangle pattern is a bearish continuation pattern. This means a downwards breakout of this pattern will likely signal a stock crash. |
| bullish rectangle pattern is easy to _recognize the bullish rectangle pattern is an easy to recognize chart pattern that can help you predict stock movements. Learn the secret and profit. |
| bid and ask price The bid and ask price are very important to understand in the stock market. They are the prices you can buy and sell stocks and options at. |
| Overhead supply Overhead supply is a chart pattern that traders will typically try to avoid. It signals that the stock is likely not to make any big advancement in the near future. |
| triple bottom The triple bottom pattern is a trend reversal pattern. This means it normally occurs at the bottom of a trend and signals that the stock will most likely head up. |
| Bearish pennant A bearish pennant pattern is a continuation pattern. That means it will likely signal further weakness in a given stock. |
| stock chart settings The stock chart settings are different from trader to trader. You should have your own chart setting based on how your own personal preferences and your trading system. |
| candlesticks Candlesticks are perhaps the most widely used graph type in the stock market. Their are bullish candlesticks and bearish candlesticks. |
| line chart A line chart is a very popular chart setting among traders. It is a very simplistic way to read charts. Basically this is applies the standard graph to a stock chart. |
| bar chart A bar chart is a very popular graph type for stock investing. In this chart every day is plotted showing its open price, closing price, days low, and the high. |
| Backtesting Backtesting your trading system can be a good idea to determine the strengths and weaknesses of your system. It is a very important tool you must use to create a working system. |
| Oscillators Oscillators are stock indicators that offer buy and sell signals, based on mathematical formulas. Many traders consider them a great addition to your trading system. |
| RSI The RSI indicator is a momentum indicator created by Welle Wilder. Its goal is to take past stock prices and give you buy or sell signals based on those prices. |
| ADX indicator The ADX indicator is used to determine the strength of a trend of a given stock or commodity in the open market. It might be used as a confirming indicator or help to give you early warning signals t |
| Bollinger bands Bollinger bands were created in the 1980s by John Bollinger. It is a stock oscillator designed to help a trader predict what could happen in the near future for a given stock. |
| Balance of market power The balance of market power indicator is used to determine the strength of th bulls and the bears in the given stock. When the bulls gain power the indicator goes up. When the bears gain power the i |
| protective put Buying a protective put can be a great way to help cut your losses short in the stock market. This is a strategy that many big name investors use in order to protect themselves from the downside when |
| Rate of change The Rate of change is an indicator that gives off buy, and sell signals based on a mathematical formula. It is uses price to try and determine what will happen to a given stock. |
| stock market traders Stock market traders can be quite profitable. But there are a lot of different types of traders out there. Each new person looking to make money in the market should decide for themselves which typ |
| What to do if you lost money on some bad trades It is possible to have lost money on some bad trades. All traders lose money now and then. It is important however that you do not let a setback like that haunt you. |
| The secret of the swing trader A swing trader can produce great profits. Discover the proven strategies of top swing traders and watch how fast your money can grow. |
| Who was Jessie Livermore? Jessie Livermore was considered to be the greatest stock trader who ever lived. He acquired many vast fortunes in his lifetime through the stock market. |
| Why use Candlestick patterns? Candlestick patterns are an extremely useful way to predict the direction a stock will move. Get free information on what these patterns look like. |
| Why can option selling be effective? Option selling is a way take advantage of time decay. It helps to make money as option prices decay. |
| What is a Day Trader? A Day trader attempt to make money in the market by trading the market while it is open. They will enter and exit trades before the day is closed that is why it is called day trading. |
| What is trend trading? Trend trading is a stock market strategy that tries to make money in the markets by finding a trend and sticking with it. It can be a very profitable way to trading. |
| Morning star The morning star also called the shooting star is a candlestick pattern that signals a potential rise on a given security. This pattern consists of 3 different days. |
| the bullish engulfing pattern The bullish engulfing pattern is a chart pattern that is used as a bullish signal in the stock market. It consists of two different days. |
| Hammer pattern The hammer pattern is a candlestick pattern that offers a bullish buy signal for the given security. This pattern will come at the end of a large number of down days. |
| Hanging man The hanging man candlestick pattern is a bearish signal that indicates a stock will likely end an upward streak. It is a very powerful reversal pattern. |
| Evening star chart pattern The evening star chart pattern is a bearish reversal pattern. It consist of three different candlesticks or three different days. |
| Stock Market Articles It is important to read stock market articles every now and then for a few different reasons. They can help you in many different ways. |
| Option stop orders One thing I believe is critical for any option trader are stop orders. This is true weather they are an option seller or a buyer. Just like stock traders every investor who trades options should h |
| Trading in a bear market When it comes to a bear market everyone is always complaining. They all seem to be asking the same question, is it over yet? But there are many ways in which trading and especially learning to trad |
| The Doji Candlestick The doji candlestick pattern is a pattern that will come again and again in the market. There are four different types. Each gives off a different signal. |
| The doji candlestick pattern The doji candlestick pattern can be helpful tool used for trying to find the tops and bottoms of a given security. There are four major kinds of candlesticks. |
| What is a Dark Cloud Cover? A Dark cloud cover is a bearish reversal pattern. It can mark the top of a bull run and be the beginning of a crash of the security. |
| Downside Tasuki Gap The downside tasuki gap is a bearish candlestick pattern. It consists of three different days and will occur during a downtrend. |
| Are Options Risky? Everyone wants to know are options risk? Options aren’t risky if you know how to trade them right. |
| Protecting your capitol with leaps Protecting your capitol is very important in the stock market. One of the most common techniques used to achieve this is buying leaps to protect you from the downside. They can be used like sort of |
| Piercing line candlestick pattern The piercing line candlestick pattern is a bullish reversal pattern that can be a great benefit when trying to determine the end of a bearish pullback. |
| Trading vs investing Trading vs investing which is better? There are always people who say that the safest way to make money in the stock market is by investing for the “long term”. I don’t believe that. In fact long t |
| Harami candlestick pattern The Harami candlestick pattern is a reversal pattern. It consists of two different candlesticks and is considered accurate by many traders. |
| bottom pick and top pick two dangerous strategies It can be very painful to bottom pick or top pick. Even though it is very dangerous there are still a large number of investors who try it. |
| What is the island reversal? The island reversal pattern is a candlestick pattern that can mark the short term reversal of a stock. There are two different patterns the bullish reversal and the bearish reversal. |
| Buying options vs selling options Buying options and selling options are two great ways to make money in the stock market. But which strategy is better? Each has its own strengths and weaknesses. |
| Bullish Rising Three Method The rising three method is a bullish candlestick pattern that signals continued strength for a given security. They normally occur after an uptrend. |
| Challenges of option trading There are many challenges of option trading in the stock market. Anyone who looking to gain long term success trading options should have these questions answered. |
| Falling three method The falling three methods is a bearish candlestick pattern that can be used to confirm continued downward pressure of a given security. |
| High VIX equals high option premium When the VIX is high the option premium also tends to be much higher as well. It is important to grasp and adjust for this concept. |
| Inverted hammer The inverted hammer is a bullish reversal pattern. It can be a powerful way to help predict market movements or a given security. |
| Having a good risk to reward ratio Having a good risk to reward ratio is crucial to success for a stock market trader. This is something that most new traders will tend to ignore. |
| Bearish Breakaway Candlestick Pattern The bearish breakaway candlestick pattern is a bearish reversal pattern. It is considered an effective way to help predict a bearish move in a stock. |
| Bulls and Bears Bulls and bears constantly fight for market superiority. Most people prefer to play the upside of a stock rather than the downside. |
| Bearish advance block The bearish advance block is a bearish reversal pattern. It can predict the top of a trend. |
| Bullish kicking Candlestick pattern The Bullish kicking candlestick pattern is a bullish indicator. It is a very relyable candlestick pattern. |
| Short term options and Risk Reward Calculating the risk reward on short term options is critical for your success. This ratio is the amount you would risk if you were wrong and the amount you would make if you were right. If you don’ |
| Bearish Three Black Crows The bearish three black crows candlestick pattern is considered to be a strong bearish indicator. This candlestick pattern consists of three different days. |
| The option Greeks The option Greeks are used to understand and predict the change in option prices. These stock Greeks are theoretical prices that are arrived with mathematical formulas. |
| Side by Side White lines Side by side white lines can give off a bearish signal. This pattern can show weakness in the bulls for a given security. |
| Stock option delta The stock option Delta is a greek that is designed to help you figure out the price an option should be trading at for every 1 point move in the stock price. |
| Bearish Tri star bearish tri star is a bearish candlestick pattern that will often come at the top of a trend. |
| Option Gamma The option Gamma is an option Greek that can be helpful when predicting a change in the price of Delta. Delta changes for every 1 point move in the stock and it can be useful to calculate the rate at |
| Bullish tri star The bullish tri star pattern is a bullish reversal that consists of three different days. All of these days are dojis and will appear to be in a triangular pattern. |
| Option Theta The option theta is a greek that is said to be able to measure the affect of time decay on an option contract. It identifies how much value an option will lose for every 1 day that passes. |
| Bearish kicking pattern The bearish kicking pattern is a bearish stock market sign. It does not require the prior trend to either be up or down. |
| Greek Options Many traders have heard something about the importance of the Greek options, but most don’t know what they are or how they can help you. What benefit do they give you? |
| Option Vega The option Vega is an option Greek that can be used to determine how much an option will change for every 1 percentage point change in volatility. |
| Bearish Two Black Crows Pattern The bearish two crows pattern is a top reversal candlestick pattern that can be very useful. The pattern consists of three different days. |
| Why Keep a Stock Market Watch List? Keeping a stock market watch list can be a critical asset for a trader. There are many different reasons why that statement is true. |
| Bearish Three Inside Down Pattern The Bearish three inside down pattern is a bearish reversal indicator. This pattern consists of three different days. |
| Having a Trading Plan Having a trading plan is the only way anyone can make money in the stock market. You simply cannot succeed unless you have one. |
| Three White Soldiers The three white soldiers candlestick pattern is a bullish continuation pattern. The pattern consists of three different days. |
| Marubozu The Marubozu is a continuation pattern. This candlestick pattern consists of just one candlestick. |
| Rho Option The Rho measure how much the price of an option will move if the interest rate changes. That can be important if you believe the interest rate is going to make a big move any time soon. |
| Different option strategies There is a wide variety of different option strategies; each has their own advantages and disadvantages. Here is a list of the different things you can do with options. |
| Bullish Belt Hold The bullish belt hold is a stock maket reversal signal. It consists of only 1 candlestick, but should occur after a downtrend in the markets. |
| Bullish Matching Low The Matching low is a reversal pattern that consists of two different candlesticks. |
| Bullish Stick Sandwich Pattern The bullish Stick Sandwich often comes during the end of a downward move and predicts the start up of a bullish move. There are three different candlesticks for this pattern. |
| Ladder Bottom The ladder bottom is a candlestick pattern that usually appears at the end of a downward market. This pattern consists of 5 days. |
| Three Line Strike The three line strike is a bearish pattern that appears during the end of a large run up in price. This pattern consists of 4 different days. |
| Stock Support Stock support is an imaginary line at which a stock will hit a bottom and head up. This is opposed to resistance which is the imaginary top of a given stock. |
| Unique Three River Bottom The unique three river bottom is a bullish candlestick pattern. Basically it confirms the harami. |
| Nicolas Darvas Nicolas Darvas is one of the greatest stock traders who ever lived. One of the most amazing parts of his life is that he had no formal stock market training. He was a traveling dancer. |
| Benifits of using Technical Analysis Using technical analysis can be a great way to make money in the stock market. There are a number of reasons for this. |
| Bullish Meeting Lines The Bullish meeting lines is a bullish reversal pattern. This pattern consists of two different days. |
| Successful trader, what it takes to be one Someone who wants to be a successful trader must adapt a few trading traits. These traits are critical to the success of any stock market trader. |
| Keeping Stock Losses Small Keeping your stock losses small is a very important part of trading. Small losses can easily be overcome by larger winners. However many traders will let their losses run out of control. |
| Handling a Losing streak Every trader has a losing streak once in a while. It is a part of trading that cannot be avoided. The key is knowing what to do when you start getting bad trades. |
| What is Stock Resistance Stock Resistance is a level that is said to mark a stock top. The resistant line is a level that has been known to push a rising stock down. |
| Benefits of Stop Loss orders There is debate on whether to use a stop loss order. Some say stop orders will get you out too early while others believe the protection outweighs the possibility of getting you out early. |
| Bullish Separating Lines The Bullish separating lines is a candlestick continuation pattern. It signals that a strong up trending stock is likely to rally. |
| Investing Goals Investing goals and trading goals are essential to good trading. If you do not know where you are going you will not know how to get there. |
| Keeping a Do Not Trade List It’s beneficial to have a do not trade list as a trader. This is simply a list of stocks to watch out for. These stocks you want to do your best to stay away from and not to trade with. |
| Watching Stock market events Stock market events are important to keep a watch for. Researching stock help you avoid encountering sudden suppresses. |
| Having Multiple Trades Having multiple trades open can be a great benefit to you. There are a number of reasons why have many open trades at one time can be helpful. |
| Income Stocks Income stocks are stocks that traditionally pay high dividends. This investment vehicle is for conservative investors who want the steady investment income provided by these securities. |
| Stock Orders Placing stock orders to get into stock positions can be confusing. There are many different order types out there that can all help you get into open posions. |
| Growth Stocks Growth Stocks are for aggressive investors. Unlike Value investors who care about the here and now, growth investors care about the future earnings of companies. |
| What is a Market Order? A market order is the easiest way to buy stocks. Market orders will simply tell your broker to buy or sell your stock at a whatever price the stock is trading at. This is true regardless of the pric |
| Benefits of trading stock options There are many benefits of trading stock options. Option trading can provide a wide range of advantages from safety to fast growth. |
| Value Investing Value investing is the process of getting into undervalued stocks. A value investor would get into strong companies whose stock has not been given noticed by the market. |
| What is a Limit Order A limit order allows you to buy a stock (or sell) at a given price or better. This order can benefit you in many different ways. |
| Swing trading challenges There are 5 challenges of a swing trading. All swing traders face these problems and should be overcome to be successful in the stock market. |
| Trading Personality Everyone is different, so it makes sense that everyone has a different trading strategy. Figuring out your trading personality is the first step to making money in the stock market. |
| Stop Order A Stop order is an order that is used to limit loss or protect profits in a given position. This order has become very popular in the trading world. |
| Forcing Trades, Bad idea! Forcing trades can work against you in the stock market. Every trader has tried to force trades at one point or another. Often times this will work against you. |
| Stop Limit Order A Stop Limit order makes it easier to get into a stock at an exact price by combing the stop order with a limit order. |
| Why take Partial Profits? Partial Profits can help to protect your profit and limit your risk in the stock market. More importantly it can heighten your confidences as a trader. |
| What is a Contingency Order A contingency order is an order that you can use to place a trade. This order is different than other orders because it comes with a trigger. |
| Your trading style and the stocks personality Similar to people every stock has a different personality. Knowing the stocks personality and matching it with your trading style is something that can help you succeed. |
| Trailing Stop A trailing stop is a stop order that can be used to let your winner ride while at the same time cutting your losses short. Of course those two things can be helpful in the stock market. |
| Using Trailing Stops Trailing stops can be very useful when you are trading in the stock market. They can be use to follow stocks up which can help let winners ride and cut losses short. |
| What is the pe Ratio The PE ratio (price to earnings ratio) measures a company’s earning compared to the stock price. It helps tell if a stock is undervalued or overvalued. |
| Earnings Per Share The Earnings per share or EPS is simply the amount the company is worth per share of stock. It is calculated knowing the net earnings and the price of a stock. |
| Don't get cocky when trading When trading in the stock market is important to always be at your best. Most traders get extremely cocky when they are making money in stocks they believe they simply can’t lose. And eventually the |
| Timing The Market Can Grow Your Money Timing the market using technical analysis can be the fastest way to grow your money. Despite this many people assume that getting into strong stocks without timing it can be just as profitable. |
| What is an Income Statement It can be called an income statement, income and expense statement, or a profit and loss statement, but what is it and how can we use it. Well it is simply the statement companies give out that tells |
| Price To Book Ratio The Price to Book Ratio or PB is a way to determine if a company’s stock is undervalued. It is a fundamental study that can be very helpful. |
| Changing Markets, and Adapting to them Changing markets can be hard on you mentally but it is something you have to get used to. Adapting to the market is the only way to gain any long term success in the stock market. |
| Combining fundamental Analysis and technical analysis Fundamental analysis and Technical Analysis are two different ways to invest in the stock market. Each of them has proven to be helpful in its own way. And while every trader normally favors one ove |
| PEG ratio The PEG ratio or price to earnings ratio is a competitor to the PE ratio. The PEG has become popular because it factors in earnings growth as well as present earnings. |
| Price to Sales Ratio The Price to sales ratio or ps is another way to decide if a company is overvalued or undervalued. Instead of taking into consideration the earnings like the p/e the p/s looks at the overall sales of |
| Return on Assets The Return on Assets ratio or ROA is a fundamental indicator that is used to show you how profitable a company is when it is compared to its Assets. |
| Right Side of a Stocks Trend Staying on the right side of a stocks trend is not only important, it’s critical. It was this philosophy that made Jessie Livermore considered to be greatest trader of all times. |
| Book Value The book value or BV of a company is the value of the true assets carried by a company. This gives you the amount of assets a share holder would theoretically receive if a company was liquidated. |
| Return On Equity Ratio The Return on equity or ROE is a financial ratio that measures the return based of the equity of the stock. This is considered to be one of the best fundamental indicators. |
| Return On Capital Employed The return on capital employed or ROCE is a financial ratio that is used to determine how much money a company makes with a given investment. Unlike the ROE ratio this ratio factors in both equity an |
| WACC (Weight Average Cost of Capital) The WACC (weighted Average Cost of Capital) is a fundamental evaluation of a corporation. It takes into consideration a company’s debt and equity. |
| Financial Ratios Financial Ratios give you an insight of a company and allow you to find great investment opportunities. There are a variety of different ratios and they can be broken down into five categories. |
| Quick Ratio The quick ratio or asset test ratio is indicators of a company’s short term liquefy. It measures a company’s ability to meet its short term obligations with its assets. |
| Accounts Receivable Ratio The accounts receivable ratio is used to measure how effectively a company is extending credit and collecting debt. |
| Average Collection Period The Average Collection Period measures the time it takes for a bussiness to receive payments owned. It has proven to be a valuable resourse when determining the strength of a company. |
| Inventory Turnover Ratio The inventory turnover ratio is used to tell if a company is keeping a good sized inventory based on their sales. It is considered to be a very important figure. |
| Debt Ratio The Debt Ratio compares a company’s debt to assets. This allows the investor to see the long term perspective of a company. |
| Debt to Equity Ratio The Debt to Equity Ratio is used to measure a company’s financial leverage. It compares how much the company owes to the total shareholder equity. |
| Interest Coverage Ratio The interest coverage ratio is used to determine a company’s ability to pay its expenses. It takes into consideration the interest a company pays on its debt. |
| Gross profit margin A company’s gross profit margin (gross margin) measures the company’s revenue after cost of goods sold. Simply it is how much they sold something vs. how much it cost them to get it. |
| Dividend Yield Ratio The Dividend Yield ratio can be helpful when looking for income producing stocks. This ratio simply tells you how much dividends a stock is paying off for the price of the stock. |
| Dividend Payout Ratio The Dividend Payout Ratio is used to determine the percentage of earnings that are given to the shareholders in the form of dividends. |
| Cash Flow Ratio The operation cash flow ratio is used to determine a company’s ability to pay its liabilities based off of its cash flow. If a company does not make enough to pay its debt it can be a poor investment |
| Cash Current Debt Coverage Ratio The Cash Current Debt coverage ratio measures a companys ability to repay their current debt. Unlike the current and acid test ratio which looks at the year end balamce of assets this ratio looks at |
| Enterprise Value The Enterprise Value is a way of measuring a company’s value. It is a much more realistic way then measuring a company’s Market Cap. |
| Market Capitalization The Market Capitalization ( Market Cap ) is used to value a company. It states the total value of a firms outstanding shares. |
| Net Profit Margin The Net Profit Margin or net margin is used to determine a company’s profitability. It determines how much they keep for every dollar that they sell. |
| Levered Free Cash Flow The Levered Free Cash Flow shows you the amount of cash available to pay shareholders after it has paid its debt. It can be a very important figure. |
| EBITDA The EBITDA or earnings before interest, taxes, depreciation, and amortization is used to measure a company’s profitability. |
| Fiscal Year The Fiscal Year (FY) or Financial Year is a term that represents a company’s budget for the entire year. It is where the majority of fundamental indiicators used to evaluate a company’s streangth com |
| ADXR The ADXR is a different form of ADX. It allows us to calculate the same thing. Except it does it at a different rate. |
| Ease of Movement Indicator The Ease of movement Indicator (EMV) is used to give off buy and sell signals for stocks, commodities and anything else that is tradeable. It was first developed by Richard W Arms. |
| Diluted Earnings Per Share The Diluted Earnings Per Share or diluted EPS is used to help determine if a company’s stock is overvalued or undervalued. It is different than the basic EPS in one major way. |
| Trade Stocks There is no better way to trade stocks then by using technical analysis. It allows you to identify the short term moves before they happen. |
| Chande Momentum Oscillator The Chande Momentum Oscillator (CMO) is used to indicate the trend of the given stock. It was invented by Tushar Chande and has become a popular indicator. |
| Time Series Forecast The Time Series Forecast is used to predict price movements. It consists of linear regression mesurements using the “Least Squares Method.” |
| Absolute Breadth Index The absolute breadth index (ABI) is an oscillator developed by Norman G Fosback. The oscillator is used to measure the market volatility. |
| Accumulative Swing Index The Accumulative Swing Index (ASI) is a variation of Welles Wilder’s swing index. It plots a running total of the swing index value for each bar. |
| Money Flow Oscillator The Money flow oscillator is a technical indicator used to help predict price movement. It is calculated by averaging the highs, lows, and closing prices of a stock. It then multiplies that by the v |
| Other Webmasters This section of the site is built to welcome other people with websites. Weather you have a website or you plan to build a website they can be a profitable way to build another stream of income. |
| Awesome Oscillator The Awesome Oscillator is used to help predict price movements of a given security. It is calculated by finding the difference between the 5 period moving average and the 34 day moving average both b |
| Building a Website I never intended to build a website. My main income producing hobby has always been the stock market. One day however I came across an article describing how easy it was to make extra income from th |
| Haurlan Index The Haurlan Index is an indicator developed by Peter N. Haurlan in the 1960s. It was developed to be an overbought oversold indicator. |
| CCT Bollinger Bands Oscillator The CCT Bollinger Band Oscillator was developed by Steve Karnish of Cedar Creek Trading. It is a reconfiguration of John Bollinger’s Classic Bollinger Bands. |
| Full Service Brokers Full Service brokers provide a variety of services for their clients including research, advices, retirement planning, and tax planning. For this they often charge more than discount brokers. |
| Discount Brokers Discount brokers offer a low trading commissions but no stock advice. There are many advantages and disadvantages to opening an account with them. |
| Exiting Trades Exiting trades especially short term trades at the best possible time should always be the goal if you are trying to catch the little up and downs of a stock. It is something that is often overlooked |
| Online Option Review Stephen Cooper Knows what he is talking about in the stock market. Read my review of Online Option. |
| Keeping a Record of your Trades Keeping a Record of your trades can act as a scoring card and also allow you to find out where you need to adjust to become more profitable. |
| Moving Stops Down Moving your stops down during times of panic is very tempting. It becomes even harder when you believe the market is just overreacting to bad news. But it is absolutely critical to hold your ground |
| Stock Charts, what to use With all the different ways to view stock charts it can be a little confusing. The first step is figuring out whether to use a line chart, bar chart, or candlestick chart. |
| Chaikin Money Flow The chaikin money flow was developed by Marc Chaikin. It is calculated from the daily readings of the Accumulation/Distribution line. |
| Stock Market Correlations There are a lot of stock market correlations. Nearly all stocks in one industry group behave the same. When the dollar falls gold should go up. The list goes on, but these correlations are not to b |
| Leadership stocks and Lagging stocks Leadership stocks and lagging stocks can be helpful to look at when trading the market. These are stocks that are performing better then the market and worse than the market. |
| Breakout Trading Breakout trading is a trading model that tries to gain short term profits by catching a stock as it reaches new highs. These breakouts often cause a giant short term surge in the price of a stock. |
| Insider Trading Insider trading is something that many stock market investors would look at. These insider traders are called that because they are people who are where the action is. They are the CEO’s the big acco |
| Stock Market Reviews Here we offer our stock market reviews. And by that I mean we offer reviews on stock products that other people are offering. This page is here to help you make an informed decision on which product |
| Stock Buy Backs Stock buy backs occur when a company announces they will buy a number of shares from the market. This buying back of outstanding shares is often looked at as a bullish sign and for good reason. |
| Stock Merger A stock merger or acquisition (also known as a takeover) occurs when two companies become one. This could mean a variety of things for the shareholders. |
| What to Look for When Trading When trading, especially in the short term, there are a number of things that are very important to look at. Each security should have these three things before you trade them. |
| What a Profitable Trading System Needs Using a profitable trading system provides the best odds to make money in the stock market. In order for a trading system to work there are a few things it needs. |
| The Secret Trading System There is no such thing as the magical secret trading system that is the ultimate answer to the markets. All trading systems have their strengths and weaknesses. |
| Balance Sheet The Balance Sheet keeps a record of a company’s assets and liabilities. It gives an idea of what a company owns, owes, its owed and the amount that is invested by shareholders. |
| Fundamental Traders Fundamental traders use the company’s figures to determine if a company is a good buy or a good sell. Fundamental trading is normally a long term investment approach but can also be used for the shor |
| Find Set ups and Chart Patterns Are you looking for a way to find set ups and chart patterns? As a trader one of the things you will need is the ability to find trading set ups. |
| Stock Rumors Stock Rumors move the market. When everyone hears a rumor about a company the stock price will reflect that. |
| Put Call Ratio The put call ratio or put to call ratio is collected by the Chicago Board Options Exchange (CBOE). It is used to determine if the stock market is overbought or oversold. |
| Why Price is King Price is king when it comes to the stock market. Sure there are many different methods to evaluate a stock and they all have their advantages but the price patterns of a company still gives you the mo |
| Creating a Trading Hour Setting up a trading hour is easy and is a necessary to do well as a trader. You do not want to be involved in the market 24/7 so setting up an hour where you review your trades is a must. |
| Trading Online Trading online and trading on the stock market exchange floor are the two ways you can trade today. It is the tale of traditional trading and modern trading. |
