How to Trade Stocks http://profitabletradingtips.com/profitable-trading-tips/how-to-trade-stocks As the stock market rises in value new investors and potential traders become interested in how to trade stocks. How to trade stocks successfully is not just a matter of acting on a stock tip from your friend. It is a matter of learning both fundamental as well as technical analysis of stocks, market sectors, and the market in general. How to trade stocks successfully starts with learning the basic terms and then the skills sets necessary to trade online. Where the Money Is Stock traders make money buying low and selling high or by shorting a stock and then repurchasing it after it has fallen. This approach has to do with bull and bear markets, trends, trading channels, and scalping in day trading. First of all what are bull and bear markets? A bull market is one in which prices are rising on an ongoing basis. A so called bear market is one in which prices are falling. These are market trends and not day to day price changes. Secular trend: lasts more than five years. Primary trend: lasts for more than a year but less than five. Secondary trend: lasts for a few weeks or months but less than a year. Understanding these terms is important for successful stock trading. If you engage in range trading (repeatedly buying at the bottom and selling at the top of the market for a stock whose price cycles up and down) you need to successfully anticipate when a stock will hit its peak and when it will bottom out and reverse course. In a long term bull market the general range will steadily head upwards causing you to continually adjust the channel in which you trade. Anticipating when the market will turn requires analysis of evolving market sentiment.

1. How to Trade
Stocks
BY
WWW.PROFITABLETRADINGTIPS.COM

2. As the stock market rises in value new
investors and potential traders become
interested in how to trade stocks.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

3. How to trade stocks successfully is not just a
matter of acting on a stock tip from your
friend.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

4. It is a matter of learning both fundamental as
well as technical analysis of stocks, market
sectors, and the market in general.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

5. How to trade stocks successfully starts with
learning the basic terms and then the skills
sets necessary to trade online.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

6. Where the Money Is
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

7. Stock traders make money buying low and
selling high or by shorting a stock and then
repurchasing it after it has fallen.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

8. This approach has to do with bull and bear
markets, trends, trading channels, and
scalping in day trading.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

9. First of all what are bull and bear markets?
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

10. A bull market is one in which prices are
rising on an ongoing basis.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

11. A so called bear market is one in which
prices are falling.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

12. These are market trends and not day to day
price changes.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

13. Secular trend: lasts more than five years.
Primary trend: lasts for more than a year but
less than five.
Secondary trend: lasts for a few weeks or
months but less than a year.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

14. Understanding these terms is important for
successful stock trading.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

15. If you engage in range trading (repeatedly
buying at the bottom and selling at the top of
the market for a stock whose price cycles up
and down) you need to successfully
anticipate when a stock will hit its peak and
when it will bottom out and reverse course.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

16. In a long term bull market the general range
will steadily head upwards causing you to
continually adjust the channel in which you
trade.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

17. Anticipating when the market will turn
requires analysis of evolving market
sentiment.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

18. The Moving Average
and Other Useful
Concepts
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

19. It is all too easy to miss the forest for all of
the trees when trading stocks.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

20. How to trade stocks successfully requires
that you maintain a sense of where the
general market is and where it is going.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

21. When a stock has been climbing rapidly it is
all too easy to buy in hopes that it will just
keep going up.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

22. Keep a sense about you as to what type of
trend this is and if the stock is nearing a
turning point or entering a new phase of
increase.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

23. A useful concept in this regard is the moving
average.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

24. To determine the 52 week moving average
take a sum of the middle price for each day
of trading for each trading day for the last
fifty-two weeks.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

25. Then divide this number by the number of
days of trading.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

26. Because this is a moving average you need
to calculate this for every day by removing
the earliest day and adding the previous day.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

27. Superimpose this average on the stock price
chart that you use.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

28. When the current trading range lies above
the average consider the average line to be
a support level below which prices are
unlikely to drop.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

29. When the current trading range lies below
the average consider this average to be a
resistance level above which the price of the
stock is unlikely to rise.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks

30. How to trade stocks with the moving
average is to use this technical analysis
technique to help tap into market sentiment
and exploit market inefficiencies.
http://profitabletradingtips.com/profitable-tradingtips/how-to-trade-stocks