Article Categories

»	Arts & Entertainment
»	Automotive
»	Business
»	Careers & Jobs
»	Education & Reference
»	Finance
»	Food & Drink
»	Health & Fitness
»	Home & Family
»	Internet & Online Businesses
»	Miscellaneous
»	Self Improvement
»	Shopping
»	Society & News
»	Sports & Recreation
»	Technology
»	Travel & Leisure
»	Writing & Speaking

Reprint Article Code

Category: Articles » Finance » Stock Market » Article » Article Code

Stock Market Prediction

Predicting the stock market has always been a fascinating science. It can be done in different shapes and forms. Here are a few: 1. Stock Market Prediction based on Gurus We see a lot of them on TV. Many seasoned traders and brokers appear on financial TV channels, and by using either fundamental analysis, technical analysis, or both, predict the move of a certain stock, whether for the next week, month or even for a longer term period. Even though these predictions can be used for long time investors, short term traders normally use personalized tools to predict the ... read more

Article Title:

Article Body:

Predicting the stock market has always been a fascinating science. It can be done in different shapes and forms. Here are a few:

1. Stock Market Prediction based on Gurus
 
We see a lot of them on TV. Many seasoned traders and brokers appear on financial TV channels, and by using either fundamental analysis, technical analysis, or both, predict the move of a certain stock, whether for the next week, month or even for a longer term period. Even though these predictions can be used for long time investors, short term traders normally use personalized tools to predict the next movement in a particular security.

2. Stock Market Prediction based on Fundamental Analysis
 
Fundamental analysts scrutinise the company pertaining to the stock which they are going to trade. They get all the possible data figures for that company, they enquire on the directors and main shareholders, learn on the products or services they produce, keep a constant eye on news, not only financial, but information pertaining to their line of business, and more. Based on this information, analysts predict the stock movement for the next few days, weeks or months.

3. Stock Market Prediction based on Technical Analysis
 
Technical analysts look at charts, they draw trends on the chart by joining low points with high points, they insert formulas which produce various calculations based on past highs, lows and volumes. Lines can be drawn determining support and resistance levels. These are the basis of predicting a stock price based on technical analysis. Many times information like company dividends, news and directors are of no value to technical traders.

4. Stock Market Prediction based on Software Training
 
Predicting the stock market with state-of-the-art software is a possibility today with all the advances in technology. Some stock market software packages have the possibility to import data for the past weeks, months or years of a security, and based on specific formulas and equations, using complex algorithms, can train themselves on this data and on the movement of the stock price. The result of this is the prediction of the future price of the stock. Normally these packages work on technical information, but some are now also introducing fundamental analysis as part of this training and prediction process.

5. Stock Market Prediction based on Momentum
 
Many day traders use what is called 'Level 2' data to base their trades. While the stock market is open, the trader can see a list of buying orders on one side and a list of selling orders on the other side. Price and volume are shown, together with other information, from which seasoned traders gauge the momentum of the stock and take short term trades, normally lasting only a few seconds or minutes, to profit from a sudden change of price.

Successfully predicting the stock market, or even, one security, is a must for every trader. Success or failure depends on this. One needs to gain as much knowledge as possible on all possibilities available, and when one is comfortable with a pre-tested and working system, that system can be used as the basis on which to invest or trade in the stock market.

Author Bio:

Some other recently published stock market articles

Be A Rebel: Contrarian Investing by Christopher Smith
Buying stock on a hunch that it may go up when all indicators are that the particular stock of interest ...

Advantages of Online OTCBB Stock Trading by Praveen Ortec
Over the years all Over-The-Counter Bulletin Board (OTCBB) stocks are traded either directly or by call in. Both processes take much time and causes physical/mental stresses. Now there are a few companies which ...

Online share trading can be a liberating experience by Martin McAllister
The old world of stock-broking is changing rapidly: the practice of dealing in stocks and shares, for instance, is no longer purely the realm of high-flying financial executives, as ...

The Bulls And Bears Game: Risks And Survival Strategies In Investments by Wain Roy
The stock market is never constant, but one thing that is constant in the bulls and bears game is this question in people's minds as to how to make money with investments. Price movements keep ...

How Do You React When Your Stocks Are Down by Christopher Smith
How do you react when you've found yourself in a losing position? Do you stick your head in the sand and hope ...

What You Don't Know About Micro Cap Stocks by Christopher Smith
Most investors think of the major stock exchanges when trading stocks comes to mind. The New York Stock Exchange (NYSE), the National ...

Publisher Guidelines

You may reprint this article electronically in your newsletter or on your website, free of charge.

If you reprint this article from our site, then you must keep everything intact. This includes the articles title, author name, articles body, authors bio / resource box, the links contained within the article, all copyright notices and the link pointing back to our site. All links within the article must also be made active / hyperlinks.