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$ How To Read Stock Tables $. 2 Ways to Make $ in the Stock Market. Buy Low, and Sell High (traditional-speculating) High Risk Stocks (new Firms, innovative, haven’t tested time, ?) have a large potentiality for profits, and losses
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2 Ways to Make $ in the Stock Market • Buy Low, and Sell High (traditional-speculating) High Risk Stocks (new Firms, innovative, haven’t tested time, ?) have a large potentiality for profits, and losses Low Risk Stocks (Firms that have existed for many years, Stable) have a small potentiality for profits, and losses • Hold on to Stock long term (10-20 yrs.), and collect dividend payments. (Better than savings and bonds) Low Risk Stocks! (7-10 years, you should make your investment back, 20 years you may double.)
Stock Markets • NYSE – New York Stock Exchange. (Big Board) Largest exchange in the US $ World. • AMEX – (American stock Exchange) • NASDAQ – (National Association Security Dealers Annotated Quarterly) An entirely electronic stock exchange. • PCX – Pacific Stock exchange ( Los Angeles) • Top Foreign stock Markets: London, Japan, Shanghai, Hong Kong, Euronext, &Shenzhen * In China
Stock Measures / Index • DJIA – Dow Jones Industrial Average. Measures the top 30 companies in the NYSE, and uses them as a general guide for the market. • S&P 500 – Standard & Poor’s. Measures the top 500 companies in the NYSE. Gives better view of the market.
Cites: Yahoo! Finance, CBS Marketwatch, or MSN Moneycentral.