May 21
As a new entrant into the stock market you will keep hearing about the terms NYSE, AMEX and NASDAQ and more of the international ones nowadays like HangSeng or the LSE or even the Luxembourg stock exchange.
These are stock exchanges where the exchange of stocks takes place between the buyers and the sellers. In effect these are the actual stock markets but the term stock market is used in a broader term to signify the overall stock holdings, indices, exchanges and everything else related to stocks.
New York Stock Exchange started in 1792 and is located at the epitome of the US financial icon street called the Wall Street. It is undoubtedly one of the largest exchanges in the country. All the companies aspire to be listed here so there shares can be traded on this exchange but before a company can be listed here they have to complete certain set of criteria in terms of financial strength as well as the industry they operate in.
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written by Alex Bhaswara
\\ tags: Stock Exchange, Stock Market, Stock Market Basics, Stock Market Guide
May 21
The stock market is called a ‘bear market’ when it moves downward for a length of time. When the market moves up, it is called a ‘bull market’. A poor stock is called bearish and a stock that is succeeding is called bullish.
Bear and Bull terms are used to refer to the varying conditions of the stock market. These are not words that refer to short term fluctuations. A bear market is usually known as one in which prices of important stocks have plummeted by 20 percent or more for at least two months. A bear market may still provide numbers that may increase for a time. The opposite of this market is the bull market. They are known for rising prices in key stocks for a period of time.
Most of the time, the stock market reflects the state of the economy. When a market is experiencing a bull market, the economy is in good shape, interest rates are decent, and unemployment is low. Bear markets occur in an opposite situation. Investors will shy away from the stock market and companies could begin to lay off employees. In the worst of times, the market may crash when a bear market leads to panic selling. In an exaggerated bull market, investors may be over enthused to invest and the market will flourish until the bubble bursts.
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written by Alex Bhaswara
\\ tags: Bear Market, Bull Market, Stock Market, Stock Market Crash
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