Shares, as one of the possible assets for trade, look quite promising, because on the stock exchange promising wide selection of such assets and equally promising looks potential income from transactions with them. The number of companies represented on the stock exchange is one of the main reasons for the high attractiveness of choosing such an asset for trade.
The possibility of making deals in the market and using shares as their asset is quite promising. Because the securities market is still highly volatile, in many global economies, traders can take advantage of countless opportunities to open up and profit from price fluctuations UP/DOWN. Such a profit can often be made very quickly – in some cases it is possible to earn in 60 seconds on binary options. This tactic allows traders to quickly open and close positions, and make a profit, even at wide amplitude of fluctuations in the price of the asset and the absence of a pronounced movement. In addition, in reality traders binary options do not buy directly shares of any company, they are more likely to hedge investments depending on whether the share price goes up or will fall down for a certain period of time. Traditional investors in the stock market are looking for signs of a steady rise or fall in price – they seek to get money from price differences – such conditions in the market have been called trend markets.
Of course, one of the best ways to increase the likelihood of a successful transaction – this is a preliminary analysis of price movements of the asset of interest. There are two main approaches to analysis that are available to traders – technical analysis and fundamental analysis.
Traders who prefer to use technical analysis usually study charts and graphs of changes in the price of an asset in the past. In many cases, this type of analysis will help identify a pattern of asset price behavior. If a trader will agree to follow the detected pattern, it is possible, it will determine the time when the price of an asset and will be easier to predict – it will rise or fall.
Fundamental analysis focuses on other types of data, such as the company’s position in the market – shares of which analyzed the current economic situation and the potential impact on the supply and demand. Such factors really in most cases determine the direction of movement of the price of the asset – shares – will rise or fall in the near future.
Many traders give advantage to one type of analysis, to the detriment of the other, but it is reasonable to apply both approaches at once. Thus, traders will get a better picture of price movements in the past and will be able to identify patterns, to which the price of the asset is more inclined, as well as analyze the market indicators and economic conditions that may affect the price in the future.
There is a wide selection of stocks that traders can use as an asset to trade. These include:
Apple Inc. – Even with the loss of founder Steve Jobs, Apple continues to design and produce some of the very best computers and portable electronic devices on the market. The latter include portable audio and video players iPod, iPhone mobile communication devices, as well as multi-function iPad tablet. Apple shares are traded under the AAPL symbol.
Google Inc. – Google is another great choice for trading in the Forex market, if the trader of course decided to stop at this type of asset. Symbol of its shares on the stock exchange GOOG. The company is known primarily for its information search technologies, as well as developments for the Android mobile operating system.
Amazon Inc. – American company, the world’s largest in terms of turnover among selling goods and services via the Internet and one of the first online services focused on sale of real goods of mass demand. Symbol of its shares on the stock exchange AMZN.
Microsoft Inc. – The largest US software maker. The best-known products include Windows operating systems, Microsoft Office package, application software development and video games (Visual Studio), different system tools, as well as business and internet applications. Microsoft shares are traded under the symbol MSFT. Products sold in more than 80 countries, programs translated into 45 languages. A very popular and traded asset among traders.
Citigroup Inc. – An international financial corporation, one of the most profitable in the world and leading business in more than 130 countries. Listed on the major stock exchange NYSE. Citigroup offers its customers a complete line of banking and financial services, as well as leading his own investment activities and traders. Symbol of its shares on the stock exchange NYSE:C.
BP PLC. (British Petrol) – British oil and gas company, is one of the largest publicly traded oil and gas companies in the world. About a third of the company’s revenue is given by operations in the United States. Symbol of its shares on the stock exchange LON:BP.
Vodafone – In the world believe it is Vodafone’s largest provider of telecommunications services, which provides its services in thirty countries around the world. Vodafone’s shares are traded under the symbol VOD.
For those traders who prefer to invest in stock indexes, rather than in individual stocks, we can recommend some of the most promising indices. One such index is the American industrial Dow Jones or DJIA (Dow Jones Industrial Average). This index is a weighted average of the stock prices of 30 largest companies that are traded either on the NYSE (New York Stock Exchange, NYSE), either on NASDAQ. In most cases, traders come to a trading strategy that uses both individual company shares and share market indices.