In the world of stock analysis, fundamental and technical analysis are on completely opposite sides of the spectrum. Earnings, expenses, assets and liabilities are all important characteristics to fundamental analysts, whereas technical analysts could not care less about these numbers and only focus on price and volume.

A phrase used for a stock where the price has dropped significantly in a short period of time. A falling knife security can rebound, or it can lose all of its value where the shares become worthless.

One of the ways to define a corporation. S Corporations are allowed by the IRS for most companies with less than 75 shareholders.

The total amount that the federal government has borrowed including internal debt (borrowed from national creditors) and external debt (borrowed from foreign creditors).

A Stop Limit is an order that combines the features of stop order with the features of a limit order. A stop limit order executes at a specified price (or better) after a specified stop price is reached. After the stop price is reached, the stop limit order becomes a limit order to buy (or sell) at the limit price or better.

The total market value of all final goods and services produced in a country in a given year, equal to total consumer, investment and government spending, plus the value of exports, minus the value of imports.

The merger of companies at the same stage of production in the same or different industries.

To help you get started in learning How The Market Works and to help you along the path of becoming an educated investor, we have put together “12 Beginning Stock Market Concepts”

As we plan our investment strategy, we must examine current events. The market has been focusing on current events as the number one driver of market direction. As a result, most large investors are now biting their fingers waiting for the next shoe to drop.

“The trend is your friend” is one of the best known sayings, although it’s message is incomplete. The full version should be, “The trend is your friend, until the end when it bends.”

US federal legislation of 1890 that prohibited the creation of monopolies by outlawing direct or indirect attempts to interfere with the free and competitive nature of the production and distribution of goods. Amended by the Clayton Act of 1914. Also called Sherman Act.

Many experienced investors forgot a popular stock market adage to “NEVER CATCH A FALLING KNIFE” when they picked Apple stock (AAPL) at $500 a share.

An order to buy or sell a stock at a fixed price. This order is active until 1) the trade is executed, 2) the investor decides to cancel it or 3) a specified time period elapses.

Stock prices are a direct result of supply and demand. All the other influences like debt, balance sheets, earnings and so on affect the desirability of owning (or selling) a stock.

A short call option position where the writer does not own the specified number of shares specified by the option nor has deposited cash equal to the exercise value of the call.

A high-risk bond with a low credit rating. Junk Bonds usually have a much higher yield than investment-grade bonds.

An alternative retirement plan to a 401(k) plan offered by non-profit organizations such as universities and charitable organizations, rather than corporations.

When a company offers to trade one security in return for another security.

Stock market prices are affected by business fundamentals, company and world events, human psychology, and much more.

You do not need anything else on a stock chart but the candles themselves to be a successful swing trader! And, there is nothing that can improve your trading more than learning the art of reading candlestick charts