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The Difference Between Cash Accounts and Margin Accounts

First, I will discuss cash accounts and then I will discuss margin accounts. A cash account, is one in which the customer agrees to pay the full amount of his purchase price within three (3) days of...

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A description of stock splits and reverse stocks splits and why companies...

Stock splits and reverse stock splits (which as you might imagine are opposites of each other) are troubling things for economists. This is because neither of them change the real value of a company or...

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What is a bear market?

This article summarizes the conditions of a bearish stock market. It identifies characteristics that an investor should look for and investment pointers. Bearing the Crunch The 1987 stock market crash....

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What is a bull market?

This article defines the characteristics of a bull market and the driving forces behind it. It also gives tips on investment ideas. Taking the Bull by the Horns What can be more favorable and...

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What is “Short Selling?”

What is “Short Selling” ? First off, If you are not sure, it is something you definitely do not want to be doing until you have more experience with investing. But it’s good to start learning now. What...

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What Does “Bid and Ask” Mean?

What to people mean when they talk about “Bid and Ask”? Probably the easiest way to begin to understand the “Bid and Ask” is to just imagine a “market situation” with just two people. So we’ll imagine...

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Contrarian Investing Theory

The Contrarian investor is that one can profit by doing the opposite of the majority of investors. To buy or sell stock, it’s important to understand the different styles of stock market investing....

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