Index AAA bonds, 20–21 Advice, 164–165, 171, 187 After-hours trading, 53 Amazon.com, 183 American Stock Exchange (AMEX), 6, 7, 84 Annual reports, 93, 95–96 Arbitrage, 180 Ask price, 51–52 Asset allocation, 38–39 Assets, 93, 94 Averaging down, 72 Balance sheets, 93–94 Bar charts, 110–111 Bear markets, 27 Bearish patterns, 120–123 Berkshire Hathaway, 40–41, 104 Bid price, 51–52 Bills, 20 Blodget, Henry, 183–184 Bogle, John, 40 Boiler Room (film), 34 Boiler rooms, 33–34 Bollinger bands, 137–138 Bond rating, 21 Bonds, 19–21, 20 189 Boston Stock Exchange, 7 Bottom fishing, 71–72 Breakaway gap, 126 Brokerage firms: discount, 57–58 full-service, 55–57 going on margin with, 63–64 investment banking divisions of, 184 opening account with, 58 and order types, 58–61 placing orders with, 61–62 Brown, Tom, 184 Bubbles, 168–169 “Bucket shops,” 128 Buffett, Warren, 8–9, 52, 70, 89, 95, 104–105, 176 Bull markets, 27–28 Bullish patterns, 121–124 Buttonwood Agreement, 6 Buy-and-hold strategy, 70–71, 175–176 Buy-on-the dip strategy, 71 Call options, 81–82 Candlestick charts, 111, 112 CANSLIM, 75–76 Capital gains, 5 Capital loss, 5 Copyright © 2004 by The McGraw-Hill Companies, Inc. Click here for Terms of Use.
190 INDEX Capitulation, 144–145 Cash, 25–26, 166, 172 Certificates of deposit (CDs), 25, 152 Characteristics and Risks of Standardized Options, 83 Charts: bar, 110–111 candlestick, 111, 112 line, 109–110 stock, 108–109 Chicago Board Options Exchange Volatility Index (VIX), 142–143 Chicago Mercantile Exchange (the Merc), 139 Churchill, Winston, 107 Churchill (James C. Humes), 107 Churning, 56 Cincinnati Stock Exchange, 7 Commercial paper, 25 Commission-based system, 56 Commissions, 6, 56 Commodities, 138–139 Common stocks, 5 Compound earnings, 39 Compounding, 39–40 Conquer the Crash (Robert Prechter), 154 Consolidating stock, 114 Consumer price index (CPI), 153 Continuation gap, 126 Contrarian investing, 74, 142–144 Coolidge administration, 65 Corporate bonds, 20 Corporate insiders, 92–93 Corporations, 5, 8 Cost, stock, 13 Coupons, 20 Covered calls, writing, 83–84 Covering your position, 79 CPI (consumer price index), 153 Crash(es), market: of 1929, 65–66, 144, 161 of 1987, 57, 144, 161 Crowd, following the, 165–166 Day traders/trading, 9, 57, 77–78 Debt, 154 Decimalization, 52 Deflation, 153–154 Detailed stock quotes, 50–52 DIA (see Dow 30) Discipline, 163 Discount brokerages, 57–58 Divergence, 136 Diversification, 22, 26, 37–38, 55, 162 Dividend stocks, 30 Dividends, 32 DJIA (see Dow Jones Industrial Average) Dollar, 151 Dollar-cost averaging, 72 Double bottom pattern, 122–124 Double top pattern, 122, 123 Dow, Charles, 10–11 Dow 12, 176 Dow 30 (DIA), 16–17, 85 Dow Jones Industrial Average (DJIA), 10–11 Dow Jones Transportation Average, 10–11 Downtrends, 112–113 Dutch tulip bulb mania, 168–169 Earnings estimates, 173 Earnings per share (EPS), 99–100 ECNs (see Electronic Communication Networks) Economic indicators, 153 EDGAR database (see Electronic Data Gathering Analysis and Retrieval database) Edgar Online, 93 Electronic Communication Networks (ECNs), 62, 64 Electronic Data Gathering Analysis and Retrieval (EDGAR) database, 92, 93 Emotional involvement, 160–161, 172–173
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UNDERSTANDING STOCKS Michael Sincer
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For more information about. this ti
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Acknowledgments I’d like to give
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Introduction This book will be diff
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INTRODUCTION ix losing money (Part
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PART ONE WHAT YOU NEED TO KNOW FIRS
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1 C H A P T E R Welcome to the Stoc
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WELCOME TO THE STOCK MARKET 5 techn
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WELCOME TO THE STOCK MARKET 7 was c
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WELCOME TO THE STOCK MARKET 9 long
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WELCOME TO THE STOCK MARKET 11 Jone
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WELCOME TO THE STOCK MARKET 13 10,1
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WELCOME TO THE STOCK MARKET 15 For
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WELCOME TO THE STOCK MARKET 17 McDo
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2 C H A P T E R Stocks: Not Your On
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STOCKS: NOT YOUR ONLY INVESTMENT 21
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STOCKS: NOT YOUR ONLY INVESTMENT 23
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STOCKS: NOT YOUR ONLY INVESTMENT 25
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STOCKS: NOT YOUR ONLY INVESTMENT 27
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3 C H A P T E R How to Classify Sto
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HOW TO CLASSIFY STOCKS 31 dividend
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HOW TO CLASSIFY STOCKS 33 Penny Sto
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HOW TO CLASSIFY STOCKS 35 run fairl
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4 C H A P T E R Fun Things You Can
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FUN THINGS YOU CAN DO (WITH STOCKS)
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FUN THINGS YOU CAN DO (WITH STOCKS)
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FUN THINGS YOU CAN DO (WITH STOCKS)
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FUN THINGS YOU CAN DO (WITH STOCKS)
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FUN THINGS YOU CAN DO (WITH STOCKS)
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5 C H A P T E R Understanding Stock
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UNDERSTANDING STOCK PRICES 51 Views
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UNDERSTANDING STOCK PRICES 53 After
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6 C H A P T E R Where to Buy Stocks
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WHERE TO BUY STOCKS 57 whether a fu
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WHERE TO BUY STOCKS 59 Market Order
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WHERE TO BUY STOCKS 61 Some people
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WHERE TO BUY STOCKS 63 market, avoi
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WHERE TO BUY STOCKS 65 ways was eer
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PART TWO MONEY-MAKING STRATEGIES Co
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7 C H A P T E R Want to Make Money
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WANT TO MAKE MONEY SLOWLY? TRY THES
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WANT TO MAKE MONEY SLOWLY? TRY THES
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WANT TO MAKE MONEY SLOWLY? TRY THES
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8 C H A P T E R Want to Make Money
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WANT TO MAKE MONEY FAST? TRY THESE
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WANT TO MAKE MONEY FAST? TRY THESE
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WANT TO MAKE MONEY FAST? TRY THESE
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PART THREE FINDING STOCKS TO BUY AN
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9 C H A P T E R It’s Really Funda
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IT’S REALLY FUNDAMENTAL: INTRODUC
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IT’S REALLY FUNDAMENTAL: INTRODUC
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10 C H A P T E R Fundamental Analys
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FUNDAMENTAL ANALYSIS: TOOLS AND TAC
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FUNDAMENTAL ANALYSIS: TOOLS AND TAC
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FUNDAMENTAL ANALYSIS: TOOLS AND TAC
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11 C H A P T E R Let’s Get Techni
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LET’S GET TECHNICAL: INTRODUCTION
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LET’S GET TECHNICAL: INTRODUCTION
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12 C H A P T E R Technical Analysis
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TECHNICAL ANALYSIS: TOOLS AND TACTI
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