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How long do we have before the stock market drops to around 5000?

(I have heard on the news that it could happen very soon.) Answer: IF we go back to 5000, then something major will have happened. Short of a terrorist attack, we wont ever be seeing DOW 5000. I think we might see DOW 9500 again before we see DOW 11000, but I think in a year we will be comfort

08.6.2010 | US Market | TonyLiu

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Can anyone recommend a good book on stock market technical analysis?

(Something the average person can read and use - a solid nuts and bolts approach is what I'm looking for.) Answer: Here's a few names to check out in Amazon: Achelis, Steven B. Technical Analysis from A to Z. Chicago, IL: Probus Publishing Company, 1995. Written by the president and foun

08.6.2010 | US Market | TonyLiu

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How do you start to play the stock market?

(I want to jump in, what do you do? besides watch the news and pay attention. serious answers please.) Answer : You should probably swing by a library and pick up a book on the basics of investing first...it'll help you with the terminology and the various kinds of investments you can m

08.6.2010 | US Market | TonyLiu

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What is speculationin the stock market?

(Is it like buying 1000000 shares of a certain stock(which will raise its value)then sell for quick profit?) Answer : speculative trading is not like what you imagine. this type of trading is normally participated by well equipped and experienced traders, who can influence the market; su

08.6.2010 | US Market | TonyLiu

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What was the cause of the 1929 stock market crash?

(What were president hoovers attempts to resove? And What was the "New Deal and what it accomplished. THANKS!) Answer: The stock markeet crashed because people bought stock in margin which meant they paid for part of the stock and when the stock prices started to fall everyone withdrew t

08.6.2010 | US Market | TonyLiu

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How do I get started in the stock market?

(I am 18 years old and I just graduated so I have almost $2000 to play with from my graduation gifts. College is being paid for but I would like to keep half or so to put away because I'm going away. I want to invest in Apple Computers (AAPL) now before the summer goes underway and people start

08.6.2010 | US Market | TonyLiu

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How would you simplify understand how the stock market works?

(I have tried years to understand it and I am still lost. Not trying to sound like a dummy here but it seems so complicted to me.) Answer : Hello, No, the market is not complex at all. Just the maturity of thinking behind it is humongous. Think as if stocks is just your own business. Yo

08.6.2010 | US Market | TonyLiu

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What is the big deal about the stock market and the economy? What is making it so bad?

(I have no idea how the economy works or anything like that, so dumb it down for me) Answer: Well, in a nutshell, people are worried about the security of their investments and are making changes in case certain areas of business have problems in the near future, like American banks and such.

08.6.2010 | US Market | TonyLiu

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When people talk about points regarding the stock market, what do they mean?

(I know what basis points are with bonds. 1) Is it correct and/or common to talk about BASIS points when referring to equity? 2) When people speak of points regarding equity, is this term used BOTH to refer to a percentage change of 1% AND at different times to refer to a change of a doll

08.6.2010 | US Market | TonyLiu

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Is it wise to invest in the stock market while still in debt?

(Im currently about $5,000 in debt (will be paid off by August!), is it okay to invest right now?) Answer : It would be foolish for a market novice to invest available money in the stock market if you could use that money to pay off your debts. Investing in the stock market ain't easy and

08.6.2010 | US Market | TonyLiu

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What caused the stock market to collapse?

(a. businesses failed b. stock prices were higher than the companies intial worth c. more stocks were sold than there were stock holders) Answer : The answer is B. The stock market crash in 1929 was due to people not investing in companies but speculating. The "on paper" value of the c

08.6.2010 | US Market | TonyLiu

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