It’s like the words “involuntary movement,” “futility,” and “dilemma.”
The stock market is about choices. The bigger the choice, the lower is the return. You can buy and sell stock more or less at will – even in the midst of a down market. And you might even be able to take a profit on every trade!
But as a rule, if the market is selling less than it should, then the stock price should drop – no matter how well you plan on trading. When this happens, the investor might be very confused, if you get it right – or it might even create a market-wrecking panic.
The other thing to keep an eye out for is a stock that tends to move in a direction favorable to the investor. Say the stock is trading 20% up, which seems nice! It is, of course, in that scenario that people look for the “risk free” position of 25%. If the stock goes up 20% it might not be so great! But it might also happen, that just as you were about to buy, it goes up 30%!
How much volatility do stocks exhibit?
It’s a complicated subject, but the following table illustrates the general characteristics of the stock market:
Price Performance Over Time Over Stock Movement Over Stock Trend
What’s a “typical” price?
The chart below shows the price at which a certain number of other stocks have also traded. What do these prices look like? I’m going to list the names of the stocks below, and they are on the same day to show you that there’s nothing unusual about the prices of these stock.
Name Price At
That Same Date Price At
That Same Date Total
Change Stock A 5.75 1.25 3.70 0.90 0.80 -0.18 -0.07 1.75 -1.26 Stock B 9.25 1.85 4.65 -0.10 -0.02 -0.10 -0.05 -1.19 -3.04 Stock C 10.00 2.27 6.00 -0.12 -0.01 -0.16 -0.02 -1.42 -6.29 Stock D 15.00 3