Understanding the Dow Jones index
Friday, June 8th, 2007Revising the DJIA, Dow Jones
On May 26th 1896 Charles Dow first introduced the industrial stock average we know today as the Dow Jones Industrial Average. This was a time when the stock market was not highly regarded and Investors were more likely to invest in bonds rather than stocks.
In today’s world we regard the stock market as a vehicle which when used with some guidance and self-education can provide us with a source of regular income.
The Bull Hunters Guide to the US Stock Market gives us an insight as to how the market works. When Sean Rasmussen authored this eBook he provided us with an understanding and a very useful tool to guide us through the jungle of what makes up the market and its day to day workings.
The 30 Stocks of the DJIA
We know that there are 30 stocks that make up the DJIA and then these 30 components are split into a further 5 groups: Industrials, Financials, Consumer cyclicals, Consumer non-cyclicals and Technology stocks.
After yesterday’s drop of almost 200 points, there had been speculation prior that the bullish rally would have a correction which was due to low trading volume and more volatility.
Trading Platforms
Those of you who are interested in learning more about how these stocks shape up and follow the US Stock Market I found this great website at stocktrak.com where you can sign up for an account for a nominal fee depending on if you have delayed prices which seem sufficient to practice with, or real prices.
Remember for those of you not in the US the market may be open in our sleep time.
StockTrak is the webs most comprehensive trading simulation tool and is used by 80% of the top business schools in the US every year to teach students how to trade on the stock market.
As individuals wanting to learn this instrument it is a very educational way to place trades and start practicing how to trade options – one of them being renting shares.
New look Bullhunter Blog
If you are a return visitor to the Bullhunter blog tell us what you think of the stylish new look. Does it work for you? Is it simple to follow and easy to find previous articles? Sean is busily working on the next installment to his first eBook and I know there are some of you eager for it to surface so that we can get stuck into the nitty gritty of real live trades. Keep charging Bullhunters until next post.
Angela Recchia
Graduate Support
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