S T O C K M A R K E T. It is a place where the most of the shares of the company can buy, sell, and hold the stocks either over the counter or via trading in buying the stock options. It is also known as a free-market economy that offers the ability to access capital in exchange for offering those interested outside parties in the ownership of the company.
What affects stock prices?
Here are the 4 main factors to forecast how the market moves successful.
1. Company earnings.
One of the main factors to forecast the amount of the company earns that will affect the value of its stocks. Knowing the fact that the earnings are the profit of the company. It determines the financial health of the company.
2. Internal issues.
One of the most and main important factors. Theses issues of the company affects the value of the stocks.
3. Industry news.
It is not just about the internal environment of the company BUT also the external environment can affect the value of the stocks. News may affect the stocks of the company. That is why most of the traders need to check the industry news.
4. Analyst ratings.
This is also considered as the important factors that will affect the stock prices. Analyst ratings are the one that provides recommendation on whether to buy, sell or hold the stocks. it will help you to trade on the price difference.
How to predict the price?
Well, the stock market differs in different factors that affect it, BUT it does not differs in way of analyzing as well as predicting how the market moves.