Need to know financial terms to be successful in screening and trading stocks
This book covers the financial terms used to select stock before trading and investing. All significant financial terms are explained in plain and simple language. The readers will increase the odds in their favor to win or profit in the stock markets.
Most people don’t always have a firm basic background on the work which means we might not get the expected result, even if we put forth our best effort. If we don’t achieve what we are looking for we give up and find another way to reach our goals. This is a terrible mistake, creating a circle that takes us nowhere, never letting us progress.
Understanding the basic background of what we are attempting to do is the best way to bring us closer to the target or our goal. To be active in investments or trading in any stock market, it is so crucial and imperative that we understand all the significant terms that are used to determine how good or how bad stocks are.
Once we understand all these important terms, we will learn the mechanism of stock prices - why it goes up and comes down. What are other investors or traders thinking? Why do they refer to these important terms and how do they benefit from them? In other words, we will know much more about the game that we are engaging in.
It is also critical to mention that one of critical ingredient for success in stock market is to remain calm and not be too emotional. Once people give in to their emotions, they likely aren’t going to make the right or best decision. By learning all the basic terms and the background of stock through clearly explained definitions, a confidence will develop in us and we can better control our minds.
In this book, the readers will learn all these financial technical terms that are used to select stock and they can be used to perform stock screening to suit with our stock selecting strategies. These financial terms are grouped in a logical manner which includes terms that are used for stock, sales, valuation, debt, dividends, earnings, performance, profitability, trading, and analyst.
These financial terms will purposely prepare us for searching stocks in the market using a stock screener. They are a part of the stock selecting criteria. Investors and/or traders will input the value of these financial terms in the stock screener then the screener will search for stocks that meet the inputted financial terms. Imagine, if we don’t understand these financial terms we will certainly not be able to provide good criteria for a stock screener to search for a stock. If we don’t know them well and we input them in the stock screener, what are we going to expect? Of course, the stock screener will not search or choose the right stocks for us.