Retail investors with less experience may be struggling to adjust because they’re familiar with the prominent technology companies. However the market often passes through multiyear cycles. Understanding changes in investor sentiment can help traders avoid areas of weakness and focus on new opportunities.
In December, Market Insights noted how money was shifting away from large, well-known companies to smaller and less-known companies.
All else being equal, a trader with poor stock selection and sound risk management will outperform and survive longer than the trader with great stock selection and poor risk management.
The video-game retailer entered the session with a year-to-date gain of over 1,600 percent, propelled by a short squeeze of epic proportions. Seconds after 10 a.m. ET, it reached a high of $483. GME then reversed and plunged 77 percent to $112.25 by 11:25 a.m. before bouncing.
The DJ Automobile Manufacturers Index ($DJUSAU) has gained 88 percent in the last three months. That’s the biggest gain of more than 150 industry indexes on the TradeStation platform. The Auto Part Index ($DJUSAP) was the second-best performer, up 78 percent. In contrast, the broader S&P 500 has risen 12 percent in the same period.
The second choice is where to trade. Currently, we have access to 50,000 global securities. We can facilitate offshore stock trading in
China, Hong Kong, Japan, Taiwan, Korea, Thailand, Singapore, Malaysia, Indonesia, and the Philippines as well as Australia. Brokerage fees start at just USD 9.99 and range between 0.1 – 0.3%.
The Invesco Solar Energy ETF (TAN) shot 3 percent above its previous 52-week high yesterday. Of the 40+ thematic funds tracked by Market Insights, TAN is the only one above its early-September high. It’s also the top performer in 2020 with a gain of more than 100 percent.
First, even if you don’t trade currencies (and most people don’t), they can have a big influence on the stock market. Moves in the foreign-exchange markets impact companies operating outside the U.S. They can also move commodity prices and related stocks.
According to the Australian Trade and Investment Commission, the Asian region accounted for 62% of Australia’s two-way trade last year.