Stock Trading News

January Effect

The January Effect is a well-known phenomenon in financial markets where stock prices – particularly those of small-cap stocks – have historically tended to rise more in January compared to other months of the year. This anomaly has been observed and studied by economists, traders, investors, and financial analysts for decades. In turn, it’s sparked […]

Liquid Alternatives: Finding Liquid, Uncorrelated Returns Streams

‘Liquid alternatives’, sometimes called ‘liquid alts’, is a source of investment returns that is both: a) liquid (i.e., you can buy and sell it at a published price during regular market hours) and b) uncorrelated to traditional returns streams (where the ‘alternative’ comes from).   Key Takeaways – Liquid Alternatives Diversification – Liquid alternatives provide […]

Mark Minervini’s Momentum Trading Strategies

Mark Minervini is a popular stock trader and two-time US Investing Champion (1997, 2021) known for his exceptional returns and risk management. His approach combines technical and fundamental analysis into a strategy for identifying and trading high-momentum stocks. Let’s explore the key components of Minervini’s trading strategy.   Key Takeaways – Mark Minervini’s Momentum Trading […]

Dividend Futures

Dividend futures are financial derivatives that allow traders to speculate on or hedge against future dividend payments of a specific stock or index. These instruments have gained popularity as a way to speculate on future dividend stream trajectories without the need to own the underlying securities.   Key Takeaways – Dividend Futures Pure dividend exposure […]

Elasticity and Inelasticity of Demand & Supply

The elasticity of demand refers to the degree of responsiveness of the demand for a product or service to changes in its price. A good is considered to be elastic if an increase in its price results in a significant decrease in the quantity demanded, and vice versa. It is also referred to as “price […]

New Trading Opportunities: LiteFinance Adds 32 Stocks

LiteFinance has bolstered its selection of equities, providing exposure to fresh stocks listed on the New York Stock Exchange (NYSE) and the National Association of Securities Dealers Automated Quotations (NASDAQ). Key Takeaways 32 new stocks are available on the LiteFinance platform, including American Airlines, Salesforce, Dell, and Goldman Sachs. The minimum trade size is 1 […]

How to Measure Risk in Financial Markets (VaR, Standard Deviation, and More)

Measuring risk is a critical aspect of finance as it helps traders/investors, financial institutions, and companies make informed decisions about their trades, investments, and their overall financing activities. The importance of measuring risk in finance can be summarized as follows: Risk and return are intertwined: By and large, every investment involves a trade-off between risk […]

19+ Reasons Why Short Selling Is Important in Financial Markets

Many market participants have negative opinions of short selling, but it’s essential to healthy, functioning financial markets. In this article, we explain the various benefits of short selling.   Key Takeaways – Reasons Why Short Selling Is Important in Financial Markets We cover the following: Hedging and Risk Mitigation Market Makers Need to Short to […]

GO Markets Adds Over a Thousand New Stock CFDs

GO Markets has bolstered its investment offering with more stock CFDs, presenting short-term trading opportunities on big names in the US and beyond. Key Takeaways 1000+ new share CFDs are available at GO Markets, including Spotify, Workday, and DoorDash. Stock CFDs can be traded on the broker’s MetaTrader 5 (MT5) platform with a $200 minimum […]

Sector Beta Arbitrage

Sector beta arbitrage is a trading strategy that tries to exploit mispricings between different stocks or sectors in the stock market based on their risk levels. This strategy leverages the concept of “beta,” which measures the sensitivity of a sector or stock’s returns relative to the overall market. Sometimes the strategy means, more generally, the […]

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