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Paper Topic:

about dow Jons and Nasdaq company

Dow Jones and NASDAQ

An Overview of the Greatest Stock Markets in US

Abstract

Charles Dow the co-founder of Dow Jones Company and the editor of Wall Street Journal created the 19th century Dow Jones Industrial Average known informally as Dow Jones . Today Dow consists of nearly 30 biggest public companies in the United States . The price moments of stocks are compiled in the six fold Dow Theory which gives a technical analysis on the stocks . Like all theories this theory also has some conflicting criticisms as well as support p

NASDAQ is the American Stock Exchange with more than 3 ,200 companies listed in it . Naturally the average trade is more than any other US markets . This stock market is monitored by Securities and Exchange Commission (SEC . This is the first electronic stock market in the world

Analysis

Dow Jones six point theories are based on the following

Three trends as pointed out by Dow Jones are 1 . Uptrend , 2 . Downtrend 3 . original direction

These trends have three phases , 1 . Accumulation phase , 2 . Rapid price change phase , 3 . Holdings distribution page

Stocks fluctuate depending on news

The averages of the stock market should confirm one another

Volumes confirm the trends

Unless the signs of a trends existence is completely erased , trends do exist

Based on these theories and editorial advices some feel that Dow Jones can earn less when compared to the strategy used to buy and hold which might benefit a portfolio well diversified . It is said that the Dow Jones strategy produced returns 12 while the buy and hold strategy showed a 15 .5 returns . But many feel that Dow Jones Portfolio produces extensive risk-adjusted returns . However many technical analyst use the Dow Jones Theory of trends for modern technical analysis

As far as NASDAQ is concerned it accounts for 14-15 shares traded . And have almost a 45-98 trade volume . The quotes in NASDAQ are available in three levels and they are

Level I - reveals the lowest and the highest bid

Level II - reveals all public quotes

Level III - used to enter and execute quotes

NASDAQ lists almost 3 ,200 securities and 335 non-US companies representing all types of industrial sectors . Any company to qualify to list in NASDAQ should be a registered with SEC

Conclusion

Consumer spending and their attitudes influence the highly volatile stock market . Strong economic growth with result in more corporate profits and that affects the stock prices . Both the productions and exports affect the market trends . Thus the economy depends upon inflation and strong growth is all sectors . Thus the bull and bear markets are directly connected to the economy of a country

References

HYPERLINK "http /www .nasdaq .com /asp /econodayframe .asp ?page http /www .nasdaq .com econoday /index .html http /www .nasdaq .com /asp /econodayframe .asp ?page http /www .nasdaq .com /e conoday /index .html

HYPERLINK "http /www .nasdaq .com /reference /nasdaq_facts .stm http /www .nasdaq .com /reference /nasdaq_facts .stm

HYPERLINK "http /en .wikipedia .org /wiki /NASDAQ http /en .wikipedia .org /wiki...

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