dt动量交易教材(11)

2020-11-29 00:46

dt动量交易教材

In bankruptcy proceedings. Know the story before you buy these stocks!

Companies will issue new shares and give existing shareholders the right to buy theshares for a brief period at a specified price. If this price is below the market value, therights have a value in themselves. Rights can be freely traded.

Warrants. Warrants entitle the holders to purchase shares at a specified price. Warrantsare entitlements that last for years and sometimes indefinitely.

American Depository Receipt. These are receipts proving that the stock is being held byan American bank. It is a way a foreign company can trade their stock on the U.S.

exchanges without meeting the disclosure requirements of the U.S. securities laws.

NASDAQ stocks will adjust their prices before the market opens, reflecting the overnight action.This is beneficial for the overnight investor, as it gives an indication of the direction of the stock,and the percentage up or down it will open at. If my stock is going to open up providing a niceprofit, I will sell a few minutes before the open. I will then watch for the sell off and buy again.The direction of a NASDAQ stock at the open is very tough to determine because the trades aredelayed due to a bottleneck of information sent by the NASDAQ exchange. This is generally truewith the other exchanges as well. Trading at the open is very risky due to this delay. The onlyway you can tell the direction is when the BID and ASK changes. Always be very cautious at theopen because of this problem. The bottleneck effect will usually clear up in 5 to 10 minutesdepending on the volume of trades.


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