http://www.blogigo.com/Stock_Market_Tips_India A blog on stock markets en summit12 summit12 Tue, 14 Jul 2009 12:22:00 +0200 daily 1  The overall trends of the stock market are best described by the word BEAR MARKET and BULL MARKET .  In a bear market the market is seen to decline over a certain period and traders generally sell quickly to save big losses. The Great Depression during the 1930s saw huge losses to investors and hence investors and traders are very cautious during the bear run. During the Bull Run, the prices of stocks increase steadily and sometimes steeply too. This builds up confidence and optimism in the investor. Stock prices rise dramatically and traders book profits too. The bear run and the Bull Run are influenced certainly by the economic conditions locally, domestically and internationally. The stocks take a beating during recession and the stocks rise during the economic boom. If you are a new investor; be cautious while trading both in the bear market and bull market conditions. There are many sites available in the internet which will give you ample valuable information about the market... Tue, 14 Jul 2009 12:22:00 +0200 http://www.blogigo.com/Stock_Market_Tips_India/Bear-Market-and-Bull-Market/2/ http://www.blogigo.com/Stock_Market_Tips_India/Bear-Market-and-Bull-Market/2/ This is the most popular theory in stock market investing . But the question is -– how would you know when a stock's price is ‘low’? The key: Compare a stock's price with its ‘value’. How is price different from value? -- Price is what the market is willing to pay for the share at a given time. It fluctuates from minute to minute. -- Value of a stock is the worth of its underlying business. It is more stable as fortunes of a company do not change overnight. Buy when price is lower than value If a share's value is Rs 150 and price is Rs 125, then you get the stock at a discount of Rs 25. While there is no guarantee that the price will not go below Rs 125, the probability is low. This principle is called the 'margin of safety' and finds it roots in the teachings of legendary investors -- Warren Buffet and Benjamin Graham. How to find out a share's value? To begin with, you can read financial statements and understand the... Mon, 01 Jun 2009 12:52:00 +0200 http://www.blogigo.com/Stock_Market_Tips_India/Buy-low-sell-high-How-Buffet-does-it/1/ http://www.blogigo.com/Stock_Market_Tips_India/Buy-low-sell-high-How-Buffet-does-it/1/