Skip to main content

Top Tools That Every Trader Should Use

Traders are in the business of taking on board vast amounts of information every day. That’s their job. But that information comes to them in the form of undigested prices. There’s no theory to back anything up. No discussion of the fundamentals. And certainly no hint as to whether prices are going to go up or down.

Thus, traders need to go well beyond the raw data. They have to have working models in their minds about how their trades are going to play out. And, in order to do this, they need to have the best tools.


Whether you’re just starting out, or whether you’re a pro, here are some of the resources you’ll need.

Investopedia Dictionary

The world of trading is full of jargon. Traders have developed their own language in order to speed along their work. But that new language takes a little while to learn. Even people who have been in the business for a while still come across new terms.

Investopedia Dictionary is a famous and great resource. It has detailed and fully explained articles on thousands of investment topics. And it’s a great, free resource for investors looking to brush up on their knowledge.

Trading Video Collection

A lot of people don’t learn very well by reading. Not to worry. Not there are online video collections that cover all sorts of trading topics.

What’s more, these videos are actually high quality. Sites like freeonlinetradingeducation.com offer free tuition. They go through entire series of topics from the simplest to more advanced.

Stock Screeners

A stock screener is essentially a program that allows you to find the stocks that interest you. You can filter by price-earnings ratio if you’re interested in fundamentals. Or you can use moving average values if you are interested in trends.

The whole point of stock screeners is to filter information. If you’re a trader who doesn’t have favorites, stock screeners are a great way to buy based on current information. You can get straight to the stocks that interest you, without having to wade through thousands of irrelevant metrics.

News Services

Everyday conditions in the world of trading change. And everyday traders need to be aware of what exactly is going on out there. That’s why most traders will use some type of news service to funnel all the relevant information to their desk. Tools like Newsmap allow traders to see the stories that affect them. These tools are able to gather headlines that affect traders and organise them in one place.

If you’re doing research, you can also scan for relevant topics. Over time, you’ll get a sense of how a market is developing, just from the sheer number of related news articles. Plus, if conditions change, you’ll be able to react quickly, having already built up substantial knowledge.

Nasdaq US Economic Calendar

Keeping track of the market timetable can be difficult. But thanks to tools like the Nasdaq economic calendar, it’s now simple. You can keep track of events in the stock market as easily as you would TV listings. Just log on to a site like nasdaq.com to see what events are coming down the pipe.



Comments

Popular Posts

Your Bill Amounts Are Going To Increase From June 1, 2016

Service tax is a tax levied by the government on service providers on certain service transactions, but is actually borne by the customers. It is categorized under Indirect Tax and came into existence under the Finance Act, 1994. Union Finance Minister, Arun Jaitley, in his budget announcements proposed to impose a cess, called the Krishi Kalyan Cess, @ 0.5% on all taxable services. The present rate of service tax will be hiked to 15 per cent from June 1, 2016, from 14.5 per cent. Take a look at what gets expensive:



Phone Bills: Your phone bills are going to go up. So, pay a good 15 per cent now on service tax on phone bills.

Restaurant Bills :If you are dining in a restaurant that already has service tax applicable, you are going to pay more on your eating out. Though 0.5 per cent on a single bill may not mean much, frequent diners may end-up paying a lot during the year.

Travelling: You will have to pay more for air travel, as there is a service tax on tour operators and travel agents.

Moneycontrol Terminal - Streaming Live Quotes

Moneycontrol has introduced a new feature Moneycontrol Terminal - an enhanced version of real time price updates. Though there were live quotes provided by the website previously, the present form  gives a better update of live quotes of indices and stocks.

This terminal provides live streaming quotes for both NSE and BSE free. It also provides quotes for most of the indices and also the constituents/stocks of the indices in BSE and NSE.  The terminal also provides live news and other market news, which might be useful for traders. The hardware recommended is minimum of 1 GB RAM.

It would be better if stock of any choice could be added ( market watch of a set of stocks ), which would be easier to track one's trading positions. Anyway, this is a better alternative for people who don't have access to any trading software, to view live action of the markets.




You could just try the same here at Moneycontrol Terminal


NSE Level 3 Data

Before we get into details of NSE Level 3 Data, it is important to first understand the basic operations of the stock market.  All publicly traded equities have a bid price and an ask price when they are bought and sold. The bid is the highest price a trader( or an investor) is willing to purchase a stock. The ask is the lowest price in which he is willing to sell a stock.


Depth of the Market(DOM):Looking at a Level 1, Level 2 or Level 3 quotes can give a trader, a basic idea of how a stock is performing at any given time.

Level 1 Market Data provides the basic market data which includes Bid price, Bid size, Ask price and Ask size.

Level 2 Market Data provides more information than Level I data. Mainly, it doesn't just show the highest bid and offer, but also shows bids and offers at other prices. Now level 2 provides market depth data upto 5 best bid and ask prices.

Level 3 Market Data provides market depth data upto 20 best bid and ask prices .  This primarily used by brokers and ma…