http:\\www.candlestickforums.com Fundamentals of Stock Growth The fundamentals of stock growth are what guide the eventual prices of stocks. Assessment of intrinsic stock value for long term investing depends upon understanding the fundamentals of stock growth. Likewise, options trading, day trading of stocks and futures trading all are more successful if traders keep an eye on the fundamentals of stock growth. Although the fundamentals are usually discounted by the market as soon as they are known, there is always speculation in any market. In options trading we refer to the time value of options contracts. This reflects the possibility that over a given span of time the fundamentals or market assessment of fundamentals might change giving rise to changes in stock prices, options prices, or futures prices. In trading with technical analysis tools such as Candlestick analysis the trader is reading how the market assesses fundamentals of stock growth via changes in stock price patterns. It will be important to understand fundamentals of stock growth as well as stock contraction in the days ahead. The economic news is less than happy. Manufacturing growth in China, the EU, and the USA all slowed in the last month. Japanese manufacturing has dropped off as well. Out of a world GDP of $62.9 Trillion the top four producers, the UE, the USA, China, and Japan account for $42.4 Trillion, as follows:

1. Fundamentals of Stock Growth
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2. The fundamentals of stock growth
are what guide the eventual prices of
stocks. Assessment of intrinsic stock
value for long term investing depends
upon understanding the
fundamentals of stock growth.
www.CandlestickForums.com

3. Likewise, options trading, day
trading of stocks and futures trading
all are more successful if traders
keep an eye on the fundamentals of
stock growth.
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4. Although the fundamentals are
usually discounted by the market as
soon as they are known, there is
always speculation in any market.
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5. In options trading we refer to the
time value of options contracts. This
reflects the possibility that over a
given span of time the fundamentals
or market assessment of
fundamentals might change giving
rise to changes in stock prices,
options prices, or futures prices.
www.CandlestickForums.com

6. In trading with technical analysis
tools such as Candlestick analysis
the trader is reading how the market
assesses fundamentals of stock
growth via changes in stock price
patterns.
www.CandlestickForums.com

7. It will be important to understand
fundamentals of stock growth as
well as stock contraction in the days
ahead. The economic news is less
than happy. Manufacturing growth
in China, the EU, and the USA all
slowed in the last months.
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8. Japanese manufacturing has
dropped off as well. Out of a world
GDP of $62.9 Trillion the top four
producers, the UE, the USA, China,
and Japan account for $42.4 Trillion,
as follows:
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9. World GDP in millions of US dollars,
2010 according to the IMF
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10. World - $62,909,274
EU - $16,282,230
USA - $14,657,800
China - $5,878,257
Japan - $5,458,872
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11. Stock traders and investors are
watching events around the world
such as the speed of recovery in
Japan after the earthquake and
tsunami. When Japanese production
goes down so does its demand for
raw materials.
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12. When its suppliers see less demand
for their products they, in turn, buy
fewer goods and that is not just
from Japan. Thus events such as the
natural disaster in Japan have a
ripple effect across the globe.
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13. In looking at the fundamentals of
stock growth the day trader or long
term investor will carry out
fundamental analysis of the stocks
he is following in order to see how
they may be affected by events in
Japan and elsewhere.
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14. The same individual will keep a close
eye on market sentiment regarding
his stocks and related market sectors
with Candlestick charting
techniques.
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15. A critical factor in analyzing
fundamentals of stock growth is that
growth of the world economy tends
to drive up commodity prices.
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16. Not only are oil futures, steel
futures, and natural gas futures
affected by a thriving economy but
so is economic expansion itself.
When the prices of necessary
commodities rise it comes to a point
at which the economic expansion
starts to lag.
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17. The wise trader or investor will be
watching Candlestick pattern
formations along the way in order to
decide when to sell stock, sell short,
or buy puts on stocks in anticipation
of a market reversal.
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18. As the world exit from the recession
cools off traders will be watching the
fundamentals of stock growth to buy
stocks that still have growth
potential, sell stocks that don’t, and
trade stocks with a large degree of
stock volatility.
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