- The bid-ask spread: what it is and why it matters for every tradeThe bid-ask spread is the gap between the best buy and sell prices. How it works, what it costs on every round trip, and how to measure it.
- Buy and hold investing: how it works and where it goes wrongBuy and hold means owning good companies through their ups and downs for years. How it works, what it demands of you, and where it can fail.
- Dividends explained: how they work and what they tell youDividends are cash or new shares paid to owners out of profit. How they work, how yield and payout ratio are worked out, and what they can and cannot tell you.
- Earnings reports explained: what to read first and what moves the priceAn earnings report shows a company's profit, revenue and outlook. What to read first, how to compare results, and why good numbers can still fall.
- Ex-dividend date, record date and payment date explainedThe ex-dividend date decides who receives a dividend. How the ex-date, record date and payment date work, and why the price often adjusts.
- Float and shares outstanding: how big a company really isShares outstanding and free float show how many shares exist and how many trade freely. How to read both, and why the gap matters for size and trading.
- How stock indexes work: weighting, reading and why they can misleadA stock index tracks a basket of shares. How the main weighting methods work, why an index can rise while most shares fall, and how to read one.
- How to compare two stocks fairly: a checklist and a worked exampleComparing two stocks fairly means matching size, sector, time frame and the measures you use. Here is a checklist and a worked example you can follow.
- How to use a stock screener: build a screen, test it, avoid the trapsA stock screener filters companies by rules you set. How to build a screen, the traps that give false results, and how to test it before you rely on it.
- How to read a stock chart: candles, volume and time framesA step-by-step guide to reading a stock chart: what a candle shows, how to use volume, how to choose a time frame, and what a chart cannot tell you.
- Index funds vs picking single stocks: what each one asks of youIndex funds spread money across a whole index, while single stocks concentrate it. Here is how they compare on risk, cost and effort, and how to choose.
- Market capitalization explained, with examplesMarket capitalization is the share price times shares outstanding. How to calculate it, how companies are grouped by size, and where it misleads.
- P/E ratio explained: what a good number is, and what it is notThe price-to-earnings ratio compares a share price with profit per share. Here is how to calculate it, what a high or low ratio means, and the traps to avoid.
- Penny stocks: why cheap shares carry the highest riskPenny stocks are very cheap shares with a high risk of loss. Here is why a low price misleads, how manipulation works, and what to check before any trade.
- Shareholder rights explained: what owning a share gives youOwning shares gives you limited liability, a share of profit, a vote, information and a claim on what is left. What each right means, and where it stops.
- Stock order types explained: market, limit, stop and stop-limitMarket, limit, stop and stop-limit orders set the price and timing of a trade. How each works, with examples, and the mistakes that cost money.
- Stock splits explained: why a lower price can change nothingA stock split changes the share count and price without changing the company's value. How splits work, what they do to a chart, and common myths.
- Trading volume explained: what it tells you about priceTrading volume is how many shares change hands in a period. What it tells you about conviction and liquidity, and how to read it with price.
- What is a share price and how is it set?A share price is the latest agreed price for one share of a company. Here is how it is set, what moves it, and what it does not tell you.
- What is an IPO? How new listings work and what to checkAn initial public offering (IPO) is a company's first sale of shares to the public. How IPOs work, what to read in a prospectus, and the risks.
Stock Market Guides for Beginners
How shares, share prices, indexes and company numbers work, and how to read them.