You short 50 shares at 70 dollars each and the price drops to 60 dollars. What id your profit?
500 dollars
What is a P/E ratio.
Comparison of the price of a stock to its earnings.
What is a market order.
An order to buy/sell at the current price
Apple's new Iphone does not sell as expected
Short
How you profit in short selling
Stock price goes down
Is lower or higher PE ratio better?
Lower
What is a limit order
An order to buy/sell a stock at a specific price
American Airlines has the lowest PE ratio of all airlines in America.
Buy
Name a reason you would short a stock.
...
A PE ratio helps to determine if:
A company is undervalued or overvalued.
What is the drawback of a limit order?
No guarantee your trade gets filled.
Target stock has reached levels of resistance
Short
Why is short selling risky?
Unlimited losses, but limited profits.
You should onyl compare PE values of:
companies within the same sector
Define support and resistance.
Support: buyers tend to buy at this price
Resistance: Sellers tend to sell at this price
An S&P 500 index fund has done poorly this month
Always buy S&P 500, in the long run it always goes up
Give a technical explanation of how short selling works
You borrow a stock from a broker, sell it, and buy it back to return it.
Name 3 companies that a PE ratio would help you decide between.
...
What is this an example of?
Support level.
Walmart has a lower PE ration than Roblox
Trick question, not enough information.