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Define

technical analysis: A method of evaluating securities by analyzing statistics


generated by market activity, such as past prices and volume.

fundamental analysis: A method of evaluating a security that entails


attempting to measure its intrinsic value by examining related economic,
financial and other qualitative and quantitative factors.

value investing: The strategy of selecting stocks that trade for less than their
intrinsic values.

momentum investing: An investment strategy that aims to capitalize on the


continuance of existing trends in the market.

Dow Dogs Theory: A theory which says the market is in an upward trend if
one of its averages (industrial or transportation) advances above a previous
important high, it is accompanied or followed by a similar advance in the
other.

computerized trading: Trading with the use of a computer to make the trades
on

day trading: attempting to make profits by making rapid trades intraday

high frequency trading: A program trading platform that uses powerful


computers to transact a large number of orders at very fast speeds.

2010 flash crash: The quick drop and recovery in securities prices that
occurred shortly after 2:30pm Eastern Standard Time on May 6, 2010. Initial
reports that the crash was caused by a mistyped order proved to be
erroneous, and the causes of the flash crash remain unknown.

exchange traded funds: A security that tracks an index, a commodity or a


basket of assets like an index fund, but trades like a stock on an exchange.

Who is and what was/is their contribution to/views regarding stock market investing
- Ben Graham: scholar and financial analyst who is widely recognized as the
father of value investing. His famous book, "The Intelligent Investor", has
gained recognition as one of the best and most important investment pieces
written illustrating the fundamentals of a value-investing strategy.
-

Peter Lynch: Peter Lynch is the legendary former manager of the Magellan
Fund at major investment brokerage Fidelity. He took over the fund in 1977 at
age 33. He ran the fund for 13 years and his success allowed him to retire in
1990 at age 46. His investment style has been described as adaptive to the
economic environment prevailing at the time, but Lynch always stressed that
you should be able to understand what you own.

Burton Malkiel: Burton Gordon Malkiel is an American economist and writer,


most famous for his classic finance book A Random Walk Down Wall Street.
He is a leading proponent of the efficient-market hypothesis, which contends
that prices of publicly traded assets reflect all publicly available information,
although he has also pointed out that some markets are evidently inefficient,
exhibiting signs of non-random walk.

Jeremy Siegel: A professor at the Wharton School of Business, Jeremy Siegel


makes the case for investing in stocks over the long run. He draws on
extensive research over the past two centuries to argue not only that equities
surpass all other financial assets when it comes to returns, but also that stock
returns are safer and more predictable in the face of the effects of inflation.

Harry S. Dent: uses the Science of Demographics to predict major economic


and market shifts with uncanny accuracy decades ahead of time.

Warren Buffet: Known as "the Oracle of Omaha", Buffett is Chairman of


Berkshire Hathaway and arguably the greatest investor of all time. Value
investor.

John Bogel: the founder and retired CEO of The Vanguard Group. He is known
for his 1999 book Common Sense on Mutual Funds: New Imperatives for the
Intelligent Investor

Bill Gross: an American financial manager and author. He co-founded Pacific


Investment Management. Gross also ran PIMCO's $270.0 billion Total Return
Fund. Gross left Pimco to join Janus on September 26, 2014.

Jim Kramer: James J. "Jim" Cramer is an American television personality, a


former hedge fund manager, and a best-selling author. Cramer is the host of
CNBC's Mad Money and a co-founder and chairman of TheStreet.com

Julian Roberston: Julian H. Robertson Jr. KNZM is an American former hedge


fund manager. Now retired, Robertson invests directly in other hedge funds,
most run by former employees of Robertson's defunct hedge fund company.

five largest US brokerage firms


Etrade, Scottrade, TD Ameritrade, Charles Schwab, Fidelity
high, median and low stock price estimates for each of
JPM Chase
Goldman Sachs
Citicorp
Bank America
Corporation
US Bank
Wells Fargo

High
76.00
218.00
67.00
21.00

Median
67.00
190.00
60.00
18.50

Low
60.00
138.00
51.00
13.70

50.00
63.00

44.25
55.00

41.00
47.00

PNC
Morgan Stanley

100.00
42.00

92.00
36.00

83.00
33.00

How do you explain such differences in estimates for the same stock?
Different brokers can have very different opinions about the direction the stock is
going. This is also related to their opinion of the market, certain events, etc.

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