We have lots of experienced traders on MoneyAM who would be glad to help if you have any trading questions.

P/E ratio is calculated by dividing the share price by the earnings per share, where the earnings per share is calculated by dividing the profit by the number of shares in issue.

So in long form, the P/E ratio is the share price multiplied by the number of shares issued divided by the annual profit

I started by saying ----keep things simple
On reflection--after reading the posts -- I suggest you keep things simple
AFTER you have reached the stage of knowing above.

little woman - I did a bit of research into it, admittedly a few years ago, but the result was very marked. I looked over a timescale of years at companies with very high p/e's, and companies with very low p/e's - ie the extremes of both. I found that in the case of high p/e's the companies share price consistently underperformed those of the low p/e's for the following number of X years. All I know is that the factual evidence showed that the low p/e stocks racked up superior % share price growth vs their higher priced peers. Saying that, I would be quite happy to be proved wrong & I'm sure there are far better skilled fundamentalists out there than me.

cheers everone, it is all so clear now. happy trading all.

Is there an equivalent of the TICK & TRIN for the fTSE?

chadbukl

If you look at 'chart school' - personally I find this site really useful

http://stockcharts.com/education

and specifically:
http://stockcharts.com/education/IndicatorAnalysis/indic_TRIN.html
http://stockcharts.com/education/Glossary/TICK.html

you can find exactly how these indicators are calculated and this can be done for any instrument.

thxs

Thank for that link Jon
Also chadbukl have a look at http://www.snappytrader.com/info/info.htm

Can anybody help me with this one. How do you post a live link on here???, eg, if I wanted to post an article from another board , well on other sites you just make sure that you have the HTTP// in front of the address and then you copy and paste, but on this board it comes out dead.

Its easy with charts you just use the and the chart is transfered but I dont know how to transfer addresses over. Any help please.

cheers GF.

Resistant Levels. How do calculate them.
Thanks in advance.

Goldfinger

- go to the todays traders thread and on the bottom of the main bit, above the first post is a HTML Editor - click on that and details of how to use it are on the bottom. Once finished - just cut & paste to this site!

Washlander

- go to the todays traders thread and on the bottom of the main bit, above the first post is a pivot calc. You can use this try and calulate Resistance levels.

Thanks will do

Hi everyone - wonder if anyone can help with a spreadbetting question and how to set a stop loss.

If I buy at 1 and want to take a profit at 1.10 I think I set a limit order at that amount and if I want to limit my losses, I think I would set a Stop at say 90p.

What I don't understand is if I am betting on a price dropping, I have already sold the shares, so what do I use to take a profit and, more importantly, how do I stop my losses. I think I would need to use the limit & stop orders the other way round but am a little confused???

Great thread, especilly for me as I am really new to this arena and learning quickly by reading threads like this one.

Thanks in advance.

Mark.

I'll let someone else answer your other questions.

But when you think the price is going to drop you sell the shares at say 2. if the shares drop to 1.50 then you can buy them (which clears your outstanding sell) and as if you had done it the other way round - Buy @ 1.50 and sell at 2.00 you pocket the difference. Stop losses on these type are set higher than the sellf price. If the share goes up in price you will have to buy the share at a price higher than you sold.

TTT

Croc

I've seen TTT on many posts but don't know what it means?

Have come up with the tut,tut,tut, time to trade, tend to (something), two times two and the thompson twins but don't think any of them are right.

What does it mean?

Thanks

Mark.

To the top

Hello can anyone plz explain the little arrows on either side of the buys and sells. I appreciate that blue is up and red is down but a fuller explanation would be appreciated.
Thanks in advance.

Not sure which arrows your are refering to?

The only ones I have are the ones on the stockwatch which show the overall direction the share has moved since open.