Tuesday, 25 October 2011

List of adverse Stock market conditions?

 Queatin:
 List of adverse Stock market conditions?
What are the different kinds of adverse conditions that attack the stock market from time to time (and prevent traders from making money)?

I can name a few:
1.High volatility
2. Consolidating markets
3.Very thin with no volume


What are the others?

Ans:
Reasons are innumerable:
International political and economic events(eg property bubble of US, wars, present financial problems of some European countries, etc.).
National political and economic events(eg. 2G episode).
Natural Calamities.
Government actions affecting business sentiment.
Tightening of credit policy by central bank of a country.
Performance of the company.
Sympathy effect of bad performance of other companies doing similar Business.
Etc., etc.

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