How technology can help invest smartly in stocks

How technology can help invest smartly in stocks

In the days old investments were mostly limited to commodities, gold and real estate. Investing in any of these was consider a smart decision and provided a guarantee for assured returns. Other forms of investments were frowned upon primarily due the lack of information about them. The 1% (read uber rich) had the money, connections and access to the right information and hence made were able to turn their millions into billions – mostly by investing in breakthrough ideas and innovative startups.

As time passed and technology advanced, access to information and hence the ability to make sound investment decisions was made available to all. This article is focused on digging into the details of the technology that made this possible and provides those wanting to make investments decision on their own a peek into the tools used. If you are someone that would rather rely on an expert and let their insight guide you in your investing decisions then I suggest the Top 1% Advisory monthly newsletter – I have had good success with this information and am sure you will to, others continue to read on.

I believe investing became more organized with the advent of stock market, however distribution of information about the various companies initially started by scribes taking notes and circulation having via couriers. Then it moved on from use of carrier pigeons to runners (people running with latest stock information between exchanges) to using chalk boards. All this was about to change soon.

It was in 1860s that the first electronic devise was used (stock telegraph printing instrument) and then from then things really took off. With the first real time stock data systems coming into being in 19602 – Ultronic Systems Corp and Scantlin Electronics, being the first pioneers.

Fast forward today and the few tools that can help make your investment decision more safe are as below

INDX.guru

This is a free tool and pretty handy for a beginner. It use of color to signify whether a given parameter is working in favor of the company or not helps take the guess work out of a lot of number crunching and analysis.

indx

A few of the attractive feature of this tool in addition to providing stock prices are

Sentiment score:

A company’s stock price is not only affected by profits and losses but also by how it is perceived by the general public. For example an oil spill by Shell container would lower its stock price not only because of product loss by also due to the negative perception the public would have of the environmental damage.

INDX provides this information is a color coded fashion making it easy to take a call on this factor.

Company info update:

Stock price volatility extends itself to include who is running the show and the character they hold. So say the CEO of company X was caught taking drugs what do you think would happen to its stock pricing – yep they would plummet.

INDX provides a central dashboard for all company related information making it easy for you to know more about the company.

Stock Twits

I believe the biggest revolution that technology ushered in was the ability to communicate across border and in real time via the use of social media sites. Promoted as a social media network for investors and traders, Stock Twists intends to piggy back on peer collaboration to help it users pick up the right stock.

stock twits

A few of its feature include real time insights, peer collaboration, real time sentiment analysis.

Market Watch VSE:

Okay this one is really not a real time investing tool but a simulator. It is the best way a beginner can play with fake cash while experiencing real time repercussion of their investment decisions.

market watch vse

This tool has both normal and advanced modes and hence will allow you to take your game to the next well once you are well versed with the basics. You can trade stocks in real time and discuss your strategy with other experienced players.

So guys and gals that is it for our short but list of tools. Remember technology is your friend – start by using a simulator get good and then invest your hard earned cash, to get more cash.

Leave a Reply

Your email address will not be published. Required fields are marked *