The U.S. stock market is relatively mature, and the return on investment is higher, which is favored by investors. How to trade US stocks? First of all, you need to understand the basics of US stock trading.
Basic knowledge of US stock trading 1. US stock trading market
The main trading markets of US stocks are NYSE New York Stock Exchange, NASDAQ Nasdaq Stock Market, AMEX American Stock Exchange.
Basic knowledge of U.S. stock trading II. Three major U.S. stock indexes
1. Dow Jones
The Dow Jones stock price average index is the most influential and widely used stock price index in the world. It takes a part of representative company stocks listed on the New York Stock Exchange as the compilation object, and is composed of four stock price average indexes.
2. NASDAQ
It is the automatic quotation system of the National Association of Securities Dealers. It is a stock market that fully adopts electronic trading, provides a competitive stage for emerging industries, self-regulates, and faces the world. Nasdaq is the largest electronic stock market in the United States and the world.
3. S&P500 stock price index
500 stocks were selected from the New York Stock Exchange, American Stock Exchange and OTC stocks by McGraw Hill Company of the United States, including 400 industrial stocks, 40 public utilities, 40 financial stocks and 20 transportation stocks Shares, the index obtained after share capital weighting. Because the S&P index accounts for more than 80% of the total stock value of the New York Stock Exchange, and considers factors such as market value, liquidity, and industry representativeness in stock selection, the index is very popular among institutional legal persons and fund managers as soon as it is launched. It has become an important reference index for evaluating operational performance.
The Doo Prime platform provides the most popular stock index transactions around the world. Investors can visit the official website to learn more.
Basic knowledge of US stock trading 3. Trading hours of US stocks
The trading hours of the U.S. stock market are longer, from 9:30 to 16:00 U.S. Eastern Time, that is, from 22:30 to 5:00 the next day in Beijing time. Because the U.S. has daylight saving time, the trading time in summer will be earlier than that in winter One hour, from 21:30 Beijing time to 4:00 the next day. The trading hours of U.S. stocks are the same as the opening hours, and stocks can be bought, sold and traded after the market opens.
Basic knowledge of US stock trading 4. Trading units
There is no limit to the trading unit, with 1 share as the unit.
Basic knowledge of US stock trading V. Rise and fall
There is no price limit. The original stock price price change unit is 1/16 US dollars, but now it is mostly changed to a decimal point system (minimum 1 cent).
Basic knowledge of US stock trading 6. Trading code
The transaction code is the English abbreviation of the listed company. For example, the transaction code of Alibaba is BABA.
Basic knowledge of US stock trading VII. Transaction fees
The handling fee for buying and selling U.S. stocks is not calculated based on the ratio of "transaction amount", but based on the "number of transactions", and it varies from broker to broker.
Basic knowledge of US stock trading VIII. Trading system
T+0 trading system, also known as intraday trading, stocks bought on the same day can be sold on the same day.
Basic knowledge of US stock trading 9. Settlement system
T+3 trading system, that is, the clearing and delivery matters are completed on the third working day after the transaction.
The above is a summary of the basic knowledge of US stock trading, for reference only.