How to Read Stock Market Reports

by Contributor ; Updated July 27, 2017

How to Read Stock Market Reports. The symbols, acronyms and numbers associated with daily stock market reports can bewilder even the smartest investors. Financial TV stations and websites provide quick-moving crawls that are meant for experienced investors. You need to learn early in your market experience how to read stock reports to keep pace with other investors.

Step 1

Create a list of acronyms for stocks in your portfolio to help you read stock market reports. You should update this list every time you make a trade and keep it handy when you review reports online or in the paper.

Step 2

Start your stock market report by reviewing the closing price of each stock of interest. Most reports place this number immediately after the stock symbol, and it helps you determine the strength of that stock compared with others.

Step 3

Review the amount of change in stocks as you read through various market reports. Some publications utilize a percentage change figure after the closing number, while others use the difference between starting and closing prices. All publications use an up or down arrow as an indicator of growth or decline for investors.

Step 4

Check the change in different indexes and industrial sectors to assess overall economic strength. Your use of the NASDAQ and the S&P 500 in the American market can help you determine overall trends in the stock market.

Step 5

Investigate the 52-week range of prices for a particular stock to determine where the stock started and where it has ended. This range is given on financial-services websites and business TV shows because it is meant for serious investors.

Step 6

Supplement your need for immediate news on financial TV by bookmarking several financial websites. Your online-trading platform will provide instant updates of each stock in your portfolio. Financial-television tickers move too fast for uninitiated investors to make sense of the blur of symbols and numbers.

Step 7

Read analysis and company profiles on a daily basis in stock market reports. Most reports have a financial analyst take a look at high- and low-performing stocks along with company news relevant to the overall market.

Tips

  • Check out more than one stock market report during your trading day to gather comprehensive details. Daily newspapers provide only the closing price and the dollar change for a particular share. Use online finance websites for detailed analysis of long-term price changes and profit projections.