Movements In Stock Prices

It is due to the fact that stock prices constantly move up or down that

speculation is possible. Sometimes certain stocks remain almost at a

standstill for a long period of time, but at least a part of the stocks

listed on the Exchanges move either up or down. If one always could tell

just what way they were going to move, it would be comparatively easy to

make a fortune within a short time.

In the last t
enty years, a great deal of time and money has been spent

by statistical organizations in checking up statistics for the purpose

of ascertaining a definite basis upon which to predict future movements

in stock prices. Several of these organizations use very different

statistics upon which to base their conclusions, and yet their

conclusions are very similar. They have proved beyond any question of

doubt that some of these movements are clearly indicated by laws that

never fail.

We do not attempt in this book to explain the fundamental statistics

upon which the predictions of business cycles are based, but in the next

five chapters we explain some of the influences that affect the

movements in stock prices. Read these chapters very carefully, for your

success in stock speculation will depend very largely upon your correct

prediction of these movements.