Dow jones industrial 30 companies tips and how to for trading strategy
Post on: 8 Август, 2015 No Comment
Dow Jones industrial 30 companies
Dow Jones industrial 30 companies represent all important sectors of US economy. These 30 Dow Jones stocks are included in the Dow Jones industrial index -the most known Dow Jones index in the world. They are the biggest and most important companies from their particular sectors.
This list of Dow Jones industrial average companies may represent a watch list that could be used for trading purposes. Short-term and mid-term traders could use these Dow Jones Industrial 30 companies for swing trade strategies that typically hold positions for days or few weeks.
But Dow Jones 30 companies could be very well traded using position strategies too. These stocks are often leaders in their particular sector and so when the specific sector is in a trend move these stocks usually have trends too.
Two pros for DJ 30 companies
The List of 30 Dow Jones stocks also represents tickers that are very liquid and heavily traded. So there is not problem with liquidity and it reduces stock market risk a lot.
Another issue is volatility. These companies are large cap stocks that are not moving too quickly. Their moves are more steady and slow. The trade could spend more time before reaching an expected target. On other side the low volatility of these 30 Dow Jones stocks allows to use quite tight stop loss levels without risk of be stopped out early.
30 Dow Jones stocks list
Here is the current 30 Dow Jones stocks list as is described on Yahoo financial online site today (07/2012).
AXP. American Express Company
BA. Boeing Company (The)
BAC. Bank of America Corporation
CAT. Caterpillar, Inc.
CSCO. Cisco Systems, Inc.
CVX. Chevron Corporation
DD. E.I. du Pont de Nemours
DIS. Walt Disney Company (The)
GE. General Electric Company
MRK. Merck & Company, Inc.
TRV. The Travelers Companies, Inc.
UTX. United Technologies Corporation
VZ. Verizon Communications Inc.
WMT. Wal-Mart Stores, Inc.
XOM. Exxon Mobil Corporation
Analysis of current Dow Jones industrial
average index situation
The first step in this strategy is observing the actual situation with Dow Jones industrial index. It is important to know what type of strategy you have to choose. When the index of the industrial companies is in a bullish position then you have to prefer bullish (known as long) stock trade strategies.
When the Dow Jones index chart is bearish then it is wise to prefer bearish trading strategies for the 30 Dow Jones stocks.
The situation could be found using the Dow Jones graph of the main industrial index. This Dow Jones index is typically known under ticker DJIA. But on Yahoo online stock market site you can find it as DJI.
Another option is to use the Dow Jones index etf with symbol DIA. Both these options are quite similar. I personally prefer to use DIA — the Dow Jones ETF.
Here is an actual situation with the Dow Jones industrial index ETF.
The situation is now more bullish and so I would prefer bullish strategies with any of the 30 Dow Jones stocks.
Best picks from Dow Jones 30 stocks
Now we have to find the best picks from these Dow Jones industrial 30 companies that could be used for bullish market strategies. Based on my analysis I have found that these three industrial companies present the most bullish charts.