How To Read Stock Charts | Find Good Stocks on Robinhood

in this video you're gonna learn how to read stock charts and how to pick stocks that are gonna make you money what's up YouTube this is Fox new digital coming to you again with black girls stocks and in this video we're going to be talking about how we need stock charts and how to actually pick stocks that are really gonna make you money so essentially there's gonna be four key essential facts that I'm gonna talk to you about that are gonna be really beneficial okay so I'm Foxtel digital and this is black girl stocks and on this channel we're here to help new traders become encouraged to buying stocks in the stock market and then after we using is running it yeah if this is your first time watching this video please click thumbs up button and also subscribe because trust me you're gonna want to know we're putting up a new video you know you're gonna want to get the form on you know what that is LHS let's go ahead and jump into it I'm gonna waste too much time and so the first thing that you're gonna want to do is you're gonna want to identify trend lines so you're gonna want to be able to see a trend so the stock there with the stock that we're gonna use right now is American Airlines because this is just easy to look at right now and you see right here I have it in a candlestick format we're gonna go over candlestick a little bit later this is a really really good informative way of looking at the stock at any given time on any interval and you can know what the stock opened or closed that with the candlestick bit we're gonna go over that in another video so we're just gonna change its a regular you know line graph you know how we had in math class you know some simple so basically a trend line is a line that's drawn on a stock that connects to price points just think about it a line graph basically you're gonna have to price points and from those price points you're going to be able to notice trends in the stock you can do this with any stock I know you see how this read right you can pick any stock and you can do this it does not matter any stock you can do this with but we're gonna go back to American Airlines okay and so the goal with trend lines is to use past data to make a prediction about what the stock market is gonna do in the future and the stock market has a history of repeating itself and people have a tendency to remember what previous price points were what a previous low or a previous high was I know I can attest it at because I definitely remember what stock was when he went up to his highest and I missed out on it and so I know again if that stock comes up and I feel like it's gonna hit that I want to get in there early because I know it can reach up to that point so just keep in mind the stock market does have a history of repeating itself that's big thing big facts you know I you know I give it to you you know I you we're gonna look into the app here we're gonna go over a five-year mark because that's really gonna give you a good trend line if we look at one month that's only gonna give you a trend over that one month time and that does not incorporate seasonal changes or things that happen in the economy like what we have going on now but yeah so you want to look over a larger timeframe when you're looking at trends to get a big picture and what's going on you got to be able to look at the big picture that's what my old manager Reggie used to tell me he told me I had an issue with a face from the big picture so Reggie I'm seeing things from the big picture shouts out to Reggie anyways on the a let's go to the five-year mark dang it's terrible okay so let's go ahead and let's start right here and you'll see let's start from July 8th 2016 and American Airlines is at $29 and let's just say American Airlines is that 2705 so a trendline you can take that point and you can take another point in an upward direction any direction and you see that was an upward trend from 2016 July to 2018 in January so basically American Airlines was at the top of this game for a good bit of time and then hit another trend it started to fall so from January 2018 till about well around now Kobe 19 because then it really just I mean it just pretty much plummeted like my best friend he just started trading shots off to my best friend he just started trading a couple of weeks ago and he bought into a couple of American he bought some American airline stocks and I told him not to do it I told him yeah I told him American Airlines probably isn't the best thing to invest in right now because they're just in so much debt that they're gonna have to pay back after everything so ya know to American Airlines and its loss to get a bit of money but but you see what we're talking about here you're able to get trend lines from this so you can see how this point will start here at this 27 mark and it's gonna go up to 58 so it's pretty hot American Airlines and you can just draw a trim line right there and then you can see from 52 where it fell to 26 you can just draw a trend line so that's how you draw a train very simple very easy also one of the last things about the trend line that's easy to pick up if it's on an upper trend or a downward trend is to keep these key phrases in mind higher highs and higher lows and lower lows and lower highs so actually see here let's go to that first increase that it had from 2016 to 2018 you see here how you had this low point right here at 35 and then it hit a high forty-eight so that's a low and a high then you have another low right here at forty three and another high and fifty so you notice how those lows are getting higher and those highs are getting high that's the sign of an uptrend but let's go over here to the right a little bit further out and you see how we have a high of 56 and then you have a low of 30 yeah that's a big low let's go to another one you have a high of 40 in a low of 31 like it just keeps dropping that's on that downtrend higher high higher low lower low lower high right I had it right the first time yeah keep that in mind like the second thing that you're going to want to look for our points of resistance and support so resistance and support it's really easy it's really simple so basically when you think about support and resistance and the stock market think about a floor for support and a ceiling for resistance so a support is a point where a stock is not gonna go any lower than that so it has a history of dropping to a certain point and it also has a history of going up to a certain point and not getting higher than that so that's another thing that you want to look at over a period of time of a stock and then you you're going to be able to make future predictions from those points of supported resistance so for example let's go ahead and let's look on the weak marker one week time frame of American Airlines we're gonna see our first point of resistance right here so let's mark that so that's gonna be a point of resistance it went up right here one point is this around nine dollars it went up right here around nine dollars and 73 cents and then it dropped and so after that is gonna drop to around nine dollars and 44 cents but it dropped and you see how to drop and it didn't go any lower than that and it went back up so keep that in mind and let's go on a little bit further let's get our next point of resistance so we have a point of resistance at around ten dollars and nine cents so hit that peak and then it dropped it hit that peak again then it dropped and so we have a point of resistance we have a support point right here at 965 keep that in mind at 965 and then you see right here it hit this resistance point two more times pretty much so it hit the same resistance points four times in a one-week period so imagine how many times you could have bought that stock low and sold it right before I got to that point that's just prophets prophets prophets prophets prophets you know a good example of support and resistance have you ever been bowing before right you ball good bad terrible but just think about going to a bowling alley and those little guardrails up on the side so you have your guards up and when you have two points a point when you have two points of support and resistance then the stock is pretty much gonna bounce in between those points it's not gonna get out unless there's something that goes on in the news or there's just a huge amount of people buying and selling that stock at that given time and it just breaks out of it and that's called a breakthrough but for the example that we're talking about it's just the support and resistance point that the stock is going to stay in between at any given time so here's one tip about support and resistance sometimes if you do have a break through a previous point of resistance can become a new support or vice-versa so let's say you have a point on a scale where the stock goes it hits that support drops then it goes back up and it breaks through that resistance then that resistance is going to be the new support basically it's going to restart that cycle of support your resistance so just keep that in mind sometimes if you want to be ahead of the game a previous resistance can be a new support or vice-versa the stock goes down just think about an opposite way a previous support point could be a new resistance plane so it's really not that difficult it's just a lot of keywords that you know that you're going to get but you can you can do that as easy it's easy and so if you think about it the support the floor that's when the stock is gonna get as low as it's possibly gonna go so as low as it'll go support that's what you want to buy it's not gonna get any lower than that after that it's gonna jump up it's gonna go up hopefully if our predictions are correct which they are going to be because you know what we're doing here we're good right yeah so you want to buy and support and you want to sell at resistance so buy at support sell at resistance now I know this sounds like a lot but if it's a lot girl we can get through it's not going to be that much it's just a couple little keywords you got a gig girl you can do it I have faith in us when you have looked at your previous points of support and resistance make sure you write that down and keep that you know keep that handy before you actually invest in that stock so that you can go back and look at that to help you make your strategies and your predictions only you should get in and get out of that stock trade so this is really just helping us get that support and resistance it's like doing a little bit of homework but it's gonna help you on the test later you're gonna ace it it's gonna be fine don't worry about it support resistance make sure you write it down keep your nose on that start just keep notes of everything your stocks and this gives us into our third topic and that's going to be volume and price movement volume is basically the number of shares that is bought or sold over that five-day period that the stock market is actually open so yeah that's the volume so the volume is 15 million that means that that stock was bought and sold 15 million times that day that's not that bad so think about it like this more volume equals more liquidity more liquidity equals more movement so when you have movement in a stock market that's basically where the profits are when a stock goes up it's at its highest point that's when you sell it then when it falls down that's when it's low you buy in so that it goes up again and then you sell it in it's just money okay but you know what I'm saying so you want a stock that has very high volume I say no less than a million like for me for me personally this is just me but I don't trade stocks that have a volume less than a million and 500,000 I'm not even really looking at that so at least a million and if you look at stocks looks like what is American Airlines 68 million you see but American Airlines isn't that good right now so that's not the best example for this but it does have a lot of volatility in it so and so that's the reason why we switched over to our candlestick chart so you see right here we're all robhinhood we're on American Airlines and we have our candlestick open you see you have these lines up here in the main you know the main chart and that's obviously the stock price but you see these are the lines on the bottom like right here close to where the day we want this you see these lines down here that's gonna tell you what the volume is so you see let's go right here where we have this little peak from what was it I am 68 - 982 just a little poop see that little green right there on the barn you was it was just a little bit but it's something and then also you see right here here you have all this red in a very low volume that's gonna start fall so these are just little things that you can look at before you buy the stock I've seen what you want to get in so for me personally I would suggest getting into a stock right where you see it's about to turn green you don't want to buy it when you see that the volume is very low but a lot of people are buying it and this is going to get us into our last point of video of the news any type of news event can make a stock go up or down all right let's just go to Bank of America and you just scroll down and you see how the analysts said 60% by 40% hole so yeah a fluctuation in the analysts opinion that's gonna have a fluctuation in the stock price because a lot of people really go off the what these analysts think I don't know who these people are but there's been a lot of times they haven't been right so I really don't care too much about them and us to talk about what it is but try I'm not thinking about them new products a company putting on a new product a new software anything new an update you know that can have a big fluctuation in the price so think about think about stocks like Apple whenever they put out a new phone everybody's not gonna get it when they put on a new I watch you know speaker system computer think about Tesla any time they have a new model or anything going on with Elon bus you know their stock is going up and down every day I've seen them on my newsfeed every morning Elon is popular in Europe lawsuits so lawsuits can have a fluctuation war just anything big and current events like what we have going on now obviously has had a huge impact on the stock market this year good bad ugly it's just had an impact girl lasting mergers so just think about when companies merge together I've just found out that Office Depot and OfficeMax had emerged I didn't even know that I literally just found this out well shouldn't print something out yeah Office Depot and OfficeMax they had a merger so now they're not competitors they are at the same company so good for them therefore you up this Depot and get for you office max all right and that's pretty much it so just think about those four things and you know you'll be able to pick out stocks that you personally like don't think about stocks that I want I'm giving you this criteria so you can have your own requirements and you know just fine-tune which you're interested in you can even just invest in stocks that you know about or stocks that you wear like Nike or stocks that you use like Apple Best Buy you know I have some stocks in AT&T that's the phone that I have even though AT&T you know lost me 16 dollars today but we're not going to talk about that because it was just a down day but the stock market goes up and down and we're in it for the long haul and this is very exciting so thank you guys for watching this video please click the thumbs up button and if this is your first time watching my video please subscribe to my channel and click thumbs up and click the bell so that you're going to get notifications every time I put out a new video for you and to teach you how to buy or sell stocks and to get interested in investing in yourself and your life in your future I'm so proud of you for clicking on this if you're here watching this that means that you take yourself seriously so this is the first step to the rest of your life all right and that's it for black girl stocks and I catch you guys next time all right [Music] [Music] [Music]

Channel: Black Girl Stocks

Views: 202,750

Keywords: reading stocks on robinhood, Robinhood stock charts, how to read stock charts, how to read stock charts for beginners, learn to read stock charts, reading stock charts, stock charts for beginners, how to read stock market charts, how to read a stock chart, reading stock charts 101, what is a stock chart, stock chart reading, reading stocks, stock charts for dummies, reading stock chart patterns, technical analysis, stocks, stock charts tutorial, stock market

Id: dDWDYagjBuo

Length: 18min 6sec (1086 seconds)

Published: Sun May 17 2020