Usage » Q13. How is Trading ranking calculated? What are the essential elements?

Trading Rank is the grading that represents if a stock is relatively cheap or expensive at that moment.
Use it when judging the time to buy or sell a stock.

Trading Rank is calculated from the following elements:

  - The theoretical value calculated from the financial data of the company;
  - The market psychology value calculated by analysing the stock charts;
  - How the stock has behaving according to the changes of the market.

For example, let us imagine an imaginary corporation called “Sample”. Suppose it’s stock price on 5/5/2006 was $30, and this price was rated in the zone 3L (extremely cheap).This shows that, in the circumstances of 5/5/2006, $30 was considered an "Extremely Low" price.

But then again, on 5/11/2006, the stock prices for corporation “Sample” might not be at the same 3L, even at $30.That is because, on these two days, the finance data for corporation “Sample”, the market psychology and circumstances might have been different.