Investors at all levels are always keen to hear and make predictions about what the stock markets might do over the course of a financial year. While accurate predictions are hard to come by, these predictions can actually be far more than speculative.
The ups and downs seen on the stock market are sometimes a direct result of confidence in the market. In this sense, market predictions are often considered to be something of a self-fulfilling prophecy. That is to say that if a lot of people think a stock will perform well, it probably will. With this in mind, let’s consider some areas of the stock market worth considering in 2014.
As the global economy continues to pull itself out of a recession, the future looks good for those in finance. American Express, for example, has been the subject of a large amount of optimism among market analysts. The six month spread for AXP on the New York Stock Exchange shows a positive and consistent trend in the right direction for the credit cards provider and the stock is showing no signs of putting an end to this.
Stock prices of many financial institutions fell during the financial crisis, making them an attractive proposition to those looking to invest wisely and to buy a valuable stock at a relatively low price. As recovery rears its head in many Western economies, investors are seeing the benefits of showing confidence in these institutions.
Technology is an industry which has always been worth keeping an eye on. With many of the biggest success stories of recent years sitting inside or close to the tech industry, it’s no surprise that analysts are once again looking for exciting propositions in this area.
Projections from analysts show that technology-related trade volumes are set to increase steadily over the next decade. This is sure to provide investors with a wealth of attractive opportunities on the stock market today.
With economies around the world heading in the right direction, now is an excellent time for investors to be picking up on trends as they begin to form. Just as has been the case with American Express, it’s important for investors to recognize which stocks are already responding well to the positive changes which have been appearing in various corners of the global economy.
It is those investors who are able to spot the trends that will benefit most from the stock market over coming years.