The Index Trading Course Workbook is designed to supplement its companion manual by offering concise summaries and practical exercises to
help put your new knowledge into action. The “Media Assignments” are
particularly useful in this regard. Be sure to run through each chapter in
this workbook as you complete The Index Trading Course in order to reinforce the material.
There are two major reasons why you should increase your index
knowledge. First, these market barometers are an important means for understanding big-picture trends along with more subtle market action. And
second, it’s simply about trading. Index-based products provide traders
with an opportunity to capitalize on broad market and sector moves, leaving behind individual company risk. While there are no guarantees that a
whole group of related companies won’t be investigated by the SEC for
bad accounting practices, we feel the chance of that is substantially lower
than for a single company. Sector investing is where fundamental, technical, and sentiment analysis can really excel.