Part III. Continuation – Stock Market. Commander in Pips: The last thing that we have to study in this topic is the link of the Forex market with the Stock market. Here we will start from major theory – initially we will not start to judge about if it is appropriate or not – we will just try to understand it. Later we will see does it hold or not and how forex-equity cross analysis could be applied and could it be applied at all. Pipruit: Right… Commander in Pips: If you remember, somewhere in the beginning of our education we’ve compared the Forex market with the stock market and said that the stock market is really famous. Just put on the TV, financial newspaper or something that has some touch to the markets and you will hear a lot about the stock market. Even more – most of the time will be dedicated to the stock market. The point for that is simple. Stocks are a huge part of the world economy and stocks are a real asset. In fact, stocks could give a lot of investment possibilities. First, by purchasing any stock – you’re buying a small part of a company. Want to be a co-owner of Berkshire Hathaway and a colleague of Mr. Buffet? You may do so. Do you like Pepsi or Coke? You may purchase their stocks as well. Second, you may choose stocks that are most suitable for your investment style. Want stocks that very similar to bond in price action – choose stocks with high dividend yield, utility stocks or real estate companies. Want to get profit on price appreciation – search for fast growth stocks. Want to earn on commodity prices – purchase stocks of Gold/Oil companies – Exxon Mobile awaits you.