BHP billiton is the worlds largest company in the mining industry sector with a long life assets and portfolio of high-quality. The company produces of diversified resources in 25 countries, employing approximately 41,000 people in more than 100 operations. It has emerged from the merger of BHP Limited (now BHP Billiton Limited) and Billiton Plc (now BHP Billiton Plc) and on 29 June 2001. The company has nine primary operational units which are iron ore, manganese, petroleum, aluminium, base metals, metallurgical coal, thermal coal, stainless steel materials, diamonds & speciality products. The Group operates mainly in Australia, Latin America and South Africa. In FY2009, BHP Billiton made revenue of US$50.2 billion, attributable profit (excluding exceptional items) of US$10.7 billion and net operating cash flow of US$18.9 billion. The company's shareholder base is with approximately 5 per cent of shares held in Asia, 8 per cent in South Africa, 18 per cent in North America, 30 per cent in the UK and Europe and 39 per cent of shares held in Australia.
http://www.bhpbilliton.com/bb/aboutUs/companyOverview/ourProfile.jsp
http://uk.finance.yahoo.com/q/bc?s=BLT.L&t=5y&l=on&z=m&q=l&c=
The moving average is one of the most useful and objective in the technical analysis. Furthermore, it is the basic and easy to use tools therefore it is one of the most popular analysis in the other technical analysis (Head and Shoulders, Cup and Handle, Double Tops and Bottoms, Triangles, Flap and Pennant, Wedge, Gaps, Triple Tops and Bottoms, Rounding Bottom) .The simple moving average (SMA) and the exponential moving average (EMA) are the most commonly using moving averages in technical analysis. Moving average is calculated with a simple arithmetic average over a certain number of periods. The most commonly used moving averages are the 20, 30, 50, 100, and 200 day averages. In the short time period price changes of the moving average will be more sensitive.On the other hand,in a long time period,it will be the less sensitive or the more smoothed. A short-term and a long-term moving average are used for the creation of "buy" and "sell" signals of mutual funds. The stock is held as long as price stay above the moving average. The stock will not be taken as long as moving average remains above the price chart. The system gives a signal of sell when the price graph cut moving average at the beginning of the downtrend. A signal of buy will be given when the price graph cut the moving average at the beginning of the uptrend. A signal of buy/sell will be become clear if the moving average remain under %5 of the price chart on the uptrend and remain over %5 of the price chart on the downtrend. If moving average and the price chart intersect on horizontally price trend it is not considered as buy or sell signals. Average number of days is calculated for short term 5-15, for the medium term 16-30, for the long-term 31-50 days.
http://ekonomifinans.blogcu.com/teknik-gosterge/2191466
One of the important part in calculating moving average is which period will be based. To purpose of any moving average is to assist an investor to know when the proper time to buy or sell an investment is. The most widely used moving average is 200 days (39 weeks). Although this average size in the long term gives a very good idea of the main market movement. Actually if you follow the stock for a certain period you can find a well-earned moving average. If the period is chosen for a short time such as 5-15 days indicators will be more sensitive and will react so quickly. Therefore it will generate more signals. Nevertheless, moving average will be close to current price. If moving average is calculated over a long period such as 50-200 days it provides a more reliable result. If short-term trading will be made, shorter time periods should be prefer to use because you will only be able to capture changes quicker on shorter time periods .If long time periods are preffered,you will be able to identify long-term trend changes. Choosing a moving average type and length of time will be depended on your trading and investing strategies, preferences and how it has reacted in the past. Therefore I would rather 50 days period simple moving average in my report which gave me the most effective and reliable result.
http://www.finans.ekibi.net/forum/hareketli-ortalamalar-moving-averages-t-6030.html
http://uk.finance.yahoo.com/q/ta?s=%5EFTSE&t=5y&l=on&z=m&q=l&p=m200,m100&a=&c=
As you see above on BHP Billiton's technical chart, there are nine successful buy&sell signals which are shown on the chart. Technical analysis is the forecasting of future financial price movements based on an examination of past price movements. According to this statement we can now make a general prediction of its future price. An examination of the technical chart of BHP Billiton the trend of prices is raising and its request seen to go up. It is a bullish trend still. It continues to trade within the rising wedge pattern. Since breaking out from the resistance in lately jan08, it's going strong. It is going to approaching the top of the rising wedge.
New York Stock Exchange (NYSE), known as a big board, is a New York City based stock exchange. It includes the world's largest and best-known companies. There are two main indices in NYSE, NYSE Composite and Dow Jones Industrial Average.
Stock market indices which are a general indicator of stock market are being created based on price and usually giving us the idea of the current status of the market. The stock indices have been used on various investments institutions and stock exchanges in the world since 1884 are calculated differently. I will discuss most widely used indices in US stock market.
1. The Dow Jones Industrial Average (DJIA ) contains 30 most influential and the biggest company in the U.S. However, there are more over than 10.000 companies in the U.S. Therefore this brings some disadvantages as a benchmark in the stock market. On the other hand it is not considered to be volatile or risky because of thirty selected equities. It is also 110 years old. So, it is so strong the test of time. Furthermore, the Dow Jones is a price-sensitive barometer, not a capitalization-weighted index.
2. The S&P 500 contains 500 companies. It offers great diversification and accounts for approximately 70% of the U.S. market .Therefore, that makes it one of the most commonly used benchmarks for the overall U.S. stock market. The DJIA contains only 30 companies. Therefore, the S&P 500 is a better representation of the U.S. market. Also, it is calculated with a market capitalization-weighted index which is thought to be more effective than DJIA calculation system. It is also considered one of the best overall indicators of market performance. On the other hand it has some disadvantages like including very little foreign content.
3. The NASDAQ Composite Index includes more than 4000 companies on NASDAQ stock market. It consists mainly of technology and Internet stocks and the companies have high growth potential. The main disadvantage is companies tend to be more risky and speculative than on the NYSE.
4. The Wilshire 5000 Index contains over 6,500 stocks in the U.S. Investors often refer to it as the total market index because it is easily the most diversified index in the world, covers such a wide variety of shares. The main disadvantage is it does not contain many strong foreign companies. In conclusion, for these reasons, the DJIA is the wide acceptance index.It is thought both inside and outside the U.S of a major psychological value. In addition,both investors and economists regard it as the health bulletin of the U.S economy.
