Navigate the ups and downs in the markets: Saxo tools for managing your portfolio

The article covers the following topics:

Tip 1: Stay updated with our inspirational pages
Tip 2: Use/open a dollar account
Tip 3: Follow the U.S. stock market in real-time
Tip 4: Take currency fluctuations into account
Tip 5: Use a dynamic favourites list (screener)
Tip 6: Set up price alerts
Tip 7: Trading the U.S. stock market before and after trading
Tip 8: Why proper diversification is essential for investors
Tip 9: How do you set up a stop-loss or take-profit to minimize losses or secure profits?

1. Stay updated with our inspirational pages

Through our inspirational pages, we aim to provide you with the latest news and in-depth analysis. This helps you gain a clearer understanding of how events like the US election might impact your portfolio. For instance, our Saxo Strats recently shared insights on which stocks performed well amid the growing anticipation of Trump's potential presidency.

2. Use/open a dollar account

If you prefer trading in securities denominated in a currency other than your local, it can be beneficial to open an account in that foreign currency. For example, by depositing funds into a dollar account, you can buy and sell shares in dollars multiple times using the same funds. This approach helps you avoid incurring exchange rate costs each time you convert between currencies.

3. Follow the U.S. stock market (and other markets) in real-time

You can subscribe to get FREE real-time data on Level 1 US stocks and European Stocks. How to do that

With real-time quotes, you can respond to changing prices in an informed and lightning-fast manner and:

1. Execute trades at the most opportune moments, potentially maximizing profits or minimizing losses.
2. Enhance your market awareness allowing you to react quickly.
3. Access to up-to-date prices allows you to better manage risks by adjusting your portfolios promptly in response to market fluctuations.
4. Gain a competitive advantage over those relying on delayed data, as you can act faster on opportunities.
5. Better ensure that you know the exact market price, which helps in maintaining trust and confidence in the market.

4. Take currency fluctuations into account

Currency fluctuations refer to the changes in the value of one currency relative to another. For example, if you have Euros and the value of the Euro goes up compared to the US Dollar, it means you can get more Dollars for the same amount of Euros.

When you invest in assets that are denominated in a foreign currency, the value of your investment can be affected by changes in the exchange rate between your local currency and the foreign currency.

Understanding currency fluctuations is important because they can significantly affect the actual return on your investment. Even if the value of the asset you invested in goes up, you could still lose money if the exchange rate moves unfavorably.

A dollar account allows you to exchange your money at a time of your choice, regardless of when you close your dollar investments (see tip 2 in this article).

5. Use a dynamic favourites list (screener)

Did you know that you can create a favourites list that automatically adjusts based on parameters you set? Figures are dynamic, and it can be useful to create a list of stocks (or other products) based on some characteristics that you find important. If the underlying parameters of companies change or new bonds and ETFs come to the market that meet certain criteria, the screener automatically adjusts for you.

You can access the Screener on the Trading page on SaxoTrader or when searching for specific asset classes/instruments in SaxoInvestor/SaxoTrader:

6. Set up price alerts

If you wish to stay informed quickly, price alerts can help. Through the SaxoInvestor/SaxoTradgerGO app, you can stay informed via push notifications on your phone. You will receive an alert as soon as the condition is met. Through the website, you will receive a notification as soon as you log in (or while you are logged in). This way, you can respond quickly to price changes, even if you are not following the market for a while.

7. Trading the U.S. stock market before and after trading

Stocks and other securities can be traded outside of regular trading hours, known as extended hours trading. At Saxo, you can trade US stocks, ETFs, and single stock CFDs listed on US exchanges during these extended hours. The pre-market and after-hours trading sessions are as follows:

Pre-market trading hours: 07:00-09:30 am (Eastern Time) 

After-hours trading hours: 4:00-5:00 pm (Eastern Time)

8. Why proper diversification is essential for investors

Significant attention will be focused on the upcoming US elections, which will undoubtedly influence stock markets and companies. Whether it's the US elections, a short-term fluctuation in the Japanese Yen, or a change in the European Central Bank's interest rate policy, each event impacts your portfolio differently.

Good global diversification remains a key strategy for successful investors. Diversification is about not putting all your eggs in one basket and is a strategy to help ensure that your portfolio can withstand various market conditions and continue to grow over time.

9. How do you set up a stop-loss or take-profit order to minimize losses or secure profits?

Stop-loss and take-profit orders are valuable tools for managing risk and optimizing returns on specific positions within your portfolio.

• A stop-loss order is used to sell a security when it reaches a certain price, helping to limit potential losses on a position. For long positions (buy), a stop-loss is set at a price lower than the current market price.
• A take-profit order is used to automatically close a position once your target price has been reached, allowing you to lock in gains at a predetermined price level. For long positions (buy), a take-profit is set at a price higher than the current market price.

Investing involves risks; your investment may decrease in value.