Most of us think that recession is a time when we cannot make good money by investing in the markets. But in reality this is not true. If you look at history, you will find that many great businesses were born during recessions.
An Exchange Traded Fund (or ETF for short) trades on stock exchanges just the like any other stock.
Most investors think that when the stock market is going down, you cannot make any profits. Well, they are wrong because there are traders out there who are able to easily earn profits when stocks are tanking.
At the time of writing this article the Markets are showing great signs of nervousness and probably should be on Prozac. The problem is that the Markets are uncertain as to the future and therefore have bouts of pessimism followed by optimism followed by pessimism again. Consequently, we see big swings in daily prices of securities.