Percent Changes Explained in the Stock Market | Stacked Percent Changes

Percent Changes Explained in the Stock Market

When the pandemic started taking hold in the US back in February, many of us probably remember that the stock market tanked. In fact, off of it’s high in February, the S&P500 dropped 34% in just over a month of trading. But since then, as of this recording in mid August, it’s back up 50%…and yet, it’s still ever so slightly off of that February high. How can that be? How can the S&P500 go down 34%, then bounce back 50% and still not have fully recovered? I’m Jeff Galak and in this Data Demystified Data Bite, we’ll unpack how to think about percent changes and learn how equally sized increases and decreases are not at all symmetric. If you stick around to the end of this video, you’ll not only develop an intuition for how to think about increases and decreases in values, but you will be able to apply that intuition to important concepts like changes in the stock market, product prices, and even some sports statistics

I do this all without ever using any fancy jargon or any complex math. I focus on intuition and and insights to help you get an intuitive understanding of complex, important, and timely topics in statistics, data science, and data analytics.

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[francesca]

2 minutes in and mind blowing. In school they often teach you the calculus part of percentages but not the logic behind... i feel betrayed from my school teachers...

[KickinItWithMeetch]

All I can says is wow...Explained perfectly.

[WhaleTraders]

Relatively new to the stock market. I like to learn from the beginning to get the best understanding possible. This helped me out a lot more than you may think. Thank you very much! Clear and to the point. Now i can use this guideline as a basis when calculating percentages. It helped me put it into perspective. Thanks again!

[HachBoxe]

That was such a nice and crisp video. I can't believe you only have 3.6K subs. Keep up the great work!

[isigma]

Ok I subbed and turned my bell on! This helped me so much!!!

[varunpanday]

this is great.
i have always wanted to know what do you use as a basis to calculate the %drop in the stock market..thks

[Sam-uerv]

All these years I understand to gain 50% back you will need 100% return.

BUT the boxes really helped me its 2 different transactions you just smashed it. Mind blown

[JamezPeng]

thanks for the video. just a follow up question: why do we usually use percentage change instead of absolute change when talking about stocks?

[LucasSilva-xiug]

You're a legend, please continue making videos and informing us!

[mulekamp]

Thank you, your video was very helpful 🙏🏿🤝🏿

[Gabsterellax]

A fantastic video and breakdown. I think your channel is going to continue to grow massively and I was genuinely just curious if you were reading off a tellerprompter, if you were, you honestly did an excellent job of showcasing strong communication skills whilst doing that. Keep up the good work

[jemma_palma]

wow thank you for this. super insightful and great visual aid thank you.

[josep]

Im a bit slow at understanding stuff and I'm still confused but I low-key already am already loving your channel. Thanks bro!! Maybe more videos on market data and securities related topics!

[rokassteponavicius]

It was a very beneficial video for me! Thank you very much!

[seapeoplesdidnothingwrong]

So when it says a stock is up 20%, what is the starting point? The first time the stock ever opened, or the opening of that day?

[linuxd]

Thanks dude. You earned a sub from me and I hardly sub.

Great easy to understand content. I like the intuitive aspect you're going for

[kjmarsh]

on the stock market dip of loss of 34% and increase of 50% which is correct but most people would think they would be back to normal, unless they were contributing to that account during that time.

[ugust]

Is this video, suggesting, “ pay attention to total gain “. ( total gain percentage )

[amanzaildar]

In stock market percentage is calculated depending on previous closing price

[debojyotidebnath]

Hi Jeff, It was of great help. Please help me with the percentage calculation. If a stock is trading at an LTP of 90 and I want to put a stop loss of 5 % in a reverse way like the falling scenario how is that to be achieved? Kindly help. What is the formula? I don't mean the value in the traditional way of 85 (5% of 90).