Academy How to trade Adobe stocks

Adobe stocks - price, description and characteristics

Adobe Inc., which was originally known as Adobe Systems Incorporated, is a firm that specializes in computer software. The company provides solutions and services that may be used by professionals, marketers, knowledge workers, application developers, businesses, and consumers to generate, manage, measure, optimize, and interact with captivating content and visual experience. It does business through three distinct divisions, namely publishing, digital media, and digital experience.

Its Digital Media sector offers tools and solutions that allow individuals, small and medium companies, and corporations to produce, publish, market, and monetize their digital content. These capabilities are all made possible by the company's digital media offerings.

Its Digital Experience sector offers a variety of solutions and services for the production, management, execution, measurement, and optimization of digital advertising and marketing campaigns.

Its Publishing section tackles market possibilities ranging from the broad authoring and publishing demands of technical and business publishing to its legacy type and original equipment manufacturer printing businesses. These are only some of the market opportunities it targets.

Adobe stock performance

Although the NASDAQ-listed company Adobe Inc. (ADBE) receives less attention than FAANG favorites, the software giant's returns have been very competitive.

Increasing more than 1,800% over the previous nine years, up until August of 2020.

The stock with the tenth greatest market capitalization, 135.2 billion USD, on the Nasdaq 100 index joined its peers at all-time highs in August 2020, which was then followed by a long-term decline.

The company has been in a long-term uptrend as a technological giant and has been a buy in safe heaven for most even through the COVID-19 pandemic and the Fed’s ultra-loose monetary policy. ADBE hit all-time highs in 2021.

Since then, the company has been trying to acquire FIGMA for 20 billion USD, investors are not on the same page and the price of Adobe stock has fallen by more than 50 percent.

Trading Adobe (ADBE) with Purple Trading

To start your Adobe CFDs trading, first, you need to locate the ticker ADBE on our Purple Trading MetaTrader 4 platform. To open a trade, either double-click or press the new order button, and the following window will pop up.

Lot value calculation

When you open our MetaTrader 4 platform and click on the ADBE ticker, you'll observe that the minimal volume for trading Adobe CFDs is one lot (1.0). If you trade one lot, you will gain or lose 1 USD for each 1 USD the stock makes as you are buying at a 1:1 ratio (1 lot equals 1 share). For example, you buy 5 lots at 300 USD, and ADBE goes to 310 USD. Your total profit will be 50 USD (calculated as 10 USD (1000 cents) movement * number of lots/shares per the move). The same logic applies to calculating your profit or loss when entering a short position.

Keep in mind that ADBE is quoted in US dollars, therefore if your account is in EUR or another currency, your profit or loss must be converted to EUR at the current exchange rate.

You can trade at the current market price (market execution) or utilize pending orders, (limit and stop orders). You can initiate the trade without the stop-loss and take-profit orders now and add them afterward.