What is the difference between the Dow and NASDAQ?

Dow and NASDAQ are the terms that are frequently used in the stock market business. Dow Jones Industrial Average is the eldest stock market index and is the most followed measure of the market. It was introduced in 1896. In the beginning, Dow was only comprised of 12 stocks, but in today’s market, there are 30 stocks, and it is consists of 30 companies. Dow Jones Company is responsible for publishing its flagship publication, The Wallstreet Journal.
National Association of Securities Dealers Automated Quotation (also known as NASDAQ) is comprised of 3,000 to 5,000 stocks, which is where you can do many different activities, such as sharing, buying, and selling stocks. The NASDAQ stock market index uses the market capitalization method to determine the stock market average index. This method works by analyzing a particular stock price, and then you multiply it by all the available shares.

The Dow is known to be the index of about 30 different companies. These companies are available if you check out the New York Stock Exchange. This is also known as the NASDAQ. These two things obviously need to work together, but they are different from each other.

The companies that can be found in NASDAQ and the stocks that can be viewed there will not be available when you check out other exchanges. The NASDAQ is effective in measuring the different common equities that are available. You can expect when you check it out that it will be composed of funds, ETFs, preferred shares, derivatives, and so much more.