Basic Guide to Choosing Monetized Stocks

If you want to be a successful, profitable stock trader on the stock market, you need to implement a few basic guidelines.

Here are a few ideas that you may find priceless.

1. Follow your written plans to buy and sell stocks. Ie you want to spend the amount of money if the situation is wrong, you can bear the amount of loss (2% of the total value is a good guide)

you want to earn a percentage of profits,

The time frame you want. (Not always possible) total transactions. Is it short-term, medium-term or long-term?

Number of Shares You Like. (This also depends on your capital constraint.)

Diversification is not just invested in an area. Risk diversification to different types of companies.

2. The last high point of the stock price is higher than the previous day. Do this for at least three days to five days. ]

3. Lots of liquidity meant a lot of stocks had recently exchanged hands.

4. The number of buyers over the seller. If, on the contrary, the share price is sure to fall.

5. Recent news or rumors of news .ie acquisitions, profits, etc. Of course only good news.

6. The Directors have purchased the Shares in the past 2 to 3 weeks {not for sale}.

7. The Trend Line shows a clear upward trend. If in doubt, do not trade.

8. Latest visual appearance on the chart {old "eyeball test"}, preferably last month's performance.

Again, if there is any doubt drop the share until the next time; just add it to your watch list.

I currently have about 30 to 40 companies on my watch list. I use the above basic standards to reduce them to 3 -4 or so.

This is not a quick standard to make up for some of your own preferences.
The mine is only to give you a very basic idea to help you get started.

Probability method.

When it all comes down to this, we can not guarantee that we are just trying to achieve the "probability" of stock price rise.

Note that if the share is "horizontal", there is only a 50-50 probability. You can also toss a coin because you are now gambling.

Wait a few days and then view.

If a stock is "down", I use the probability of 70% to continue this way, 20% chance of horizontal, 10% up.

The next probability I use to "move up" the stock price is 70% going up, 10% probability down and 20% down.

Remember these are just guidelines; if things do not plan, that's when you implement a "stop loss" {see past articles if you want to know more. )