Direct Stock Investment – How to Buy and Sell Stocks
These days, the stock market is as shaky as ever. However, for smart investors who have cash available, there is never a better time to buy stocks. You have to wonder – why does anyone buy stocks in the right mind when prices fall? This is because historically, the stock market has provided the best return on investment over the long term. If you've ever heard of a chatter in the water cooler, you'll hear phrases like "buy low, sell high." In bear markets such as 2001-2003 and 2008-2009, ie when stock prices have fallen for some time (not too technical), the price of the stock is due to the lowest market panic.
Therefore, the "buy low, sell high" theory, it is actually the best time to buy stocks. A warning – you should only invest in the stock market, you do not need in the next 3-5 years. This is because stock investments can be risky and you may need 3-5 years to see a significant return on your investment. If you do not have money, but want a piece of action. I only have one suggestion – do not invest!
I'm not afraid of you because you're still reading. So let's move on. The stock market works the way you never know if the price of the stock you buy is the lowest price. Also, you will never know if a price is the highest stock will go. So, when do you trade? Ideally, you have a range where you are willing to buy a small company (1 stock) and a similar price range that you are willing to sell. Before I understand how to determine the details of stock prices through two forms of analysis – basic analysis and technical analysis, I would like to mention the role of brokers in trading.